Decree 06/2022/ND-CP regulations on reduction of greenhouse gas emissions and protection of the ozone layer

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Decree No. 06/2022/ND-CP dated January 07, 2022 of the Government providing the mitigation of greenhouse gas emissions and protection of the ozone layer
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Official number:06/2022/ND-CPSigner:Le Van Thanh
Type:DecreeExpiry date:Updating
Issuing date:07/01/2022Effect status:
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Fields:Natural Resources - Environment

SUMMARY

From 2040, to ban the import and export of HCFC

On January 07, 2022, the Government promulgates the Decree No. 06/2022/ND-CP providing regulations on reduction of greenhouse gas emissions and protection of the ozone layer.

Controlled ozone-depleting substances include: Bromochloromethane; Carbon tetrachloride (hereinafter referred to as CTC); Chlorofluorocarbon (hereinafter referred to as CFC); Halon; Hydrobromofluorocarbon (hereinafter referred to as HBFC); Hydrochlorofluorocarbon (hereinafter referred to as HCFC); Methyl bromide; Methyl chloroform.

The roadmap for management and phaseout of HCFC by period shall be as follows: From January 01, 2022 to the end of December 31, 2024, the total national consumption must not exceed 65% of the baseline consumption; From January 01, 2025 to the end of December 31, 2029, the total national consumption must not exceed 32.5% of the baseline consumption; etc. From January 01, 2040, to ban the import and export of HCFC.

Also, Methyl bromide shall be only imported for the purpose of sterilization and quarantine of imported goods. Greenhouse gas-emitting establishments subject to greenhouse gas inventory are establishments that have the annual greenhouse gas emissions of 3,000 tons of CO2 equivalent or more, or fall in one of the following cases: Commercial buildings with the total annual energy consumption of 1,000 TOE or more; Establishments treating solid wastes with an annual operational capacity of 65,000 tons or more; etc.

This Decree takes effect on January 07, 2022.

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TTXVN

THE GOVERNMENT

 

THE SOCIALIST REPUBLIC OF VIETNAM
Independence - Freedom - Happiness

No. 06/2022/ND-CP

 

Hanoi, January 7, 2022

 

DECREE

 Providing the mitigation of greenhouse gas emissions and protection of the ozone layer[1]

 

Pursuant to the June 19, 2015 Law on Organization of the Government; and the November 22, 2019 Law Amending and Supplementing a Number of Articles of the Law on Organization of the Government and the Law on Organization of Local Administration;

Pursuant to the November 17, 2020 Law on Environmental Protection;

At the proposal of the Minister of Natural Resources and Environment,

The Government promulgates the Decree providing the mitigation of greenhouse gas emissions and protection of the ozone layer.

 

Chapter I

GENERAL PROVISIONS

Article 1. Scope of regulation

This Decree details a number of articles of the Law on Environmental Protection, including Article 91 on mitigation of greenhouse gas emissions, Article 92 on protection of the ozone layer, and Article 139 on organization and development of the carbon market.

Article 2. Subjects of application

This Decree applies to organizations and individuals involved in greenhouse gas emission, greenhouse gas emission mitigation and greenhouse gas absorption activities; participating in the development of the domestic carbon market; and undertaking the production, import, export, consumption and treatment of controlled ozone-depleting substances and contributors to the greenhouse effect under the Montreal Protocol on Substances that Deplete the Ozone Layer (below referred to as the Montreal Protocol).

Article 3. Interpretation of terms

1. Intergovernmental Panel on Climate Change (IPCC) means the United Nations agency responsible for providing scientific information and grounds on climate change caused by humans, its effects on nature, politics and economy, and climate change response measures.

2. Controlled ozone-depleting substances and contributors to the greenhouse effect within the framework of the Montreal Protocol (below referred to as controlled substances) means the substances or compounds specified in Annexes A, B, C, E and F to the Montreal Protocol.

3. Industrial processes means industrial activities that cause greenhouse gas emissions from chemical and physical processes without energy consumption; and constitute one of the sectors subject to greenhouse gas inventory under the United Nations Framework Convention on Climate Change.

4. United Nations Framework Convention on Climate Change (UNFCCC) means an environmental treaty that aims to minimize human interference with the global climate system, in part by stabilizing greenhouse gas concentrations in the atmosphere.

5. Mechanisms for carbon credit exchange and offset means mechanisms for registration and implementation of programs and projects on mitigation of greenhouse gas emissions and creation of carbon credits by methods recognized internationally or by Vietnam. Carbon credits from programs and projects may be exchanged on the carbon markets or offset for the amount of greenhouse gas emissions exceeding the allocated allowance.

6. Nationally determined contributions (NDCs) means contributions to climate change response committed by a nation, including greenhouse gas emission adaptation and mitigation goals and climate change response policies and measures for achieving the goals set out in the Paris Agreement.

7. Measurement, reporting and verification (MRV) system for greenhouse gas emission mitigation is a system for collection, processing, management, storage, provision and examination of information and verification of outcomes of greenhouse gas emission mitigation to ensure transparency, accuracy and verifiability.

a/ Measurement means determining the greenhouse gas amount reduced thanks to the measure of greenhouse gas emission mitigation by the method recognized by a competent authority;

b/ Reporting means calculating, summarizing and sending outcomes of measurement of the reduced level of greenhouse gas emissions and other relevant information according to the guidance, processes and forms issued by a competent authority;

c/ Verification means evaluating reports on outcomes of measurement of the reduced level of greenhouse gas emissions and other relevant information according to the method and process issued by a competent authority.

8. Business-as-Usual (BAU) scenario means a scientifically based presumption on the level of greenhouse gas emissions under normal future socio-economic development conditions in the absence of a greenhouse gas emission mitigation measures.

9. Greenhouse gas inventory means collecting information and data on sources of greenhouse gas emissions, and calculating greenhouse gas emission amounts and absorbed amounts within a specified area in a given year according to the method and process issued by a competent authority.

10. Montreal Protocol means a treaty on protection of the ozone layer by phasing out the production and consumption of ozone-depleting substances and contributors to the greenhouse effect that exert adverse effects on human health and the environment.

11. Nominal cooling capacity means the cooling capacity of cooling equipment or air conditioners under standard conditions that is written in manufacturers’ labels.

12. Carbon credit exchange means a center for processing transactions of buying and selling carbon credits and greenhouse gas emission allowances and auctioning, borrowing, returning and transferring greenhouse gas emission allowances.

13. Recycling of controlled substances means a disposal process applying technological or technical solutions to recover components of the controlled substances for use according to the properties of initial substances.

14. Reuse of controlled substances means the reuse of controlled substances after they are cleaned but still have their properties intact.

15. Ton of CO2 equivalent means an amount of greenhouse gases converted into one ton of CO2 equivalent according to the global warming potential of such greenhouse gases. The global warming potentials of greenhouse gases shall be set by the IPCC.

