Petrovietnam Journal

Industrial-energy center model: A sustainable development and value chain integration solution for PETROVIETNAM

Manh Hung Le — 2026-05-04

In the context of the global energy transition and the implementation of the Vietnamese Government's commitment to achieving net-zero emissions by 2050, shifting the growth model from traditional oil and gas to an integrated industrial and multi-energy framework has become an inevitable requirement for national energy groups. This study analyzes the scientific and practical foundations to propose an Industrial-Energy Center (IEC) model for the Vietnam National Industry - Energy Group (PETROVIETNAM), with the aim of building a circular industrial-energy ecosystem, optimizing resource utilization, and reducing greenhouse emissions. The proposed model is structured around three strategic pillars: (i) Clean energy cluster; (ii) Green and low-carbon industrial cluster; and (iii) Logistics, R&D, and agro-hub service cluster. The analysis indicates that the formation of IECs has the potential to create new growth poles, helping PETROVIETNAM achieve its strategic goals in revenue and sustainable development. Accordingly, the study also proposes policy recommendations to establish a dedicated regulatory framework for the IEC model, particularly designating PETROVIETNAM as the “Master Developer” and a single-approval mechanism for “National Strategic Project Clusters”.

Energy transition and decarbonization of PETROVIETNAM: Challenges, opportunities, and sustainable development orientations

Dang Khoa Nguyen — 2026-05-04

This paper analyzes the emissions profile, key challenges, and energy transition opportunities of the Vietnam National Industry - Energy Group (Petrovietnam), based on greenhouse gas inventory data, business-as-usual (BAU) emissions projections, and the Group’s energy development orientations. The results indicate that total greenhouse gas emissions during 2021 - 2025 were estimated at 129.4 million tonnes of CO₂ equivalent, with power generation accounting for 74%. Under the BAU scenario, emissions are projected to increase from 46.9 million tonnes of CO₂ equivalent in 2030 to 106.6 million tonnes in 2050, highlighting the growing need for emissions mitigation, particularly in power generation.

Based on an assessment of the challenges facing PETROVIETNAM’s energy transition, the paper proposes prioritising emissions reductions in existing operations, developing decarbonisation pathways for major emitting sectors, integrating environmental, social and governance (ESG) criteria into investment decisions, strengthening access to green finance, and improving independently verified emissions data systems. These orientations aim to align Petrovietnam’s decarbonisation efforts with national energy security requirements and long-term sustainable development.

Petrovietnam's capacity to participate in the clean hydrogen and ammonia value chain

Huu Luong Nguyen — 2026-05-04

Clean hydrogen, encompassing green hydrogen and blue hydrogen, has significant potential to replace fossil fuels in hard-to-abate sectors. Based on an analysis of the clean hydrogen and ammonia value chain and the existing capabilities of the Vietnam National Industry - Energy Group (PETROVIETNAM), this study assesses PETROVIETNAM’s potential role and proposes strategic directions for integrating the production and application of clean hydrogen and ammonia into its existing business activities, including fertilizer production, refining and perochemicals, power generation, and maritime transport.

The study estimates that by 2050, PETROVIETNAM's demand for clean hydrogen and green ammonia to support its decarbonization targets could reach approximately 1 million tonnes per year and 3.5 million tonnes per year, respectively. Based on these findings, the study proposes a development roadmap for clean hydrogen and ammonia, with the objective of establishing PETROVIETNAM as a leading supplier of clean hydrogen and ammonia for Vietnam's emerging new energy ecosystem and the broader regional market by 2050.

