Energy Transition Update: 08-15.6.2026
Energy Transition Update: 08-15.6.2026
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Energy Transition Update: 08-15.6.2026 ---
COAL INDUSTRY GRANTED SPECIAL MECHANISM TO STRENGTHEN ENERGY SECURITY
VnExpress – 9 June 2026
The Government has approved a special mechanism allowing coal mines with valid licences to increase output by up to 15 per cent above their approved capacity without having to amend existing mining licences. The measure, which will remain in effect until the end of 2027, is intended to ensure a stable domestic coal supply for electricity generation amid rising power demand and uncertainties in global energy markets. Additional coal output may only be used for power production and must remain within approved reserves while complying with environmental, safety and financial obligations. The policy reflects the continued importance of coal in Vietnam’s energy system and the government’s efforts to strengthen energy security by mobilising existing domestic production capacity more rapidly.
EVN’S VND 52 TRILLION PROFIT RAISES QUESTIONS ABOUT ELECTRICITY PRICES
VietnamNet – 9 June 2026
EVN reported a record after-tax profit of nearly VND 52 trillion in 2025, eliminating accumulated losses after several years of financial difficulties. The turnaround was driven by higher electricity prices, lower coal and gas costs, and stronger hydropower generation. The result has renewed debate over whether electricity tariffs should be reduced, but experts note that future price adjustments depend on overall generation costs, fuel prices and investment needs rather than EVN’s profits alone. Despite its improved financial position, EVN continues to face substantial infrastructure and financing requirements under Vietnam’s revised Power Development Plan VIII, highlighting the ongoing challenge of balancing affordability, financial sustainability and energy security.
OUTSTANDING GREEN CREDIT REACHES 828 TRILLION VND
VietnamPlus – 10 June 2026
Vietnam’s outstanding green credit has reached VND 828 trillion (approximately USD 31.8 billion), with 82 credit institutions providing financing for renewable energy, clean production, sustainable agriculture and other environmentally beneficial projects. Green credit has grown by more than 20 per cent annually on average since 2017, reflecting increasing efforts by the banking sector to support green growth and the transition to a low-carbon economy. Authorities are also considering a 2 per cent interest-rate subsidy for businesses implementing projects aligned with environmental, social and governance (ESG) standards, the circular economy and sustainable development objectives. The proposal highlights the growing role of sustainable finance in encouraging businesses to improve environmental performance, strengthen social responsibility and adopt more transparent governance practices.
AMENDMENTS TO ENVIRONMENTAL PROTECTION LAW COULD REDUCE 90% OF EIA REQUIREMENTS AND 52% OF COMPLIANCE COSTS
VnEconomy – 10 June 2026
Vietnam’s draft amendments to the Law on Environmental Protection propose a major simplification of environmental regulation, including reducing by more than 90 per cent the number of projects required to conduct environmental impact assessments (EIAs) and cutting compliance costs by over 52 per cent. The reforms would remove several administrative procedures, strengthen decentralisation and adopt a more risk-based approach that focuses regulatory oversight on projects with the greatest environmental impacts. Beyond easing regulatory burdens on businesses, the amendments also seek to support green transition, circular economy development, digital environmental management and carbon market implementation, reflecting efforts to balance investment facilitation with long-term sustainability objectives.
EV REGISTRATION FEE EXEMPTION EXTENDED TO 2030: A POWERFUL SIGNAL FOR FDI INFLOWS
VietnamPlus – 12 June 2026
Vietnam’s decision to extend the 0 per cent first-time registration fee for battery electric vehicles until the end of 2030 sends a strong signal of long-term policy support for the EV industry. The measure is expected to lower the upfront cost of EV ownership and encourage more consumers to switch from conventional vehicles. More importantly, it provides greater policy certainty for investors at a time when global automakers and battery manufacturers are reassessing their production and supply chain strategies in Southeast Asia. Stable and predictable incentives can play an important role in attracting investment in vehicle assembly, battery production and supporting industries. The extension also aligns with Vietnam’s broader goals of reducing transport emissions and developing a greener industrial base. However, maintaining momentum in the EV market will require continued expansion of charging infrastructure and supporting energy systems to keep pace with rising demand.
Summarised by Phan Le and Hai Thanh Nguyen
In collaboration with the ANU Institute for Climate, Energy & Disaster Solutions