Members of the Hà Nội Electricity Corporation guide a local businessman about how to use energy economically. —VNA/VNS Photo
That was the message from Trịnh Quốc Vũ, Deputy Director of the Department of Energy Saving and Sustainable Department under the Ministry of Industry and Trade (MoIT) speaking on Thursday during the launch event for a new energy efficiency project, which aims to encourage the business community to change technology towards economical and efficient use of energy in the industrial sector.
Surveys of the National Programme on Economical and Efficient Use of Energy for the 2019 - 2030 period (VNEEP3) showed that Việt Nam’s energy use could be cut by 20-30 per cent, he said, adding that the industrial sector accounts for more than 47 per cent of the country’s total energy consumption.
The project was expected to contribute to promoting industrial enterprises to pursue the goals of saving energy, ensuring national energy security, as well as accompanying the Government in implementing the goal of reducing greenhouse gas emissions and responding to climate change, Vũ said.
Chu Bá Thi, a representative from the World Bank (WB), said the project, with total investment capital of US$11.3 million, began in March and would run until January 2026.
Once joining the programme, industrial enterprises would have the chance to apply advanced technology to reduce production costs and energy consumption, enhancing their overall competitiveness in domestic and international markets.
He also said that the WB was committed to continuing to assist Việt Nam to improve the quality of energy use through a series of programmes and projects that would be put into operation in the future.
In March, the WB, acting on behalf of the Green Climate Fund (GCF), signed a $11.3 million grant with the State Bank of Việt Nam to support the development of a commercial financing market for industrial energy efficiency investments.
Some $8.3 million from the grant will be used to build capacities for the private sector to identify, appraise and execute energy efficiency projects. It will also provide technical assistance to the MoIT and authorities to strengthen policy frameworks and regulations and create an enabling environment to accelerate the energy efficiency market in Việt Nam.
The remaining funds and the guarantee will be used to establish a risk sharing facility to provide partial credit guarantees to support local banks that may risk potential defaults on loans for energy efficiency projects.