16. Paris Agreement means a treaty within the framework of the UNFCCC, which entered into force in 2021 and defines the responsibilities of the member states for greenhouse gas emission adaptation and mitigation through NDCs.

17. Collection of controlled substances means retrieving controlled substances from a system and storing them in an external container.

18. Exchange of greenhouse gas emission allowances and carbon credits means buying, selling, auctioning, borrowing, returning and transferring greenhouse gas emission allowances and carbon credits on carbon credit exchanges.

19. Disposal of controlled substances means a process of destroying controlled substances by technological or technical solutions so as not to cause adverse effects on human health and the environment.

Article 4. Principles of mitigation of greenhouse gas emissions and protection of the ozone layer

1. Mitigation of greenhouse gas emissions and protection of the ozone layer must suit socio-economic conditions and comply with current laws, and regulations and treaties pertaining to the development of a low-carbon economy and green growth in close association with sustainable development.

2. Management of the mitigation of greenhouse gas emissions must adhere to the principles of responsibility, consistency, fairness and transparency; greenhouse gas emission mitigation goals may be adjusted by the Prime Minister based on national development priorities and treaties to which the Socialist Republic of Vietnam is a contracting party.

3. Exchange of greenhouse gas emission allowances and carbon credits must ensure publicity and harmony of interests of stakeholders on the carbon market. Organizations and individuals may voluntarily participate in the carbon market.

4. Import and export of controlled ozone-depleting substances and contributors to the greenhouse effect may be carried out only with the member states of the Montreal Protocol according to the roadmaps set therein.

 

Chapter II

MITIGATION OF GREENHOUSE GAS EMISSIONS, ORGANIZATION AND DEVELOPMENT OF THE CARBON MARKET

Section 1

MITIGATION OF GREENHOUSE GAS EMISSIONS

Article 5. Entities subject to mitigation of greenhouse gas emissions

1. Establishments on the Prime Minister-issued list of sectors or establishments emitting greenhouse gases subject to greenhouse gas inventory.

2. Ministries managing the sectors of energy, agriculture, land use and forestry, wastes, and industrial processes, namely the Ministries of Industry and Trade; Transport; Agriculture and Rural Development; Natural Resources and Environment; and Construction.

3. Organizations and individuals other than those defined in Clause 1 of this Article are encouraged to carry out greenhouse gas emission mitigation as suitable to their conditions and operation.

Article 6. Making and updating of the list of sectors and establishments subject to greenhouse gas inventory

1. A greenhouse gas-emitting establishment subject to greenhouse gas inventory is an establishment emitting an annual amount of greenhouse gases of 3,000 tons of CO2 equivalent or more or falls into one of the following cases:

a/ A thermal power plant or an industrial production establishment consuming a total annual energy amount of 1,000 tons of oil equivalent (TOE) or more;

b/ A cargo transport company consuming a total annual fuel amount of 1,000 TOE or more;

c/ A commercial building consuming a total annual fuel amount of 1,000 TOE or more; or,

d/ A solid waste treatment facility with an annual operational capacity of 65,000 tons or more.

2. The Ministry of Natural Resources and Environment shall assume the prime responsibility for, and coordinate with the ministries defined in Clause 2, Article 5 of this Decree and provincial-level People’s Committees in, reviewing, summarizing and making a list of sectors and establishments subject to greenhouse gas inventory and submit it to the Prime Minister for issuance; and submit the updated list on a biennial basis to the Prime Minister for decision.

3. Provincial-level People’s Committees shall direct their related specialized agencies to perform the following tasks on a biennial basis:

a/ Based on the criteria specified in Clause 1 of this Article, to review data on energy consumption, capacity and size of establishments on the list of greenhouse gas-emitting sectors and establishments subject to greenhouse gas inventory of the year preceding the year of review;

b/ To update and adjust the list of greenhouse gas-emitting establishments subject to greenhouse gas inventory in their localities based on the criteria specified in Clause 1 of this Article and send it to the Ministry of Natural Resources and Environment and related line ministries before June 30, starting from 2023.

Article 7. Goals, roadmap and modes for greenhouse gas emission mitigation

1. Greenhouse gas emission mitigation goals shall be approved by the Prime Minister in NDCs, including the goals of greenhouse gas emission mitigation for the energy, agriculture, land use and forestry, and waste management sectors and industrial processes suitable to the country’s socio-economic development conditions and treaties to which the Socialist Republic of Vietnam is a contracting party, which are provided in Appendix I to this Decree.

2. The Ministry of Natural Resources and Environment shall assume the prime responsibility for, and coordinate with related ministries and agencies in, periodically updating NDCs in conformity with the Paris Agreement on Climate Change, and submit them to the Prime Minister for approval.

3. The ministries defined in Clause 2, Article 5 of this Decree shall formulate and issue plans on greenhouse gas emission mitigation in the sectors under their management for the period through 2030, with a phase through 2025; and implement management measures to achieve the greenhouse gas emission mitigation goals stated in NDCs.

4. The establishments defined in Clause 1, Article 5 of this Decree shall implement greenhouse gas emission mitigation according to sector-based greenhouse gas emission mitigation plans and the following roadmap:

a/ Providing information and operational data serving establishment-based greenhouse gas inventory, and devising and implementing greenhouse gas emission mitigation measures as suitable to their conditions;

b/ From 2026 through 2030, carrying out greenhouse gas inventory, making and implementing greenhouse gas emission mitigation plans based on allowances allocated by the Ministry of Natural Resources and Environment as conformable to the greenhouse gas emission mitigation goals; being allowed to exchange and trade in greenhouse gas emission allowances and carbon credits on carbon credit exchanges.

5. For new investment projects, it is encouraged to apply technologies and production processes and provide services with less greenhouse gas emissions or participate in cooperation mechanisms and modes on greenhouse gas emission mitigation in conformity with law and treaties to which the Socialist Republic of Vietnam is a contracting party.

6. Modes of greenhouse gas emission mitigation:

a/ Policies and measures to manage greenhouse gas emission mitigation activities;

b/ Sector- and establishment-based greenhouse gas emission mitigation plans;

c/ Technologies, production processes and services emitting less greenhouse gas;

d/ Cooperation mechanisms and modes on greenhouse gas emission mitigation in conformity with law and treaties to which the Socialist Republic of Vietnam is a contracting party.

Article 8. Increase of greenhouse gas absorptions

1. Organizations, households, individuals and residential communities that are allocated or leased forests; allocated or leased land for afforestation; restore and develop forests by themselves; or acquire, are donated or bequeathed forests under law shall devise and implement sustainable forest management measures, protect and increase the coverage, biomass and quality of forests for increasing their greenhouse gas absorbability.

2. The subjects defined in Clause 1 of this Article may participate in domestic and international mechanisms for exchanging and offsetting carbon credits in conformity with law and treaties to which the Socialist Republic of Vietnam is a contracting party.