Financial mechanisms to accelerate large-scale carbon capture and storage project deployment

Trung Khuong Nguyen — 2026-05-04

Carbon Capture and Storage (CCS) technology plays a pivotal role in achieving Net-Zero emissions by 2050, particularly for hard-to-abate industrial sectors. However, economic barriers arising from massive Capital Expenditures (CAPEX) and Operating Expenses (OPEX) remain the most significant challenges to large-scale deployment. This paper analyzes financial mechanisms and policy frameworks supporting CCS, drawing on international experiences from the United States, the European Union, Norway, and the ASEAN region. The research indicates that to ensure economic viability, it is essential to establish “revenue stacking” models that combine capital subsidies, tax credits (such as the U.S. 45Q), and market de-risking instruments like Carbon Contracts for Difference. Furthermore, transitioning to shared infrastructure models (Hubs & Clusters) and integrating into international carbon markets under Article 6 of the Paris Agreement are inevitable trends to optimize costs and unlock investment flows. The findings provide lessons for building a sustainable CCS ecosystem through close coordination between government support and market-based mechanisms.

Potential products from CO2 in line with Vietnam's energy transition trends

Huu Luong Nguyen — 2026-05-04

Promising pathways for CO₂ utilisation include the production of urea, synthetic fuels, polymer materials, nanocarbons, green chemicals, and green building materials. The analyses and assessments presented herein outline a clear picture of the potential development of CO₂-derived products in Vietnam toward 2030, 2040, and 2050 - in the context of the country's progressive energy transition, its commitment to achieving Net-zero emissions by 2050, and its pursuit of a low-carbon economy. Through 2030, CO₂-derived products will remain predominantly conventional (urea), already manufactured at existing fertilizer plants in Vietnam. It should be noted, however, that the current CO₂ feedstock for urea production is primarily sourced from within the plants' own process streams - specifically from natural gas reforming or coal gasification processes. Novel technologies for converting CO₂ into products that substitute fossil-based counterparts are currently being deployed mainly at pilot scale for techno-economic assessment. From 2030 onwards, as CO₂ conversion technologies gradually mature and improve in techno-economic performance, new CO₂-derived products will progressively displace their conventional equivalents in the market; the volume of CO₂ required for such new products is projected to reach approximately 5.3 and 24.5 million tonnes per year by 2040 and 2050, respectively. Achieving 20% of these potential values would be broadly comparable to the Government's targets and roadmap for carbon capture, utilisation, and storage (CCUS). Nevertheless, realizing the full potential of CO₂ utilisation remains highly dependent on technological progress, production cost reductions, and the policy mechanisms governing the uptake of these products.

Identification and assessment of environmental and social impacts associated with geological CO2 storage implementation in Vietnam

Phi Hung Tran — 2026-05-04

Carbon capture and storage (CCS) is a key solution for reducing greenhouse gas emissions, with geological CO₂ storage playing a critical role in achieving long-term emission reduction. However, it also entails potential environmental and social risks that need to be identified and managed from the site selection stage. This study evaluates the key environmental and social aspects associated with geological CO₂ storage implementation at the Tien Hai field (onshore), the Cuu Long Basin, and the Malay - Tho Chu basin (offshore). Based on quantitative assessments and risk scenario modeling, the study proposes management and monitoring orientations tailored to different site types (onshore and offshore), aiming to ensure the sustainability and feasibility of geological CO₂ storage projects during their implementation in Vietnam.

Policies for sustainable aviation fuel development: Lessons learned and policy directions for Vietnam

Hong Nguyen Le — 2026-05-04

This study analyzes the legal frameworks, implementation roadmaps, and policies mechanisms for sustainable aviation fuel (SAF) development in the European Union, the United States, Singapore, South Korea, Japan, and some ASEAN member countries. Based on systematic analysis and comparative assessment, the study clarifies the differences between countries that have progressed to actual SAF implementation and those that remain at the stage of setting policy targets, while also identifying the enabling factors as well as the technical, financial, and institutional barriers to implementation. Drawing on international experience, the study proposes directions for Vietnam to formulate a SAF development roadmap that aligns with domestic conditions and available feedstock resources.

