Publishing the National Energy and Mineral Development Planning

- Decision No: 861/QD-TTg dated 18/7/2023 (Planning on infrastructure for national storage and supply of gasoline, oil and gas).

- Decision No: 866/QD-TTg dated 18/7/2023 (Planning for exploring, exploiting, processing and using minerals).

- Decision No: 893/QD-TTg dated July 26, 2023 (The National General Energy Development Planning in a period of 2021 – 2030 with a vision to 2050.

According to MOIT, during the implementation of the planning, MOIT has fully and seriously complied with the provisions of the Planning Law and relevant resolutions and decrees of the National Assembly and the Government; proactively and closely coordinated with the ministries, central agencies and localities in studying and developing Planning.

The national energy and mineral planning, approved by the Prime Minister, is especially important, that opened up a new development space for the more efficient and sustainable energy and mining industry in Vietnam appropriated with the general trend of developing the green, circular and low carbon economy and the viewpoint, policy of the Party, State and the real ability of the country and international development.

The planning developed by the industry and trade sector on the basis of the deep grasping thoroughly the Resolution 55 of the Politburo on strategy for developing Nacional Energy to 2030 with vision up to 2045; Politburo resolution No 10-NQ/TW on the strategic trend for the Georgy, minerals and mining industry to 2030 with vision up to 2045, as well as suitable with General National Planning and the other sector planning.

NEMDP for the period of 2021 - 2030, with a vision to 2050, aims to:

- Firmly ensuring national energy security with synchronous and rational development and diversifying the energy types.

- To encourage and create favorable conditions for all economic sectors to participate in energy development.

- Applying the achievements of scientific and technological development in developing all the energy sub-sectors and fields.

- Using the energy economically and efficiently.

- Harmonious development of the energy sub-sectors with synchronous and intelligent infrastructure, reaching the region's advanced level, in line with the global scientific and technological development trend.

- Successfully implementing energy transition, making an important contribution to meeting the target of net zero emissions by 2050.

With the General National Energy Development Planning, it is proposing a series of new mechanisms including:

- Diversifying capital sources, and investment forms, and creating favorable business conditions for enterprises of all economic sectors to invest in the energy field.

- Develop a synchronous and interconnected energy market between energy sub-sectors, bringing energy prices into operation according to the competitive market mechanism.

- Applying market tools to promote green growth, economical and efficient use of energy, low carbon economy, and circular economy.

- Promote research and application of new and renewable energies for energy conversion.

- Synchronous and connected developing the energy sub-sectors and transferring energy prices to marketing competition

Applying marketing instruments for promoting green growth, using energy economically and efficiently and the low carbon and circular economy.

Speeding up applying the study of the new and renewable energy types for the energy transition.

Developing and applying institutions on discipline and compliance in organizing the implementation of the National Energy Planning.

The national planning for petroleum and gas storage and supply infrastructure for the period of 2021 - 2030, with a vision to 2050, sets the goal of developing the national petroleum and gas reserve and supply infrastructure system, including:

- The strategic reserve.

- The production, commercial, transport, circulation and distribution reserves for meeting the economic, technical and environmental criteria, ensuring net import of 90 days, ensuring the adequate, safe and continuous reserves and supply for socio-economic development, security and national defense

- Ensuring the reserve capacity of crude oil and petroleum products of the country reaches 75 – 80

- Ensuring gas reserve capacity to meet domestic market demand and material gas for energy and industrial sectors.

The objectives of the planning for exploring, exploiting, processing and using minerals are:

- Strictly managing, exploiting, processing and using economically and efficiently mineral resources in connection with the development needs of the economy, environmental protection, adapting the climate change and the goal of being carbon neutral.

- Speeding up investment and forming a synchronous and efficient mining and processing industry with advanced technology and modern equipment suitable to the global trend.

The planning for mineral exploration and exploitation has specifically classified capital sources, including state budget capital, international capital, and private capital for each field.

Capital from the state budget is only used for resource investigation, building data on minerals, or scientific research and application of new technologies. While the capital of enterprises of all economic sectors is for exploitation, processing, investment in new technologies...