3. The Ministry of Agriculture and Rural Development shall, in coordination with provincial-level People’s Committees, assume the prime responsibility for:

a/ Setting goals and roadmaps for application of modes to increase greenhouse gas absorptions from sustainable forest management and protection and increase of forest coverage, biomass and quality, and integrate them into sector-based greenhouse gas emission mitigation plans specified in Clause 3, Article 13 of this Decree;

b/ Collecting data, calculating levels of greenhouse gas absorption in forest eco-zones on the basis of forest survey, and include them in sector-based greenhouse gas inventory reports specified in Clause 3, Article 11 of this Decree;

c/ Monitoring and evaluating the implementation of activities to increase greenhouse gas absorptions from sustainable forest management, protection and increase of the coverage, biomass and quality of forests nationwide.

4. The Ministry of Natural Resources and Environment shall:

a/ Give written opinions on the proposals to implement programs and projects participating in mechanisms for exchanging and offsetting carbon credits obtained from activities to increase greenhouse gas absorptions to ensure achievement of the national goals on greenhouse gas emission mitigation and conformity with treaties to which Vietnam is a contracting party;

b/ Manage, and summarize information on, the implementation of programs and projects participating in mechanisms for exchanging and offsetting carbon credits obtained from activities to increase greenhouse gas absorptions;

c/ Summarize data on greenhouse gas absorptions nationwide, and prepare national biennial reports on greenhouse gas inventory.

Article 9. National system of measurement, reporting and verification of greenhouse gas emission mitigation

1. Monitoring and supervision of the observance of regulations on greenhouse gas emission mitigation shall be carried out via the national system of measurement, reporting and verification of greenhouse gas emission mitigation.

2. The Ministry of Natural Resources and Environment shall, as the focal point of the national system of measurement, reporting and verification of greenhouse gas emission mitigation, inspect the observance of regulations on measurement, reporting and verification of greenhouse gas emission mitigation under Article 10 of this Decree; and develop and operate an online national database on measurement, reporting and verification of greenhouse gas emission mitigation.

3. The ministries defined in Clause 2, Article 5 of this Decree shall:

a/ Develop and issue technical processes and regulations on measurement, reporting and verification of greenhouse gas emission mitigation in the sectors under their management;

b/ Guide establishments operating in the sectors under their management to carry out measurement, reporting and verification of greenhouse gas emission mitigation;

c/ Inspect the observance of regulations on measurement, reporting and verification of greenhouse gas emission mitigation by the establishments defined in Clause 1, Article 5 under their management;

d/ Develop and operate their online databases on measurement, reporting and verification of greenhouse gas emission mitigation in the sectors under their management in consistency with the national online database on measurement, reporting and verification of greenhouse gas emission mitigation specified in Clause 2 of this Article.

4. Other related ministries and ministerial-level agencies shall:

a/ Provide operational data and relevant information serving national and sector-based measurement, reporting and verification of greenhouse gas emission mitigation at the request of the Ministry of Natural Resources and Environment and the ministries defined in Clause 2, Article 5 of this Decree;

b/ Coordinate with the Ministry of Natural Resources and Environment and the ministries defined in Clause 2, Article 5 of this Decree in inspecting the observance of regulations on measurement, reporting and verification of greenhouse gas emission mitigation in the sectors under their management.

5. Provincial-level People’s Committees shall direct their related specialized agencies:

a/ To inspect and supervise the implementation of greenhouse gas emission mitigation plans and the observance of regulations on measurement, reporting and verification of greenhouse gas emission mitigation by the establishments defined in Clause 1, Article 5 of this Decree in the localities under their management;

c/ To provide relevant information and data serving national and sector-based measurement, reporting and verification of greenhouse gas emission mitigation at the request of the Ministry of Natural Resources and Environment and the ministries defined in Clause 2, Article 5 of this Decree.

6. The establishments defied in Clause 1, Article 5 of this Decree, the verification units defined in Clause 1, Article 14, and other related organizations shall observe regulations on measurement, reporting and verification of greenhouse gas emission mitigation; and provide additional information and operational data to serve national and sector-based measurement, reporting and verification of greenhouse gas emission mitigation at the request of the Ministry of Natural Resources and Environment and the ministries defined in Clause 2, Article 5 of this Decree.

Article 10. Activities of measurement, reporting and verification of greenhouse gas emission mitigation

1. Requirements on measurement, reporting and verification of greenhouse gas emission mitigation

a/ Measurement shall be carried out according to the process of measurement, reporting and verification of greenhouse gas emission mitigation issued by a competent agency, ensuring accuracy, transparency, continuity and consistency of measurement results. Measurement methods shall be issued by competent state management agencies on the basis of the UNFCCC and in conformity with Vietnam’s conditions;

b/ Reports on greenhouse gas emission mitigation must fully and accurately reflect information on measurement methods, operational data, applied emission factor, technological solutions, management modes for greenhouse gas emission mitigation, and outcomes of greenhouse gas emission mitigation. Reports must comprehensively reflect greenhouse gas emission mitigation activities and shall be made according to set forms, modes and time stated in the process of measurement, reporting and verification issued by a competent agency;

c/ Verification of greenhouse gas emission mitigation reports shall be carried out by qualified units according to the procedures adopted by the Ministry of Natural Resources and Environment and detailed guidance of the ministries defined in Clause 2, Article 5 of this Decree. Outcomes of greenhouse gas emission mitigation shall be publicized by competent agencies.

2. Measurement of greenhouse gas emission mitigation

a/ The establishments defined in Clause 1, Article 5 of this Decree shall measure outcomes of their implementation of greenhouse gas emission mitigation measures according to the guidance of line ministries;

b/ The ministries defined in Clause 2, Article 5 of this Decree shall measure outcomes of implementation of sector-based greenhouse gas emission mitigation measures, covering implementation of policies, legal provisions, strategies, programs, plans and other measures on greenhouse gas emission mitigation in the sectors under their management.

3. Reporting on greenhouse gas emission mitigation

a/ The establishments defined in Clause 1, Article 5 of this Decree shall prepare reports on establishment-based greenhouse gas emission mitigation for the year preceding the reporting period according to Form No. 02 provided in Appendix III to this Decree and send them to the Ministry of Natural Resources and Environment, the ministries defined in Clause 2, Article 5 of this Decree, and related specialized agencies under provincial-level People’s Committees before March 31, starting from 2027;

b/ The ministries defined in Clause 2, Article 5 of this Decree shall prepare annual reports on sector-based greenhouse gas emission mitigation according to Form No. 01 provided in Appendix III to this Decree and send them to the Ministry of Natural Resources and Environment before January 15, starting from 2024;

c/ The Ministry of Natural Resources and Environment shall review and summarize sector- and establishment-based reports on greenhouse gas emission mitigation, and prepare general reports on greenhouse gas emission mitigation.

