REDUCING RESOURCE INTENSITY INDUSTRIAL SAFETY TECHNIQUE AND ENVIRONMENT AGENCY MINISTRY OF INDUSTRY AND TRADE Reducing resources intensity in industrial processes in Vietnam Nguyen Van Thanh - Deputy Director General

REDUCING RESOURCE INTENSITY Content State of using recourses in industrial processes Related Policies Solutions

REDUCING RESOURCE INTENSITY Industrial development

REDUCING RESOURCE INTENSITY GHGs emission from main sector Energy 50.4 Tg-35.1% Agriculture 65.1 Tg-45.4% Wastes 2.7 Tg-1.9% Forestation & Change the Land use purpose 15.1 Tg-10.6% Others Industries 10 Tg-7%

REDUCING RESOURCE INTENSITY Use energy in sub-sector

REDUCING RESOURCE INTENSITY Natural resource consumption in Breweries Natural recoursesunit Traditional Technology Normal Technology Best Technology In Vietnam Maltkg HeatMJ Fuel (by FO)lít ,5 ElectricitykWh Waterm3m3 2,0-3,50,7-1,50,40,6-2,0 NaOHkg0,50,250,10,2-0,4 Filtering assistance starch g

REDUCING RESOURCE INTENSITY INDUSTRIAL SAFETY TECHNIQUE AND ENVIRONMENT AGENCY MINISTRY OF INDUSTRY AND TRADE Natural resources for Paper Natural recourses unit VietnamIndia Northern Europe Fiber % yield HeatMcal 3 – Fuel (by FO)liter ElectricitykWh Waterm3m Chemicalskg Coalkg

REDUCING RESOURCE INTENSITY INDUSTRIAL SAFETY TECHNIQUE AND ENVIRONMENT AGENCY MINISTRY OF INDUSTRY AND TRADE Natural resources for steel Natural resourcesUnitEuropeViet Nam Scraped steelKg/t LimeKg/t CoalKg/t Graphite electrodeKg/t1,5 - 4,52,9 - 6,8 Total energyMJ/t6.000 – Electricitykwh/t Oxygenm 3 /t Cooling waterm 3 /t0 (Recycling)4 - 7

REDUCING RESOURCE INTENSITY INDUSTRIAL SAFETY TECHNIQUE AND ENVIRONMENT AGENCY MINISTRY OF INDUSTRY AND TRADE Related policies

REDUCING RESOURCE INTENSITY Waste water fees NoNo Pollutants in waste water Rate (VND/kg Pollutants in waste water) NameAbt Receiving Evt A Receiving Evt B Receiving Evt C Receiving Evt D 1 CODA COD 0.30,25 0,2 0,1 2 TSSA TSS 0.40,35 0,3 0,2 3 HgA Hg 20,00018,000 15, PbA Pb ArsenicA As 1, Cadmiu m A Cd 1, Inside big city Inside small city Suburb of big city Suburb of small city Remote area

REDUCING RESOURCE INTENSITY What’s problem? Industrial processes Waste water clean water Water Supply Treatment Plant Pay for treatment Pay for supply Enterprise Double pay

REDUCING RESOURCE INTENSITY Energy Policies Governmental Decree on energy efficiency and conservation –Compulsory Application of proper technology, energy efficiency in households, buildings Energy audit –Encourage R&D activity for reducing energy consumption; Tax, fee exemption or reduction: producing low energy consumption equipment; Labeling efficiency energy equipment. Now upgrading the Decree to Law on energy efficiency and conservation

REDUCING RESOURCE INTENSITY Energy Programme National targeted Program on energy efficiency and conservation: –Fulfilling the legislation on energy saving and conservation; –Raising awareness of energy efficiency: community, households, energy individual user, enterprises, hotels, –Supporting individuals, entity in innovation of technology for energy efficiency; –Demo pr ojects…

REDUCING RESOURCE INTENSITY Investment and Technology Policies –Encouraging technology research, development and transfer : Financial mechanism and incentives, Market development for technology transfer, environmental friendly services –Clean, environmental friend technology investment Tax: interest rate, grace period Incentives on land leasing, investment procedures –Transferring advanced technology from FDI

REDUCING RESOURCE INTENSITY Other Related programmes National program on application of clean, environmental friendly technology –Objective: Strengthening research, transfer and application of Clean technology Cleaner production strategy in industries –Objective: Enhancing effective uses of natural resources in industries through CP application Development of environmental industries Providing with environmental services, technology, products; pollutant control and dealing with environmental degradation; Sustainable usage of natural resources.

REDUCING RESOURCE INTENSITY Problems and Reasons Old technologies are relatively common on heavy industries (steel, electricity, chemicals, mineral mining), craftvilleages, small business; Weakness of financial capability; R&D, technology transfer still is behind the industrialization, modernization; Environmental costs are not fully internalized in production cost; Weak enforcement on effective usage of resources; relatively low and not fully internalized natural resources fee into production cost. Weakness of natural resources management.

REDUCING RESOURCE INTENSITY INDUSTRIAL SAFETY TECHNIQUE AND ENVIRONMENT AGENCY MINISTRY OF INDUSTRY AND TRADE Solutions

REDUCING RESOURCE INTENSITY Government Greening industry -Policy, mechanism, incentives for Green Industry initiatives: + Encouraging to produce and consume eco-products + Promoting application and transfer of environmental sound technology, low emission, low carbon -Gradually increasing NR fee; Fully internalized NR fee in production cost; -Being considered Green and environmental tax; -Effectively implementing all related national programs: Energy conservation and efficiency; Mitigation and adaptation on climate change; Cleaner production strategy; Environmental Industry… -Facilitating the international bilateral and multilateral cooperation in all levels: government, enterprises, institutes, services providers...

REDUCING RESOURCE INTENSITY Enterprises Industries -Compliance with Env. Regulations -Grasp opportunity, Business strategy development in the context of new trends -Continuously applying Cleaner production, energy efficiency & conservation measures, 3R -Environmental friendly technology -Knowledge and capacity in the context of new requirements

REDUCING RESOURCE INTENSITY Others stakeholders Community Changing habits, attitude on goods consumption toward eco-products. International community: UNIDO,… - Experience sharing, supporting to ASIAN in Green Industry development, Policy, mechanism, incentives... - Technical assistance, technology transfer: CP, Clean technology, energy area, waste management. - Supporting Environmental industry development - Facilitating experience sharing between developing and developed countries

REDUCING RESOURCE INTENSITY INDUSTRIAL SAFETY TECHNIQUE AND ENVIRONMENT AGENCY MINISTRY OF INDUSTRY AND TRADE Thanks for your attention