How do mobilize and focus resources for green growth in Vietnam?

DNHN - How to mobilize and gather resources for green growth in Vietnam is a very important question at this time. This is also a topic discussed at the Vietnam Development Bridge Forum 2022 (Vietnam Connect) recently held in Ho Chi Minh City.

Strong commitment to net zero emissions by 2050 at the United Nations Climate Change Summit (COP 26) and the Socio-Economic Development and Recovery Program approved by the Government promulgated on January 30, 2022, also affirms the determination to develop a "green economy, circular economy associated with sustainable development". 

Three key breakthroughs in institutions, human resources, and infrastructure are required to accomplish these goals, with an emphasis on innovation, research, and technological development. 

This lays the groundwork for Vietnam to utilize resources effectively, strengthen its management and coordination capabilities in finance and technology, and promote the community's, business sector's, and international organizations' participation in the implementation of sustainable development goals. 

According to calculations by the Ministry of Planning and Investment and the World Bank, to implement the green growth strategy by 2030, Vietnam is expected to need about 30 billion USD, of which the State budget can only meet the maximum 30%, the remaining 70% comes from other sources, mainly the private sector. 

With a commitment to reducing greenhouse gas emissions, analysts believe that Vietnam will reap numerous benefits in terms of investor attraction. Indeed, as part of COP26 events, financial institutions committed to investing billions of dollars in Vietnam's green growth initiatives and projects. 

Speaking at the Forum, Dr Ta Dinh Thi, Member of the 15th National Assembly and Vice Chairman of the National Assembly's Committee for Science, Technology and Environment, stated that in the National Assembly's resolutions on socio-economic development in the 2021-2025 period, the views and cross-cutting goals of the Party and State are to ensure fast and sustainable economic growth and to restructure the economy in association with renovating the growth model in the direction of ensuring macro stability. 

According to Mr Alan Cany - President of the European Business Association in Vietnam, green finance is everywhere and the challenge is how to get the project funded. 

"To solve this problem, I think the first is the perspective of policies and decrees; the second is the cooperation mechanism between foreign investors and domestic enterprises: One side brings technology, the other brings technology. infrastructure and understanding the local situation," he said.

To continue on the path toward economic recovery, rapid growth, and sustainable development, the leader of Ho Chi Minh City's People's Committee stated that the city will adopt numerous measures concurrently in the next months. 

Accordingly, the city will focus on effectively implementing 51 programs and projects in 3 breakthrough programs and one key program (including a breakthrough program on city management innovation; development of city infrastructure; a breakthrough program on human resource development and city culture; key program on development of start-ups and innovation). 

The city continues to innovate its growth model to accelerate and sustainably build the city's economy through strong research, application of science, technology, and innovation, as well as increased workforce productivity. Develop the city into a regional and international financial centre by implementing the project. 

Located in a key area for the production of rice, aquatic products and fruit trees in the region, with 70% of the population living on agriculture, Mr Huynh Minh Tuan, Vice Chairman of Dong Thap Provincial People's Committee, said 10 years ago, the province saw the need to restructure agriculture.

Therefore, Dong Thap province has issued a plan to restructure the agricultural sector methodically. Thereby, increasing the value of agricultural production, at the same time, reducing greenhouse gas emissions. People also reduce the use of pesticides and fertilizers in production, then produce clean, high-quality products, meeting the needs and current consumer trends in the market. 

As one of seven provinces in the Mekong Delta bordering the sea, the marine economy is identified as one of the five growth engines of Bac Lieu province.

MMsCao Xuan Thu Van, Vice Chairman of the Bac Lieu Provincial People's Committee, stated emphatically that the province has set its route toward being a clean energy centre.

The province puts each offshore wind energy pole first, completing the arduous tasks first, before moving to the mainland, because people will be fearful of using land onshore. Bac Lieu recently completed eight wind energy projects with a combined capacity of almost 500 MW.

“When it comes to digital transformation, or green growth, sustainable development, the first thing to consider is that 70% of Bac Lieu's population are farmers. Do they agree and understand the local development strategy?", the leader of Bac Lieu province explained. Because of resources for development, green growth depends largely, up to 70% on the private sector, but the object of impact on 70% is farmers.

Therefore, "must change thinking systematically, not only leaders but also people understand this policy, thereby creating a ripple effect for people to support", Ms Van revealed.

There are also many advantages to developing comprehensive agriculture, the leaders of Bac Lieu province are also concerned: Are there conflicts in salt production, shrimp farming, and electricity production?

"To solve this problem, the only way is to change technology," the leader of Bac Lieu province emphasized. Accordingly, traditional shrimp farming becomes a centre of high-tech production, using less water, and causing less environmental pollution, so that other industries can benefit. At this time, people produce rice and shrimp without using antibiotics. Enterprises make large investments and spend more resources to invest in hi-tech shrimp farming. 

Vietnamese goal in this period is to achieve an average 5-year GDP growth rate of about 6.5 - 7%, the digital economy to reach about 20% of GDP; the rate of trained workers with degrees and certificates is 28-30%; 100% of establishments causing serious environmental pollution are completely treated; the rate of collection and treatment of urban solid waste must meet standards and regulations at 90%; forest coverage rate is not lower than 42%. 

According to the deputy of the National AssAssembly accomplish the National Assembly's objectives, the demand for "Resource convergence" and transition to a model of "Green growth" in the context of safe adaptation, flexibility, and control The success of the Covid-19 epidemic is critical for long-term remedies aimed at increasing the country's economic resilience and sustainable growth.

Vietnam also quickly identified green growth as the way to sustainable development and has made strenuous political commitments to implementing the sustainable development goals.

The policy on "Green growth" is reflected in the National Green Growth Strategy for the period 2011 - 2020 and a vision to 2050 in Decision No. 1393/QD-TTG dated September 25, 2012, by the Prime Minister. The Government and the National Green Growth Action Plan for the period 2014 - 2020 in Decision No. 403/QD-TTG dated March 20, 2014. 

Green growth, in particular, is defined as growth that is based on the process of changing the growth model, restructuring the economy to capitalize on comparative advantages, increasing the economy's efficiency and competitiveness through advanced technology research and application, development of modern infrastructure systems to efficiently use natural resources, reduce greenhouse gas emissions, adapt to climate change, and contribute to poverty alleviation. 

 Lâm Nghi