4. Verification of greenhouse gas emission mitigation

a/ Verification of establishment-based greenhouse gas emission mitigation shall be carried out by the appraisal units defined in Article 14 of this Decree every year, starting from 2026, according to the measurement, reporting and verification processes issued by the ministries defined in Clause 2, Article 5 of this Decree;

b/ Verification of sector-based greenhouse gas emission mitigation shall be carried out by the ministries defined in Clause 2, Article 5 of this Decree every year, starting from 2023, and verification reports shall be sent to the Ministry of Natural Resources and Environment for summarization;

c/ Verification of general reports on greenhouse gas emission mitigation shall be carried out by the Ministry of Natural Resources and Environment in coordination with related ministries and sectors to serve the formulation of a national report on climate change response and other national reports on climate change according to international commitments to implementing the UNFCCC;

d/ The process of verification of greenhouse gas emission mitigation shall be issued by the Minister of Natural Resources and Environment.

Article 11. Greenhouse gas inventory

1. Requirements on greenhouse gas inventory

a/ Greenhouse gas inventory methods shall be applied according to greenhouse gas inventory guidance of the IPCC;

b/ Operational data serving greenhouse gas inventory must ensure continuity, accuracy and reliability and enable checking, collation and evaluation;

c/ Reports on greenhouse gas inventory must fully show information on inventory method, operational data, applied emission factor, and results of greenhouse gas inventory;

d/ Verification of greenhouse gas inventory results must comply with the verification procedures issued by the Ministry of Natural Resources and Environment, ensuring consistency and reliability;

dd/ Information on results of national and sector-based greenhouse gas inventory shall be disclosed on the websites of state management agencies in charge of climate change and relevant sectors.

2. The Ministry of Natural Resources and Environment, as the focal point in charge of national-level greenhouse gas inventory, shall:

a/ Assume the prime responsibility for organizing national-level greenhouse gas inventory; and set periods of sector- and establishment-based greenhouse gas inventory to ensure consistency according to regulations;

b/ Popularize methods of national-level and sector-based greenhouse gas inventory according to the guidance of the IPCC;

c/ Coordinate with line ministries in popularizing methods of establishment-based greenhouse gas inventory;

d/ Publicize the list of emission factors serving greenhouse gas inventory;

dd/ Control and ensure the quality of national-level greenhouse gas inventory, guide the verification of sector-based greenhouse gas inventory results, and provide procedures for verification of establishment-based greenhouse gas inventory results;

e/ Organize the development and operation of the online database on greenhouse gas inventory; update operational data, results of greenhouse gas inventory and relevant information to the national database on climate change.

3. The ministries defined in Clause 2, Article 5 of this Decree shall:

a/ Organize sector-based greenhouse gas inventory and prepare reports serving national-level greenhouse gas inventory according to Forms No. 01, 02, 03, 04 and 05 provided in Appendix II to this Decree, and send them to the Ministry of Natural Resources and Environment before January 31 of the reporting period, starting from 2023;

b/ Guide and organize establishment-based greenhouse gas inventory in the sectors under their management in 2022 and send its results to the Ministry of Natural Resources and Environment before December 1, 2023;

c/ Inspect the observance of regulations on greenhouse gas inventory by the establishments defined in Clause 1, Article 5 of this Decree in the sectors under the management;

d/ Additionally provide operational data and relevant information serving national-level greenhouse gas inventory at the request of the Ministry of Natural Resources and Environment;

dd/ Organize the development and operation of the online databases on greenhouse gas inventory in the sectors under their management.

4. On a biennial basis, the establishments defined in Clause 1, Article 5 of this Decree shall:

a/ Provide operational data and relevant information serving their greenhouse gas inventory of the year preceding the reporting year according to the guidance of line ministries before March 31, starting from 2023;

b/ Organize establishment-based greenhouse gas inventory, and prepare biennial reports on establishment-based greenhouse gas inventory, starting from 2024, according to Form No. 06 provided in Appendix II to this Decree, and send them to provincial-level People’s Committees before March 31, starting from 2025, for verification;

c/ Finalize reports on results of establishment-based greenhouse gas inventory and send them to the Ministry of Natural Resources and Environment before December 1 of the reporting period, starting from 2025.

5. The verification of results of sector-based greenhouse gas inventory by the ministries defined in Clause 2, Article 5 of this Decree must comply with the verification procedures issued by the Ministry of Natural Resources and Environment.

6. The verification of establishment-based greenhouse gas inventory results for 2024 and beyond shall be carried out by related specialized agencies under provincial-level People’s Committees according to the verification procedures issued by the Ministry of Natural Resources and Environment.

7. Funds for greenhouse gas inventory and verification of its results mentioned in Clauses 2, 3, 5 and 6 of this Article shall be allocated from the state budget according to regulations on decentralization for state budget management.

Article 12. Allocation of greenhouse gas emission allowances

1. Based on the greenhouse gas emission mitigation goals and roadmaps specified in Article 7 of this Decree and greenhouse gas inventory results in the previous inventory period of the establishments defined in Clause 1, Article 5 of this Decree, the Ministry of Natural Resources and Environment shall propose the Prime Minister to set total allowances of greenhouse gas emission, and ratios of allowances for reserve and auction for the whole 2026-2030 period and every year.

2. Based on the total allowances of greenhouse gas emission mentioned in Clause 1 of this Article, greenhouse gas inventory results in the previous inventory period, and the situation of establishment-based greenhouse gas emission mitigation, the Ministry of Natural Resources and Environment shall assume the prime responsibility for, and coordinate with related line ministries in, formulating and issuing the norms of greenhouse gas emission per unit of product for all types of production and business establishments, and allocate greenhouse gas emission allowances to the establishments defined in Clause 1, Article 5 of this Decree for the whole 2026-2030 period and every year.

3. Funds for allocation of greenhouse gas emission allowances specified in Clause 2 of this Article shall be covered by the state budget according to regulations on decentralization for state budget management.

Article 13. Greenhouse gas emission mitigation plans

1. Requirements on a greenhouse gas emission mitigation plan:

a/ A sector-based greenhouse gas emission mitigation plan shall be formulated on the basis of the development strategy, master plan and plan of a sector; greenhouse gas inventory results, and BAU scenario in the planning period;

b/ An establishment-based greenhouse gas emission mitigation plan shall be formulated on the basis of current characteristics, operational scale, capacity and technology and production and business plan of an establishment; greenhouse gas inventory results, and the estimated amount of greenhouse gas emissions in the planning period;

c/ Selection of greenhouse gas emission mitigation methods stated in NDCs or other methods suitable to the conditions on technology, finance, and application readiness, which enable measurement, reporting and verification;

d/ Development of methods to determine reduced amounts of greenhouse gases thanks to greenhouse gas emission mitigation methods according to the guidance on greenhouse gas emission mitigation measurement methods recognized by the UNFCCC or issued by competent agencies;

dd/ Adoption of plans for monitoring, supervision and reporting on outcomes of implementation of greenhouse gas emission mitigation measures in conformity with regulations on measurement, reporting and verification.

