Providing support to Vietnam for the implementation of the Paris Agreement.
As of: October 2021
Viet Nam is pursuing a dedicated climate policy. The country was one of the first nations to draw up an action plan to implement the Paris Agreement. The project supports the Vietnamese government in creating the framework conditions for the implementation of the Nationally Determined Contributions (NDCs) and the Paris Agreement. The focus is on advising the Ministry of Environment (MONRE) on the development of the NDCs, the establishment of an institutional framework for the implementation of the Paris Agreement and the development of Nationally Appropriate Mitigation Actions (NAMAs) . The project also develops mitigation measures and carries out adaptation measures in two provinces. These measures will be extended to other areas and both will contribute to achieving the Vietnamese NDCs. The programme also coordinates the “IKI Interface for Vietnam”, which, among other tasks, networks the IKI projects in the country.
State of implementation/results
- SIPA provided technical advice to the review and update of the NDC. On 24 July 2020, the revised NDC was confirmed by the Prime Minister and submitted to the UNFCCC Secretariat on 11 September 2020. The ambition level was slightly increased in contrast to the (I)NDC of 2015
- The mitigation target with international support is now 27% by 2030 compared to the business-as-usual scenario (9% from national funds).
- Due to an improved information base (a new, more comprehensive greenhouse gas inventory is now available), a new baseline scenario for the NDC was developed. Newly included in the NDC is the sector "industrial processes", which accounted for about 12% of the country's total emissions in 2014. With five sectors instead of four and a separate chapter on climate change adaptation and co-benefits priorities and targets, the content of the updated NDC has been significantly expanded compared to the (I)NDC.
- In 2019/2020, SIPA provided technical support for a major revision of the climate change chapter in Viet Nam's revised Law on Environmental Protection. The amendment was submitted to the National Assembly in October and approved in November 2020. It will come into force on 1 January 2022. The amendment not only strengthens legal aspects related to pollution and environmental degradation, but overall pursues the goal of an environmentally friendly, low-carbon economy, in line with the country's sustainable development goals. It serves as the legal basis for Viet Nam's commitments to reduce greenhouse gas emissions under the Paris Climate Agreement and creates a legal basis for an emissions trading system.
- Further support is now being provided in the formulation and adoption of the chapter's subordinate legislation.
- SIPA has supported the Ministry of Construction (MOC) in Viet Nam to prepare a climate change project idea and submitted it to the NAMA Facility in September 2020. The aim of this joint initiative with the French development organisation (AFD) is to sustainably transform the building sector towards decarbonisation. The idea was selected from 58 submissions for a review mission in early 2021. The week-long review mission took place in early March with nearly 40 stakeholders and the participation of five line ministries, all of which pledged their support for the project idea.
- The NAMA support project envisages the introduction of an incentive scheme for energy consumption in high-rise buildings. By establishing a government label to mark CO2 performance and linking it to a financial mechanism through a digital platform, both housing developers and homeowners will have access to discounted loans - housing developers for energy-efficient building design and homeowners for purchasing high-energy household appliances.
- In the medium term, green bonds will then provide preferential financing.
- Currently, the project supports MONRE in the development of the climate change strategy 2021 to 2030, outlook to 2050. To this end, several coordination meetings took place between the climate change department of MONRE (DCC), SIPA and UNDP. GIZ (SIPA) will provide technical support regarding the mitigation component and UNDP regarding the adaptation component.
- In three sectors (construction, agriculture and transport), policy partners are currently being supported in developing sectoral climate action plans or in integrating NDC targets into existing sectoral frameworks.
- Together with the Ministry of Agriculture, SIPA is currently developing a strategy for decarbonisation of the rice sector to be submitted to an international climate fund.
- Based on the success of the IKI networking workshop in 2020, a concept for a workshop in 2021 is currently being developed, which will be themed "Climate Finance".