Orientations for a cleaner fuel ecosystem in Vietnam

As the global community accelerates the implementation of climate commitments, energy transition in Vietnam, particularly in urban areas, has become an urgent and unavoidable priority.

- By Dr. Nguyen Hung Dung Vice chairman and secretary general Vietnam Petroleum Association

Major cities such as Hanoi, Ho Chi Minh City, Haiphong, and Danang are increasingly under pressure from infrastructure congestion, population growth and air pollution. Transport and fossil fuel-dependent industries remain the primary contributors to CO₂ emissions and fine particulate matter, seriously affecting urban living conditions and public health.

Globally, urban areas account for nearly 70 per cent of energy consumption, with annual growth ranging between 7 and 10 per cent. In response, Vietnam is implementing its energy development strategy, focusing on reducing reliance on coal and conventional fuels, expanding renewable energy sources, and developing transitional fuels, in line with the national commitment to achieve net-zero emissions by 2050.

Urban energy transition is also a key driver of sustainable development and international competitiveness. Cities with modern, low-carbon, and intelligent energy systems gain advantages in attracting investment, upgrading industry and improving quality of life. As a result, the adoption of clean fuels such as liquefied natural gas (LNG), compressed natural gas (CNG), liquefied petroleum gas, green hydrogen, and low-emission transport models has become an irreversible trend among developed economies.