2. The ministries defined in Clause 2, Article 5 of this Decree shall formulate and approve greenhouse gas emission mitigation plans for the sectors under their management through 2030, with an implementation phase through 2025, and send them to the Ministry of Natural Resources and Environment before January 31, 2023.

3. A sector-based greenhouse gas emission mitigation plan shall be formulated according to Form No. 01 provided in Appendix IV to this Decree and must have the following contents:

a/ Results of greenhouse gas inventory for the sectors under management in the previous year;

b/ BAU scenario and estimated amount of potential greenhouse gas emission mitigation;

c/ Greenhouse gas emission mitigation goals for each year for the 2023-2025 and 2026-2030 periods in conformity with the greenhouse gas emission mitigation goals in NDCs;

d/ Selected greenhouse gas emission mitigation methods suitable to reality, technological level, resources for implementation, and strategic environmental assessments with regard to the national-scale sector development strategies, national sectoral master plans, and technical and specialized master plans with significant environmental impacts on the Government-issued list;

dd/ Options for monitoring and supervision of the implementation of the plan.

4. The establishments defined in Clause 1, Article 5 of this Decree shall:

a/ Devise and implement their own greenhouse gas emission mitigation measures for the 2023-2025 period in conformity with their production and business conditions;

b/ Formulate and approve greenhouse gas emission mitigation plans for the 2026-2030 period, make annual adjustments and updates (if any), and send them to the Ministry of Natural Resources and Environment and related line ministries defined in Clause 2, Article 5 of this Decree and related specialized agencies under provincial-level People’s Committees before December 31, 2025.

5. A sector-based greenhouse gas emission mitigation plan shall be formulated according to Form No. 02 provided in Appendix IV to this Decree and must have the following contents:

a/ Results of greenhouse gas inventory of the establishment in the previous year;

b/ Estimated amount of greenhouse gas emissions in the planning period without application of greenhouse gas emission mitigation technologies or measures;

c/ Greenhouse gas emission mitigation goals for each year for the 2026-2030 period;

d/ Selected greenhouse gas emission mitigation methods suitable to the establishment’s actual conditions, technological level, and resources for implementation;

dd/ Options for monitoring and supervision of the implementation of the plan.

6. Modification, supplementation and adjustment of greenhouse gas emission mitigation plans

a/ The ministries defined in Clause 2, Article 5 of this Decree shall modify, supplement and adjust sector-based greenhouse gas emission mitigation plans when a change mentioned in Clause 1 of this Article arises or factors or risks likely to cause negative effects to sectoral or local socio-economic development strategies appear and such adjustment is requested by ministers or heads of ministerial-level agencies;

b/ The establishments defined in Clause 1, Article 5 of this Decree shall modify, supplement and adjust establishment-based greenhouse gas emission mitigation plans when a change specified at Point b, Clause 1 of this Article arises  or when requested by their owners.

7. Provincial-level People’s Committees shall provide data to the ministries defined in Clause 3, Article 7 of this Decree for formulation of the sector-based greenhouse gas emission mitigation plans specified in Clauses 2 and 3 of this Article, participate in implementing such plans and monitor and supervise the implementation of greenhouse gas emission mitigation plans by the establishments defined in Clause 1, Article 5 of this Decree in the localities under their management.

Article 14. Requirements on verification units

1. A unit carrying out verification of greenhouse gas emission mitigation must be a body which is capable of carrying out verification recognized under the UNFCCC; or is granted a certificate of Vietnam standard TCVN ISO 14065: Greenhouse gases - Requirements for greenhouse gas validation and verification bodies for use in accreditation or other forms of recognition; or has technicians who possess certificates of training in greenhouse gas inventory under the UNFCCC in relevant sectors.

2. Verification units shall verify greenhouse gas emission mitigation according to regulations of the Ministry of Natural Resources and Environment and take responsibility for verification results.

3. Units shall send to the Ministry of Natural Resources and Environment a request, made according to Form No. 03 provided in Appendix III to this Decree, proving its eligibility to verify greenhouse gas emission mitigation as prescribed in Clause 1 of this Article in order to have their names publicized on the websites of state management agencies in charge of climate change.

Article 15. Responsibility to inspect and supervise greenhouse gas emission mitigation activities

1. The Ministry of Natural Resources and Environment shall manage, inspect and supervise greenhouse gas emission mitigation activities; and inspect and supervise the verification by the units specified in Clause 1, Article 14 of this Decree.

2. The ministries specified in Clause 2, Article 5 of this Decree shall inspect and supervise greenhouse gas emission mitigation activities of establishments subject to greenhouse gas inventory in the fields under their management.

3. Specialized agencies of related provincial-level People’s Committees shall coordinate with the ministries specified in Clause 2, Article 5 of this Decree in inspecting and supervising greenhouse gas emission mitigation activities of the establishments specified in Clause 1, Article 5 of this Decree in their localities.

Section 2

ORGANIZATION AND DEVELOPMENT OF THE DOMESTIC CARBON MARKET

Article 16. Participants in the domestic carbon market

1. The establishments specified in Clause 1, Article 5 of this Decree.

2. Organizations involved in the implementation of domestic and international mechanisms for carbon credit exchange and offset in accordance with law and treaties to which the Socialist Republic of Vietnam is a contracting party.

3. Other organizations and individuals related to activities of investing and trading in greenhouse gas emission allowances and carbon credits on the carbon markets.

Article 17. Schedule of development and time of organization of the domestic carbon market

1. The period of from now through 2027

a/ To formulate regulations on carbon credit management, greenhouse gas emission allowance and carbon credit exchange; to formulate regulations on operation of the carbon credit exchange;

b/ To implement on a pilot basis mechanisms for carbon credit exchange and offset in potential fields, and guide the implementation of domestic and international mechanisms for carbon credit exchange and offset in accordance with law and treaties to which the Socialist Republic of Vietnam is a contracting party;

c/ To establish and operate on a pilot basis the carbon credit exchange as of 2025;

d/ To organize activities of building capacity for and improving awareness about the development of the carbon market.

2. The period from 2028

a/ To organize the official operation of the carbon credit exchange in 2028;

b/ To regulate activities of connecting and exchanging domestic carbon credits with the regional and global carbon markets.

Article 18. Certification of carbon credits and greenhouse gas emission allowances traded on the exchange of the domestic carbon market

1. The Ministry of Natural Resources and Environment shall certify carbon credits and greenhouse gas emission allowances traded on the exchange, including:

a/ Carbon credits obtained from programs and projects under domestic and international mechanisms for carbon credit exchange and offset in accordance with law and treaties to which the Socialist Republic of Vietnam is a contracting party;

b/ Greenhouse gas emission allowances allocated under Clause 2, Article 12 of this Decree.

