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COVER STORY

FOUNDATION Net Zero (GFANZ) Working Group mem-
bers, subject to the mobilization of catalytic
public sector finance by IPG members.
TO TRANSITION A GREENER FUTURE

According to Mr. Thomas Wiersing,
Chargé d’affaires of the Delegation of the
The JETP will help Vietnam access vital resources for the energy European Union to Vietnam, Vietnam’s
tasks ahead, with much for the country to do to benefit fully. ambitious goal of achieving net-zero car-
bon emissions, as demonstrated at COP26
By LINH TONG and in the government’s Power Develop-
ment Plan VIII (PDP8), clearly indicates
the need for specific measures across all
energy sectors and the economy. The
JETP will be an effective tool, and Viet-
nam’s Resource Mobilization Plan (RMP)
n order to mitigate the damage caused Partners Group (IPG), which includes
by climate change, the world needs to countries in the G7 plus Norway and will be the first step, outlining ambitions,
directions, policy reforms, and opportu-
I rapidly reduce the amount of carbon Denmark. In implementing the JETP nities to drive the process.
dioxide emissions, and not only wealthy Declaration, international partners will Mr. Mark George, Climate Counsellor
nations. To make this a reality, middle- help Vietnam in refining policies to attract at the Embassy of the United Kingdom
income and low-income countries require investment in the transition and enhance in Vietnam, believes that the RMP is an
trillions of dollars to replace coal-fired power energy efficiency, strengthen electricity opportunity to establish a roadmap to
plants with cleaner energy sources, improve grid infrastructure, and provide education realize Vietnam’s ambitions in a fair energy
electricity grids, retrain workers, and imple- and vocational training. Vietnam’s JETP transition, promoting growth, supporting
ment other measures. In this context, the will mobilize at least $15.5 billion over the achievement of national socio-eco-
Just Energy Transition Partnership (JETP) the next three to five years, of which at
is one of the most sophisticated financial least $7.75 billion is being mobilized from nomic goals, and enhancing energy security
and competitiveness.
mechanisms designed to transfer funds public sector finance, which should be on “The UK, along with the EU, was deter-
from affluent economies to certain devel- more attractive terms than Vietnam could mined to make sense of this, so both
oping countries to eliminate fossil fuels. secure in the capital market, and at least agreed to become co-chairs of the IPG,
On December 14, 2022, Vietnam signed $7.75 billion will be in private finance representing different countries and the
a JETP Declaration with the International from the Glasgow Financial Alliance for

14 | VIETNAM ECONOMIC TIMES | DECEMBER 2023 en.vneconomy.vn