National strategy on green growth

QTH-3Q-19 Bui Hong Hanh
Feb 28, 2022
4 min read

Updated: Mar 27, 2022

Development trend

Green growth has become an unavoidable trend and a goal for all countries, particularly those highly impacted by climate change, such as Vietnam. The National Green Growth Strategy for the period 2021-2030, with a vision to 2050, according to Minister of Planning and Investment Nguyen Chi Dung, plays a critical role in fostering economic restructuring connected with innovation. He also stated that this is a crucial step in implementing sustainable development and contributing to economic recovery following Covid-19.

Strategic objectives

The Prime Minister issued Decision 1658/QD-TTg on October 1, 2021, authorizing the National Strategy for Green Growth for the period 2021-2030, with a vision until 2050. The sstrategy's overarching goal is to encourage green growth, restructuring the economy in tandem with a renewed economic development paradigm, as well as environmental sustainability and social fairness.

The strategy sets out the goal of transforming the growth model towards greening economic sectors, applying a circular economy model through economical and efficient exploitation and use of natural resources and energy based on science and technology foundation, digital technology application and digital transformation, sustainable infrastructure development to improve growth quality, promote competitive advantages and minimize negative impacts on the environment.

In detail

The rate of municipal solid waste collected and treated according to standards and regulations reaches 95%.
Ratio of urban domestic solid waste treated by direct burial to collected waste 10%
The rate of urban wastewater collected and treated up to standards and regulations is over 50%, respectively, for urban centers of grade II or higher and 20% for the remaining urban types.
The rate of public passenger transport in special cities and grade-I cities will reach at least 20% and 5%, respectively.
The rate of clean energy buses in special cities is at least 15% of the total number of buses in operation
The proportion of green public procurement in the total public procurement reaches at least 35%
Decision 1658/QD-TTg takes effect from October 1, 2021

General direction of the strategy

The approach focuses on attempts to restructure the economy while also upgrading the growth model and reducing greenhouse gas emissions intensity through mining. Furthermore, based on science and technology, it is vital to use energy and resources economically and efficiently. Using digital technology and digital transformation, establishing sustainable green infrastructure, ensuring a green transition based on values, ensuring equality, and increasing economic resilience.

Development orientation of industries and fields

Oriented measures for improving energy efficiency and efficiency, reducing energy consumption in production, transportation, commerce, and industry; promoting efficient exploitation and increasing the proportion of renewable and innovative energy sources in national energy production and consumption. Improve the quality, value, and competitiveness of agricultural production through the adjustment and restructuring of livestock and crops, as well as the application of the process and technology to use economically and effectively.

The approach would gradually restrict economic sectors that generate enormous amounts of waste, pollute the environment, and damage the environment, while also fostering the growth of new green manufacturing businesses. Encourage green economic sectors to grow swiftly in order to create more jobs, raise incomes, and preserve natural resources. As a result, urbanization will be pushed in the direction of a smart, sustainable metropolis that can survive climate change while maintaining economic and ecological efficiency. Creating advantageous conditions for the growth of public transportation by boosting its appeal, competitiveness, and environmental friendliness, as well as saving time.

The role of the private sector in green growth

Many opinions believe that the public sector continues to play a key role in initiating, supporting and creating conditions for green growth to become a reality; at the same time, it is necessary to enhance the role of the private sector, as well as to mobilize finance from many sides to achieve high efficiency.

"Vietnam's green growth strategy has outlined a clear vision," said Carolyn Turk - World Bank Country Director for Vietnam. Furthermore, because the strategy's implementation content encompasses numerous ministries and branches, the government's efforts in coordination are required to achieve the strategy's objectives. Ms. Carolyn Turk also stated that coordination between ministries, sectors, and communities is critical in ensuring that action is carried out smoothly through specific coordinated solutions. In the coming period, the World Bank hopes to continue cooperating with Vietnam in the execution of the green growth strategy.

Mr. Nguyen Hoa Cuong, Deputy Director of the Central Institute for Economic Management, believes that strengthening corporate social responsibility and clarifying the State's policies for recruiting and improving the private sector's role in green growth are both required.

Coordination and implementation are particularly important in ensuring the proper implementation of the green growth strategy. In this regard, the assistance and close collaboration of ministries, branches, agencies, local and international organizations, the business sector, and experts is critical. The Ministry of Planning and Investment will preside over and coordinate with other ministries, branches, and localities in the next months to research and propose to the Prime Minister the formation of a national steering council on green growth. Since then, organize the construction of a national action plan on green growth, complete with legal frameworks and specific instructions for ministries, branches, municipalities, people, and the business community, in order to promote awareness and provide a foundation for evaluation.