2. Order and procedures for certification

a/ Organizations and individuals that wish to have tradable carbon credits and greenhouse gas emission allowances certified under Clause 1 of this Article shall submit applications, made according to Form No. 01 provided in Appendix V to this Decree, to the Ministry of Natural Resources and Environment via the online public service system for certification;

b/ Within 15 working days, the Ministry of Natural Resources and Environment shall organize the verification, grant certificates and send notices of certification to applicants. In case of refusal to grant certificates, it shall clearly state the reason.

3. Certificates of tradable carbon credits and greenhouse gas emission allowances shall be made according to Form No. 02 provided in Appendix V to this Decree.

Article 19. Exchange of greenhouse gas emission allowances and carbon credits on the domestic carbon market

1. The exchange of greenhouse gas emission allowances and carbon credits shall be carried out on the carbon credit exchange and domestic carbon market under regulations.

2. Tradable greenhouse gas emission allowances and carbon credits

a/ Greenhouse gas emission allowances specified in Clause 2, Article 12 may be traded on the exchange, with one unit of greenhouse gas emission allowance equal to one ton of CO2 equivalent;

b/ Carbon credits obtained from programs and projects under mechanisms for carbon credit exchange and offset may be converted into units to be offset against greenhouse gas emission allowances on the exchange, with one carbon credit equal to one ton of CO2 equivalent.

3. Auction, transfer, borrowing or return of greenhouse gas emission allowances, and use of carbon credits to offset against greenhouse gas emissions

a/ Establishments may participate in auctions in order to own more greenhouse gas emission allowances in addition to those allocated to them in the same committed period;

b/ Establishments may transfer their greenhouse gas emission allowances left unused in a year to subsequent years in the same committed period;

c/ Establishments may borrow greenhouse gas emission allowances allocated for a year for use for the preceding year in the same committed period;

d/ Establishments may use carbon credits obtained from projects under mechanisms for carbon credit exchange and offset to offset against greenhouse gas emission amounts exceeding greenhouse gas emission allowances allocated to them in one committed period. An amount of carbon credits to be used for offsetting emissions must not exceed 10% of the total greenhouse gas emission allowance allocated to an establishment;

dd/ Allocated greenhouse gas emission allowances shall be automatically recalled by the Ministry of Natural Resources and Environment upon operation termination, dissolution or bankruptcy of establishments;

e/ The State shall encourage establishments to willingly return unused greenhouse gas emission allowances so as to contribute to realizing the national goal of greenhouse gas emission mitigation;

g/ At the end of each committed period, establishments shall make payments for greenhouse gas emission amounts exceeding greenhouse gas emission allowances allocated to them after applying the form of auction, transfer, borrowing or use of carbon credits for offsetting. In addition to the form of making payments, greenhouse gas emission amounts exceeding allocated greenhouse gas emission allowances shall be offset against allowances to be allocated for the subsequent committed period;

h/ The Ministry of Natural Resources and Environment shall guide the auction, transfer, borrowing and return of greenhouse gas emission allowances.

Article 20. Registration of programs and projects under mechanisms for carbon credit exchange and offset

1. Subjects that may formulate and implement programs and projects under mechanisms for carbon credit exchange and offset

a/ Vietnamese organizations that wish to formulate and implement programs and projects;

b/ Foreign organizations that wish to formulate and implement programs and projects in Vietnam’s territory.

2. The subjects specified in Clause 1 of this Article that wish to implement programs and projects under mechanisms for carbon credit exchange and offset within the framework of the UNFCCC, treaties and international agreements to which the Socialist Republic of Vietnam is a contracting party shall submit registration dossiers for requesting approval of programs and projects to the Ministry of Natural Resources and Environment by hand-delivery, online or by post. A dossier of request for approval of a program or project must comprise:

a/ An application for approval of the program or project, made according to Form No. 03 provided in Appendix V to this Decree;

b/ Documents of the program or project compiled under guidance of the Ministry of Natural Resources and Environment in accordance with the UNFCCC, treaties and international agreements to which the Socialist Republic of Vietnam is a contracting party;

c/ A technical report or an appraisal report on the program or project made by an independent appraisal agency under guidance of the Ministry of Natural Resources and Environment in accordance with the UNFCCC, treaties and international agreements to which the Socialist Republic of Vietnam is a contracting party;

d/ Copies from master registers or certified copies of permits and documents relevant to professional activities of the program or project under current regulations.

3. Evaluation and approval of programs and projects under mechanisms for carbon credit exchange and offset within the framework of the UNFCCC, treaties and international agreements to which the Socialist Republic of Vietnam is a contracting party

a/ Within 5 working days after receiving a dossier of request, the Ministry of Natural Resources and Environment shall notify the requesting organization of  its acceptance of the valid dossier, request for supplementation or completion of the dossier; or rejection in case the dossier is invalid. The time limit for supplementation or completion of the dossier is 15 working days from the date of issuance of a notice requesting the dossier supplementation or completion;

b/ Within 30 working days after receiving a valid dossier of request, the Ministry of Natural Resources and Environment shall organize the evaluation of the dossier through collecting opinions of related agencies. The consulted agencies shall give their written opinions within 7 working days after receiving a request for opinion enclosed with the dossier;

c/ Within 3 working days after obtaining evaluation results, the Minister of Natural Resources and Environment shall consider and decide on approval of the program or project and notify such to the requesting organization. In case of disapproval of the program or project, it shall clearly state the reason.

4. The Minister of Natural Resources and Environment shall provide for the organization of evaluation of programs and projects under mechanisms for carbon credit exchange and offset within the framework of the UNFCCC, and designate the specialized management agency in charge of climate change to act as the standing body for evaluation.

5. The subjects specified in Clause 1 of this Article that implement programs and projects under mechanisms for carbon credit exchange and offset within the framework of the UNFCCC, treaties and international agreements to which the Socialist Republic of Vietnam is a contracting party shall:

a/ Upon registering programs and projects, send a registration, made according to Form No. 04 provided in Appendix V to this Decree, to the Ministry of Natural Resources and Environment;

b/ In the course of implementation of programs and projects, send information on practical implementation, in a document made according to Form No. 05 provided in Appendix V to this Decree, to the Ministry of Natural Resources and Environment before December 31 every year.

Article 21. Responsibility to develop the domestic carbon market

1. The Ministry of Finance shall assume the prime responsibility for building and establishing the carbon credit exchange and promulgate a financial management mechanism applicable to operation of the carbon market.

2. The Ministry of Natural Resources and Environment shall assume the prime responsibility for, and coordinate with related ministries in, organizing the pilot operation and official operation of the carbon credit exchange to serve the management, monitoring and supervision of the carbon market; specify activities of connecting the domestic carbon credit exchange with the regional and global carbon markets; provide the implementation of mechanisms for carbon credit exchange and offset; compile documents for public communication and carry out activities of building capacity for carbon market participants.

