In December 2022, the Government of the Socialist Republic of Vietnam and the International Partners Group (IPG) – consisting of the European Union, the United Kingdom of Great Britain and Northern Ireland, the United States of America, Japan, the Federal Republic of Germany, the Republic of France, the Italian Republic, Canada, the Kingdom of Denmark and the Kingdom of Norway – agreed the Political Declaration on the establishment of the Just Energy Transition Partnership (JETP).

The third country to launch a JETP, Vietnam will receive support via the Partnership to reach its commitment net zero emissions by 2050 through:

• Accelerating the decarbonisation of its electricity system by reaching a peak of no more than 170 MtCO2e emission from electricity generation by 2030;
• Peaking coal-fired generation capacity at 30.2GW;
• Accelerating deployment of renewable energy to at least 47% of electricity generation by 2030;
• Leading a just transition.

Over the next three to five years, the JETP will mobilise an initial $15.5 billion of finance to support Vietnam’s just energy transition, comprising of $7.75bn mobilised by the IPG and other public finance institutions and $7.75bn from Glasgow Financial Alliance for Net Zero (GFANZ) members. These institutions and Governments will work closely with the Government of Vietnam to identify opportunities to deploy the finance swiftly.

The JETP Secretariat under the direction of the Ministry of Natural Resources and Environment (MONRE) and the IPG members, is developing a JETP Resource Mobilisation Plan (RMP) which will outline the path forward to achieve the ambitious JETP energy transition targets and mobilise the finance. JETP Working groups led by the Ministry of Planning and Investment, the Ministry of Industry and Trade and the Ministry of Finance will support this process. A zero-draft RMP was introduced at a Consultation Workshop in Hanoi on Friday 11 August.

This Consultation Workshop was chaired by Vice Minister Lê Công Thành of MONRE, alongside co-chairs and IPG co-leads, H.E. Iain Frew of the British Embassy and Thomas Wiersing, Chargé d’Affaires a.i. of the EU Delegation to Vietnam. All IPG Ambassadors or representatives also attended the event, as well as over 200 representatives from the Vietnamese Government, development partners, the private sector, civil society and the media.

Presentation were made on the draft RMP, areas for policy reforms and priority areas for investment.

“The JETP Secretariat would like to receive proposals for projects to be included in the JETP Resource Mobilisation Plan. These projects need to be consistent with the set of framework criteria to help Vietnam carry out a good implementation the Power Master Plan VIII and the National Energy Master Plan, in line with the priorities of Vietnam and its partners, and to ensure feasibility in terms of technologies and resources which need deploying shortly; projects which can generate breakthroughs and spillover effects to promote the energy transition in Vietnam, will be prioritised”, said Vice Minister Lê Công Thành.

“The IPG is pleased to be entering the next phase of JETP implementation with preparation of the Resource Mobilisation Plan (RMP) now fully underway. The RMP is an opportunity to set a path for realising Vietnam’s ambitions for a just energy transition in a way that boosts growth, supports national socio-economic objectives, and strengthens energy security and competitiveness” said H.E. Iain Frew, in opening remarks. Thomas Wiersing, Chargé d’Affaires a.i. of the EU Delegation to Vietnam added that “the IPG in Hanoi and in capitals stands ready to work in very close collaboration with all key ministries in Vietnam, as well as society at large including NGOs, state-owned enterprises, the private sector, research groups and more, so as to ensure a broad social consensus.”

Further information on the JETP can be found via the Joint Political Declaration on the Vietnam JETP establishment, as well as the associated Press Release.