Viet Nam Accelerates Plans to Phase Out Fossil Fuel Vehicles by 2050

On the 22nd of July 2022, Deputy Prime Minister Le Van Thanh signed an approval of Viet Nam’s action plan on green energy transformation, under Decision No. 876/QD-TTg. This approval is a significant part of the Government’s efforts to realise its commitments at COP26, where Prime Minister Pham Minh Chinh pledged that Viet Nam would strive to achieve net-zero emissions by 2050. A key element of this action plan is thus to reduce carbon and methane emissions in the transport sector.

Accordingly, the overall objective of the strategy is to develop a green transport system that contributes to the goal of net zero emissions by 2050. In particular, the decision outlines a specific target by 2050, in which 100% of road transport, including public transport vehicles, should be electric or use green energy, and proper charging infrastructures that provide green energy should be established nationwide.

Furthermore, the transformation roadmap of urban traffic includes the following targets:

• By 2025, 100% of buses will use electricity and green energy.
• By 2030, the percentage of vehicles using electricity and green energy will reach at least 50%, and 100% of taxis will use electricity and green energy.
• By 2040, the production, assembly, and import of automobiles and motorcycles using fossil fuels will be discontinued.
• By 2050, the country will have a complete green transport network with net-zero greenhouse gas emissions.

The NDC Transport Initiative for Asia (NDC-TIA) Viet Nam component has supported the Ministry of Transport to develop the Action Plan on green energy transformation, by strengthening the national legal framework and contributing their expertise to the implementation. Additionally, the project assists the Ministry in creating the national e-mobility roadmap, as well as developing economic and technical guidelines for e-buses, across Hanoi, Ho Chi Minh city, and the national framework. This will lay the groundwork for the deployment of electric vehicles beyond the pilot phase to support Viet Nam in fulfilling its commitments under the Nationally Determined Contributions (NDCs) and the goal of reducing methane emissions.

NDC-TIA is part of the International Climate Initiative (IKI). The Federal Ministry for the Environment, Nature Conservation and Nuclear Safety (BMU) support this initiative on the basis of a decision adopted by the German Bundestag. It supports China, India, and Viet Nam as well as regional and global decarbonisation strategies to increase the ambition around low-carbon transport. In Viet Nam, the project’s implementing organisation is GIZ and partner institutions include World Resources Institute (WRI) and International Council on Clean Transportation (ICCT). Viet Nam Ministry of Transport (MOT) is the Lead executive organisation and the Department of Environment (DOE) is the project owner. For more information on the project, please visit NDC Transport Initiative for Asia.