Development orientation for sustainable aviation fuel of the Petrovietnam Refining and Petrochemical Corporation

Ngoc Duong Bui — 2026-05-04

Sustainable aviation fuel (SAF) plays an important role in the aviation sector’s decarbonization pathway due to its compatibility with existing aircraft engines and fuel infrastructure, requiring minimal technological modifications. Based on an analysis of the SAF market and policy landscape, an assessment of the maturity of current SAF production technologies, and an evaluation of the potential availability of feedstocks in Vietnam, this study proposes a SAF development roadmap for Petrovietnam Refining and Petrochemical Corporation (BSR) for the periods before and after 2035.

The results indicate that the HEFA (hydroprocessed esters and fatty acids) pathway represents the most feasible option for short‑ and medium‑term deployment at the Dung Quat Refinery, owing to its relatively low investment cost, high level of commercialization, and ability to utilize locally available feedstocks such as used cooking oil and fish oil. In the long‑term, as technological and economic barriers continue to decline, the study recommends ongoing monitoring and evaluation of other promising pathways, including alcohol‑to‑jet (ATJ), Fischer-Tropsch (FT) and power‑to‑liquid (PtL). The study also highlights that a comprehensive policy framework, effective financial mechanisms, and a stable feedstock supply chain are critical prerequisites for the successful implementation of SAF projects. These factors will play an important role in supporting Vietnam's commitment to achieving net-zero greenhouse gas emissions by 2050.

Technology development and pilot-scale production of biodiesel production from lipid by-products with high free fatty acid content using heterogeneous catalysts under subcritical methanol conditions

Thi Thu Ha Vu — 2026-05-04

This study presents the results of pilot-scale testing of a B100 biodiesel production system using rice bran acid oil (RBAO) and used cooking oil (UCO) as feedstocks, with a heterogeneous catalyst under subcritical methanol conditions. These feedstocks are difficult to process using conventional biodiesel technologies because of their high free fatty acid (FFA) content. In particular, RBAO contains significant amounts of water and organic impurities, which can negatively affect the esterification and transesterification processes and reduce biodiesel conversion efficiency. The pilot-scale system was operated continuously and stably at approximately 200°C, a pressure of 35 - 36 bar, and a methanol-to-oil ratio of 6:1. The results showed biodiesel conversion efficiency exceeding 98.5% for both feedstocks, while the recovery yields of purified B100 reaching 88.9% for UCO and 86.26% for RBAO. The results demonstrate that heterogeneous catalysis process under subcritical methanol conditions can effectively convert feedstocks with high acid content and substantial impurities under continuous pilot-scale operation. The technology exhibited strong potential for scale-up to industrial production of biodiesel from by-products and waste materials available in Vietnam.

Developing a sustainability indicator framework for the Vietnam National Industry - Energy Group

Thi Minh Thu Ngo — 2026-05-04

Amid the increasingly widespread adoption of global sustainability/ESG standards, particularly the ISSB standards, which have become mandatory in more than 21 countries (accounting for roughly 60% of global GDP), the development of a sustainable measurement system has become an urgent requirement for national energy corporations. This study assesses the current state of sustainable development practices at member units of the Vietnam National Industry - Energy Group (PETROVIETNAM), based on an analysis of widely recognized international frameworks (such as GRI, SASB, IFRS, and ESRS) and domestic indicator frameworks (including CSI, VNSI), combined with a survey conducted across 10 member units.

On this basis, the study proposes a framework of sustainable development indicators for PETROVIETNAM comprising six main thematic groups: (i) Economic and Financial Performance; (ii) Governance and Business Ethics; (iii) Energy and Climate Change; (iv) Environment; (v) Health, Safety and Security; and (vi) Labor and Society. The proposed indicator framework is designed to be quantitative and outcome-based, aiming to standardize the monitoring, measurement, and evaluation of policy effectiveness, and to provide a scientific and practical basis for PETROVIETNAM to improve its sustainable development governance system and enhance its competitiveness.