Haiphong to pilot carbon credit exchange by 2026

The Hanoi Times — The northern port city of Haiphong plans this year to make a policy for the initiative to accelerate emission reductions for the country's net-zero ambition by 2050, according to Duong Dinh On, Director of the city's Department of Agriculture and Environment.

He presented the idea at the “Green Transition in Industrial Parks for Sustainable Development” seminar hosted by the Haiphong Economic Zone Authority last week.

He said the exchange would facilitate entry into Vietnam's domestic carbon market and help reduce greenhouse gas emissions in the city. The platform will allow the issuance, listing, and trading of carbon credits based on verified emission reductions from specific projects and facilities.

The city has assessed greenhouse gas emissions from 107 facilities, as mandated by the Prime Minister's Decision No. 13/2024. "This is a crucial step in evaluating the level of emission reduction and planning for the future," the director added.

Following guidance from relevant ministries, the city will put forward potential projects for the pilot program and develop processes for credit verification and management in line with international standards.

Haiphong is committed to reconciling economic development with environmental protection to ensure a balance between economic and social benefits for sustainable growth.

At the event, Deputy Secretary of the municipal Party Committee Do Manh Hien said that the city plans to issue a resolution on green transition in the first quarter of this year, providing a framework for coordinated implementation across sectors and localities.

According to the project to Establish and Develop a Carbon Market in Vietnam, the domestic carbon exchange will begin pilot operations from June 2026 to the end of 2028, ahead of its official launch in 2029. It will primarily allow trading of greenhouse gas emission allowances and carbon credits, serving as a tool to enhance green transition efforts and work towards the net-zero target by 2050.

Haiphong also aims to achieve net-zero emissions by the same year, focusing on industrial projects, transportation, renewable energy, household waste, agriculture, forestry, and land use.

The city also plans to introduce environmental protection fees for wastewater and emissions to raise awareness among industrial manufacturers, encouraging enterprises to adopt cleaner technologies, optimize resources, and minimize waste, Duong Dinh On said.

Haiphong maintains its position as the second largest city in the Red River Delta behind Hanoi. In 2023, the city's gross regional domestic product (GRDP) reached over VND402.5 trillion (US$15.7 billion), almost doubling from 2018. As a result, the city's GRDP share of national GDP increased from 3% in 2018 to 3.9% in 2023.

In a broader move, Prime Minister Pham Minh Chinh on February 12 approved a plan to implement the Global Coal to Clean Power Transition Statement to boost the government's engagement in the global transition to low-carbon development. The move includes mobilizing domestic and international resources for power generation, applying co-firing technology to gradually reduce emissions from coal-fired power plants, and establishing a roadmap for shutting down outdated thermal power plants.

The plan emphasizes the maximization of renewable energy for power generation, ensuring a stable and affordable supply of electricity while contributing to global efforts to mitigate climate change. It also focuses on addressing climate change and facilitating the energy transition, with the goal of achieving net-zero emissions by 2050.