3. Ministries, ministerial-level agencies and provincial-level People’s Committees shall coordinate with the Ministry of Natural Resources and Environment and Ministry of Finance in implementing the provisions of Clauses l and 2 of this Article and carrying out activities to promote the development of the carbon market; organizing the dissemination and public communication in the mass media to improve the community’s awareness about the carbon market.

 

Chapter III

PROTECTION OF THE OZONE LAYER

Article 22. Controlled ozone-depleting substances and roadmap for management and destruction of controlled ozone-depleting substances 

1. Controlled ozone-depleting substances include:

a/ Bromochloromethane;

b/ Carbon tetrachloride (CTC);

c/ Chlorofluorocarbon (CFC);

d/ Halon;

dd/ Hydrobromofluorocarbon (HBFC);

e/ Hydrochlorofluorocarbon (HBFC);

g/ Methyl bromide;

h/ Methyl chloroform.

2. Roadmap for management and destruction of HCFCs:

a/ From January 1, 2022, through December 31, 2024: The total national consumed amount will not exceed 65% of the base consumption level;

b/ From January 1, 2025, through December 31, 2029: The total national consumed amount will not exceed 32.5% of the base consumption level;

c/ From January 1, 2030, through December 31, 2039: The total national consumed amount per year will not exceed 2.5% of the base consumption level;

d/ From January 1, 2040: Import and export of HCFCs will be banned.

3. The total national consumed amount of HCFCs shall be determined on the basis of the imported HCFC amount minus (-) the exported HCFC amount. The base consumption level of HCFCs converted according to ozone depletion potentials is 221.2 tons.

4. Methyl bromide may only be imported for the purpose of disinfection and quarantine of exported goods.

5. The prohibited acts specified in Clause 11, Article 6 of the Law on Environmental Protection include:

a/ Producing, importing, temporarily importing for re-export, and consuming Bromochloromethane, CTC, CFC, Halon, HBFC, Methyl chloroform, and HCFC 141b;

b/ Producing, importing, temporarily importing for re-export, and consuming products and equipment containing or made from Bromochloromethane, CTC, CFC, Halon, HBFC, Methyl chloroform, and HCFC 141b;

c/ Producing, importing and consuming products and equipment containing or made from banned controlled substances;

d/ Producing, importing and consuming banned controlled substances under regulations of the Ministry of Natural Resources and Environment.

Article 23. Controlled contributors to the greenhouse effect and roadmap for management and destruction of controlled contributors to the greenhouse effect

1. Controlled contributors to the greenhouse effect are Hydrofluorocarbons (HFCs).

2. Roadmap for management and destruction of HFCs:

a/ From January 1, 2024, through December 31, 2028: The total national consumed amount will not exceed the base consumption level; the total national produced amount will not exceed the base production level;

b/ from January 1, 2029, through December 31, 2034: The total national consumed amount will not exceed 90% of the base consumption level; the total national produced amount will not exceed 90% of the base production level;

c/ From January 1, 2035, through December 31, 2039: The total national consumed amount  will not exceed 70% of the base consumption level; the total national produced amount will not exceed 70% of the base production level;

d/ From January 1, 2040, through December 31, 2044: The total national consumed amount will not exceed 50% of the base consumption level; the total national produced amount will not exceed 50% of the base production level;

dd/ From January 1, 2045: The total national consumed amount  will not exceed 20% of the base consumption level; the total national produced amount will not exceed 20% of the base production level.

3. Total national consumed amount of HFCs

a/ The total national produced amount of HFCs shall be determined on the basis of the produced HFC amount minus (-) the destroyed HFC amount, converted according to the amount of CO2 equivalent;

b/ The total national imported amount of HFCs shall be determined on the basis of the imported HFC amount minus (-) the exported HFC amount, converted according to the amount of CO2 equivalent;

c/ The total national consumed amount of HFCs shall be determined on the basis of the total national produced amount of HFCs plus (+) the total imported amount of HFCs specified at Points a and b of this Clause.

4. Base consumption and production levels of HFCs

a/ The base consumption level of HFCs shall be determined on the basis of the average consumption level of HFCs converted according to the amount of CO2 equivalent of the year 2020, 2021 or 2022 plus (+) 65% of the base consumption level of HCFCs specified in Clause 3, Article 22 of this Decree calculated according to the amount of CO2 equivalent;

b/ The base production level of HFCs shall be determined on the basis of the average production level of HFCs converted according to the amount of CO2 equivalent of the year 2020, 2021 or 2022.

5. The Minister of Natural Resources and Environment shall announce Vietnam’s base consumption and production levels of HFCs before December 31, 2023; and regularly announce the total national consumed amount thereof in each period under Clause 2 of this Article.

Article 24. Registration and reporting on use of controlled substances

1. Subjects required to register for production, import or export; production, import and ownership of equipment and products containing or produced from controlled substances; collection, recycling, reuse and disposal of controlled substances (below collectively referred to as organizations using controlled substances) include:

a/ Organizations engaged in the production of controlled substances;

b/ Organizations engaged in the import or export of controlled substances;

c/ Organizations producing or importing equipment and products containing or produced from controlled substances;

d/ Organizations owning equipment containing controlled substances: air conditioners with a nominal cooling capacity exceeding 26.5 kW (90,000 BTU/h) and a total nominal cooling capacity of all equipment exceeding 586 kW (2,000,000 BTU/h); and industrial cooling equipment with an electric output exceeding 40 kW;

dd/ Organizations providing services of collecting, recycling, reusing and disposing of controlled substances.

2. Each of the subjects specified in Clause 1 of this Article shall submit to the Ministry of Natural Resources and Environment 1 dossier for registration of use of controlled substances (below referred to as registration dossier) before December 31, 2022, by hand-delivery, online or by post. For dossiers sent by post, the time of dossier receipt shall be determined based on the postmark.   

3. A registration dossier must comprise:

a/ A written registration for use of controlled substances, made according to Form No. 01 provided in Appendix VI to this Decree: 1 original;

b/ A document proving the legal person status of the registering organization in accordance with law: 1 copy certified and bearing the true copy seal of the registering organization.

4. Within 3 working days after receiving a registration dossier, the Ministry of Natural Resources and Environment shall notify the registering organization of its acceptance of the valid dossier or request such organization to supplement and complete the dossier. The time limit for supplementation and completion of the registration dossier is 5 working days after the issuance of a notice requesting the dossier supplementation and completion.

5. Within 10 working days after receiving a valid registration dossier, the Ministry of Natural Resources and Environment shall summarize and evaluate it and disclose information on the organization that has completed the registration for use of controlled substances on the website of the state management agency in charge of climate change.

