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Vietnam to pilot carbon trade exchange from 2025

Exhibition News by Exhibition News
January 13, 2022
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HANOI (Vietnam News/Asia News Network): Vietnam plans to set up and pilot a carbon trade exchange from 2025, according to a new Government decree on greenhouse gas (GHG) emissions and Ozone layer protection.

The document stipulates several articles of the Law on Environmental Protection and maps out a roadmap for domestic carbon market foundation and development.

A carbon credit is a tradable permit or certificate that enables the holder of the credit the right to emit one tonne of carbon dioxide or an equivalent of a different greenhouse gas – it’s essentially an offset for producers of such gases.

From now until the end of 2027, the country will put forward regulations on the management of carbon credits, the exchange of GHG emission quotas and carbon credits, and the operation of a carbon credit exchange.

It will also carry out a pilot for exchanging and balancing carbon credits in potential areas, guide domestic and international carbon credit exchange and balance mechanisms in accordance with laws and international conventions to which Vietnam is a signatory.

Activities to raise capacity and awareness of carbon market development will also be stepped up during this period.

The carbon trade exchange is expected to be put into official operation in 2028.

A carbon credit is a kind of permit that represents one tonne of carbon dioxide removed from the atmosphere. They can be purchased by an individual or, more commonly, a company to make up for carbon dioxide emissions that come from industrial production, delivery vehicles or travel.





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