The sectoral planning on energy and minerals has also created sectoral and regional linkages and synchronous design between the overall infrastructure of the energy sectors in the country, the region and the world, ensured by scientific organizations in the country to distribute and use the resources of each region and each locality for suitability with balance ability of the total economy. At the same time meeting requirement for energy rapid and prior and sustainable development one step ahead, connecting with a goal of net emissions equal to 0 in 2050 and ecological environment protection

Compliance with the policy of ecological environmental protection is carried out simultaneously in many areas including:

- Applying scientific and technological achievements in the world to promote digital transformation, gradually mastering modern technology, and moving towards self-manufacturing of most energy equipment.

- Developing synchronous mechanisms and policies, and strong enough sanctions to encourage investment and use of high-efficiency, low-emissions and environment-friendly technologies.

- Completing the financial tools for emissions and environmental impacts in production and using energy to create conditions for clean energy to be competitive in the market.

Encouraging enterprises of all economic sectors to invest, along with developing energy towards a green economy, a circular economy is considered as prominent highlight in the three energy sector planning.

Some basic objectives of the three sectoral energy planning:

Firstly: The general national energy planning.

- The enough supplying domestic energy demand for meeting socio-economic development goals with an average GDP growth rate of about 7%/year (in the period of 2021 - 2030), about 6.5-7. 5%/year (in the period 2031 - 2050).

- Total final energy demand will be 107 million tons of equivalent oil by 2030 and 165 - 184 million tons of equivalent oil by 2050.

- Total primary energy supply is 155 million tons of equivalent oil by 2030 and 294-311 million tons of equivalent oil by 2050.

- Raising the total petroleum reserve of the country (including crude oil and products) to 75 - 80 days of net import by 2030. Orientation after 2030, to consider gradually increasing the reserve level to 90 days of net import.

- Regarding the equitable energy transition, set a target that the proportion of renewable energy in total primary energy will be 15-20% by 2030 and about 80-85% by 2050.

- Saving energy by about 8-10% in 2030 and about 15-20% in 2050 compared to the normal development scenario.

- GHG emissions will be about 399 - 449 million tons in 2030 and about 101 million tons in 2050.

Target to reduce greenhouse gas by 17-26% by 2030 and about 90% by 2050 compared to the normal development scenario. Towards peak emissions by 2030 (provided that commitments under JETP are fully and substantively implemented by international partners).

Secondly: Planning for infrastructure to reserve and supply petroleum and gas:

- Regarding petroleum (gasoline and oil): Ensuring the storage infrastructure of crude oil, materials and products for petroleum production and processing to meet at least 20 days of net import in the period 2021 - 2030, up to 25 days of net import in the period after 2030.

The commercial storage will increase from 2.5 to 3.5 million m3 (in the period of 2021 - 2030), reaching a capacity of up to 10.5 million m3 (in the period after 2030), meeting 30- 35 days of net import.

The National reserve ensures the capacity of 500,000 - 1 million m3 of petroleum products and 1-2 million tons of crude oil, meeting 15-20 days of net import (in the period of 2021 - 2030); ensuring a capacity of 500,000 - 800,000 m3 of petroleum products and 2-3 million tons of crude oil, meeting 25 - 30 days of net import (in the period after 2030).

- Regarding the gas: Ensuring storage infrastructure for LPG with a capacity of up to 800,000 tons (in the period of 2021 - 2030) and up to 900,000 tons (in the period after 2030). For LNG, it will reach 20 million tons/year (in the period of 2021 - 2030) and up to 40 million tons/year (the period after 2030).

In addition, developing petroleum and gas supply infrastructure to meet the demand for pipeline transportation from the source (refinery, petroleum terminal warehouse, LPG distribution station and imported LNG warehouse) to centers, industrial and civil consumers.

Thirdly: The planning for exploring, exploiting, processing and using minerals:

Targets for certain types of mineral reserves with large volume, the important strategies in the period of 2021 - 2030:

- Bauxite minerals: Exploration and exploitation must be connected with deep processing (the minimum output to alumina product).

- Titanium mineral: developing the titanium mineral extraction and processing industry with a reasonable roadmap and scale suitable for each period, gradually forming mining technology complexes - selection, processing industry group for processing titanium minerals to synchronize with the infrastructure.

- The rare earth minerals: Developing the industry for synchronous, efficient and sustainable mining, processing and using the rare earth material in connection with the project for processing the minimum products such as rare earth oxides, hydroxides and salts with TREO content ≥ 95%.

- The nickel, copper and gold minerals: Mining activities must be accompanied by investment projects to process in a synchronous, efficient and sustainable manner, and maximize the recovery of the accompanying minerals and ensure the environment.