E-vehicle transition expected to bring myriad advantages

INVESTING 5

- By Nguyen Thu

Volatility in global energy markets is forcing Asian policymakers to reconsider long-term transport strategies, with electric mobility increasingly viewed as a response to growing energy security concerns.

The current crisis in the Middle East is reviving a broader strategic question on whether reducing oil dependence through electric mobility could provide a more suitable long-term transport solution in Vietnam.

For many Asian economies that rely heavily on imported oil, the consequences of the ongoing Middle East conflict are immediate. Higher fuel prices increase transport costs, place pressure on public budgets through fuel subsidies, and complicate macroeconomic management.

According to Prof. Hoang Xuan Co, head of the Science Committee at the Vietnam Association for Environmental Economics, the transition from petrol-powered cars and motorcycles towards electric vehicles (EVs) could bring benefits beyond emissions reduction.

"The shift from petrol vehicles to environmentally friendly transport such as EVs does not only bring environmental benefits. It can also contribute positively to traffic safety and create new employment opportunities in manufacturing, supply chains, and services related to green mobility," Co told VIR.

He emphasised that Vietnam cannot remain outside the global green transition that is accelerating in both the transport and energy sectors.