By
Viewed
534
Please choose the correct answer for each question below:
Questions: 0/219
Correct: 0
Translate:
Now these days a series of events under
the framework of COP 30 are taking place
in Brazil drawing the attention of the
international community. And one of the
key initiatives proposed by the host
country is the establishment of an open
coalition for carbon market integration
aimed at harmonizing standards and
linking existing carbon credit trading
systems around the world. As one of the
most active participants in the carbon
credit market in Southeast Asia and a
country with strong growth potential,
Vietnam is preparing to pilot its first
carbon credit exchange by late 2026. a
key step toward achieving its net zero
emissions goal. And this initiative is
also among six urgent tasks and
solutions that Vietnam aims to complete
by the end of 2026 to implement its
environmental protection policy.
According to the draft decree on the
domestic carbon credit exchange, the
platform will operate with two key
products, emission quotas and carbon
credits. At the international level, the
Ministry of Agriculture and Environment
is also developing a draft decree on
international exchanges of greenhouse
gas emission reductions and carbon
credits expected to be submitted to the
government later this year.
Now, Vietnam has already made a notable
progress, becoming the first in East
Asia-Pacific to receive a 51.5 million
US payment from emission reduction
trading with the World Bank and ranking
among the world's top 15 carbon credit
sellers. Now, a well-designed carbon
market could helped Vietnam attract
climate finance, drive technology
innovation, and boost business revenues.
Moving forward, Vietnam is expected to
learn from major markets while
strengthening international cooperation
to enhance regional market liquidity and
transparency.
This company specializes in producing
bamboo products for export to the
European and US markets, which have
strict regulations on products carbon
footprints. The entire production
process is chemical free, forming a
circular chain geared at green
transformation.
Meanwhile, this consulting firm has
successfully registered carbon credits
for 22 projects in Vietnam. They expect
the pilot carbon credit market to create
significant opportunities for carbon
credit holders.
>> It helps actually uh existent uh
existing uh players to start exchanging
uh certain uh benefits and uh certain uh
carbon credits already in place.
>> Experts say Vietnam offers ideal
conditions for businesses to tap into it
abundant carbon credit supply.
According
to Carbon Wire, Vietnam ranks ninth
globally in carbon credit issuance
volume with more than 362 projects all
geared toward international carbon
trade. Vietnam has vast opportunities to
expand its presence and influence in the
global carbon trading market
>> for Vietnamese businesses. is I see
three key opportunities in this new era
of converging carbon markets. The first
being the opportunity to attract new
forms of climate cooperation. It's also
incredibly important that Vietnam
utilizes its first mover credibility
within the region. Third, this creates
the opportunity for Vietnamese
businesses to be better equipped in
order to respond to carbon pricing
measures across the globe, including the
carbon border adjustment mechanism of
the European Union.
>> Vietnam's growing momentum in carbon
trading signals not only a path towards
sustainable growth, but also a stronger
voice in shaping global climate
solutions.
This transition is more than a national
effort. is a collective journey of of
collaboration between businesses,
experts, and international partners
towards a greener future.
>> Vietnam's remarkable milestones in the
carbon market so far show potential, but
also raises new questions. How can
Vietnam ensure that its growing market
remains transparent, credible, and
aligned with international standards?
Beyond government policy, businesses
will play a decisive role not only in
reducing emissions, but also in building
reliable data systems, ensuring
compliance, and attracting sustainable
finance. To take a deeper look at the
potential and prospects of Vietnam's
carbon trading market and how businesses
can prepare for this transition, we're
joined by uh Mr.
director of ESG and compliance services
at a CIFD
Vietnam. Thank you, Mr. Tongang, for
joining us in the studio today.
>> Thank you.
>> Now, for the first question, uh Vietnam
plans to pilot its domestic carbon
credit exchange by late 2026. So from
your perspective, which technical and
institutional elements must be
established first to ensure that uh the
platform operates on schedule and also
function effectively.
>> If we have to prioritize one of those
works, I would say that we must
prioritize data transparencies. To
briefly explain, for me data
transparency is the root of trust. If we
do not have reliable MRV datas, we will
not have the high quality carbon
credits. We can have legal framework. We
can have international linkage. Uh but
all of that would mean nothing if we do
not have the quality emission datas
because with that one there would be
concrete informations about the carbon
credits and of course a concrete
pricings of the carbon credit itself
and the standardized data systems would
be the key to success on this one.
>> Right. And uh once the exchange begin uh
operating a pricing will determine
liquidity and also investor confidence.
So based on international experience
which price discovery model auction
bilateral trading or market making would
best fit Vietnam's early stage market uh
conditions would you say? Um so my from
my research on global ETS systems and
also if you look at how Vietnam manage
the capital markets at the state
security commissions um I think a hybrid
models would be the best for the early
stage and for the price benchmarks we
can always reference other markets like
the EU ETFs uh that be around 63
per tons or we talk about we can refer
to China ETFs that would be
per tons and we already had some
expectations right like Vietnam will be
around5 to $15 per ton so we can um uh
we can dictate that firsthand.
>> Now in parallel with building the
exchange many Vietnamese firms
especially
still lack capacity in emission
accounting and also MRV compliance. So
what kinds of uh support digital
toolkits, advisory programs or internal
carbon pricing schemes uh could help
these companies participate more quickly
and also more confidently in the pilot
phase.
>> So uh to make it short uh I think they
will need three pillars of support.
Number one is digital toolkits uh
because it's scalable and cost
effective. it can help theme. Uh we need
to help theme because that's what
Vietnam is made of. Uh the second pillar
is advisory and training programs.
Industrial associations or VCCI should
organize free workshops on common
accounting basics um to use G protocols
or ISO 14064
um MRV methodology for each sectors and
case studies for successful companies.
For example, the last one would be um
the internal carbon pricing schemes. I
think that you know we should encourage
SMMES to establish internal shadow
carbon pricing at maybe $5 to $20 per
tons to assess ROI return on investment
of green assessment.
>> Well, thank you Mr. Dang for joining us
and also sharing your insights.
>> Now, Vietnam's carbon market is no
longer just a vision. It is becoming a
reality. From establishing a pilot
exchange to encouraging enterprises to
create credits and investing in green
projects, the country is laying the
groundwork for a greener and more
transparent economy. The journey will
require investment, cooperation, and
stronger regulatory foundations. But
with the right policies and
partnerships, Vietnam has the potential
to achieve its net zero target. And that
brings us to the end of today's program.
Thank you for watching and see you next
time on The Point.
[Music]
Related Songs