6. The subjects specified in Clause 1 of this Article shall send reports on use of controlled substances, made according to Form No. 02 provided in Appendix VI to this Decree, to the Ministry of Natural Resources and Environment by hand-delivery, online or by post before January 15 every year. For reports sent by post, the time of dossier receipt shall be determined based on the postmark.   

7. The subjects specified in Clause 1 of this Article that are established and commence operation after December 31, 2022, shall carry out registration procedures and send to the Ministry of Natural Resources and Environment reports on use of controlled substances under this Decree.

Article 25. Requirements on allocation, adjustment and addition of quotas for production or import of controlled substances

1. Production or import quotas applicable to controlled substances are specified at Point e, Clause 1, Article 22, and Clause 1, Article 23, of this Decree.

2. Quotas shall be allocated to organizations on an annual basis and must not exceed the total national consumed amounts of controlled substances.

3. The annual allocation of production or import quotas for controlled substances to an organization shall be determined on the basis of quota management requirements, use demand and average used amount of such organization for the latest 3 years. The total quota amount to be allocated must not exceed 80% of the quota amount specified in Clause 2 of this Article.

4. The remaining quota amounts shall be allocated in the following priority order:

a/ Organizations that use controlled substances of low global warming potentials and need additional quotas. Low global warming potentials shall be determined under Vietnam’s National Plan on management and destruction of controlled substances;

b/ Organizations that make registration after December 31, 2022;

c/ Organizations that have been allocated quotas and wish to get additional quotas.

5. Quota-allocated organizations may only use quotas in the years of allocation.

6. The allocation of quotas for production or import of controlled substances to organizations that make registration after December 31, 2022, shall be determined on the basis of evaluation of dossiers for registration of quota demands and capacity dossiers of companies and balanced on the remaining total national quotas.

7. Organizations using contributors to the greenhouse effect of low global warming potentials may be considered for additional allocation of production or import quotas according to their ratings based on consumed amounts converted according to amounts of CO2 equivalent of such organizations in the latest 3 years.

8. The adjustment or addition of quotas shall be carried out at the request of quota-allocated organizations and their actual use of quotas and balanced on the remaining total national quotas.

9. Organizations importing controlled substances under allocated quotas but later exporting them may be considered for additional allocation of import quotas not exceeding the exported amounts.

Article 26. Order and procedures for allocation, adjustment, addition or cancellation of allocation of quotas for production or import of controlled substances

1. The organizations engaged in production or import of controlled substances specified at Points a and b, Clause 1, Article 24 of this Decree shall be considered for allocation of quotas for production or import of controlled substances.

2. In pursuance to Articles 24 and 25 of this Decree, within 30 working days, the Ministry of Natural Resources and Environment shall consider and issue a decision on allocation of production or import quotas to organizations according to Form No. 03A provided in Appendix VI to this Decree through:

a/ Reviewing and evaluating registration information and reports on use of controlled substances of organizations;

b/ Collating the total national consumed amounts and objectives and requirements of management of controlled substances;

c/ Organizing physical inspection to verify registration information, evaluating capacity dossiers, production techniques and technologies in case of necessity;

d/ Collecting written opinions of the Ministry of Industry and Trade on projected quota allocation. The time limit for the Ministry of Industry and Trade to give its opinions is 10 working days after receiving the request for opinion.

3. Organizations that wish to have quotas for production or import of controlled substances adjusted or added shall send written requests, made according to Form No. 04 provided in Appendix VI to this Decree, to the Ministry of Natural Resources and Environment by hand-delivery, online or by post before July 10 every year. The quota adjustment or addition shall be carried out according to quota allocation procedures. The Ministry of Natural Resources and Environment shall consider and issue a decision on production or import quota adjustment or addition within 30 working days according to Form No. 03B provided in Appendix VI to this Decree.

4. Within 3 working days, the specialized management agency in charge of climate change shall issue notices of the allocation and adjustment or addition of quotas for production or import of controlled substances to registering organizations according to Forms No. 05A and 05B provided in Appendix VI to this Decree.

5. Decisions on import quota allocation and adjustment or addition serve as a basis for the Ministry of Finance to control import and export activities. An importer shall submit to the customs office the following documents upon carrying out import procedures:

a/ A notice of allocation or adjustment or addition of quotas for import of controlled substances of the specialized management agency in charge of climate change: 1 original;

b/ Other documents as specified by the customs law.

When the Vietnam National Single Window’s system is connected, the quota-based conciliation monitoring shall be carried out via this window.

6. The Ministry of Natural Resources and Environment shall issue a decision on cancellation of the allocation of quotas for production or import of controlled substances according to Form No. 06 provided in Appendix VI to this Decree in the following cases:

a/ Quota-allocated organizations provide false information in reports specified at Point b, Clause 1 of this Article;

b/ Quota-allocated organizations illegally transfer or use decisions on allocation, or adjustment or addition of quotas for production or import of controlled substances;

c/ Other cases of violation as specified by law.

Within 3 working days after issuing a decision on cancellation of quota allocation, the specialized management agency in charge of climate change shall notify related agencies and the quota-allocated organization of such cancellation.

7. The Ministry of Natural Resources and Environment shall designate the specialized management agency in charge of climate change to review, evaluate and sum up the registration, reporting and other activities for allocation, adjustment or addition and cancellation of the allocation of quotas for production or import of controlled substances.

8. The Ministry of Natural Resources and Environment shall coordinate with related state management agencies in connecting the Vietnam National Single Window’s system with the online public service systems under their management for the purpose of allocating quotas and managing import and export of controlled substances on the system before June 30, 2022.

Article 27. National Plan on management and destruction of controlled ozone-depleting substances and contributors to the greenhouse effect   

1. The National Plan on management and destruction of controlled ozone-depleting substances and contributors to the greenhouse effect must conform to international commitments on protection of the ozone layer to which the Socialist Republic of Vietnam is a contracting party and be suitable to conditions for the management and destruction of controlled ozone-depleting substances and contributors to the greenhouse effect in Vietnam.

2. Principal contents of the National Plan on management and destruction of controlled ozone-depleting substances and contributors to the greenhouse effect:

a/ Evaluation of practical use, management and destruction of controlled ozone-depleting substances and contributors to the greenhouse effect; forecast of changes; objectives, schedule and targets of the plan;

b/ Types and total amount of controlled ozone-depleting substances and contributors to the greenhouse effect in different periods and fields of use;

c/ Measures to manage and destroy controlled ozone-depleting substances and contributors to the greenhouse effect; cooperation and information-sharing solutions;

d/ Responsibility of organizations, individuals and stakeholders for organizing the implementation of the plan.

3. The Ministry of Natural Resources and Environment shall assume the prime responsibility for, and coordinate with other ministries, ministerial-level agencies and government-attached agencies in, formulating and submitting to the Prime Minister for promulgation the National Plan on management and destruction of controlled ozone-depleting substances and contributors to the greenhouse effect before December 31, 2023.

Article 28. Collection, recycling, reuse and disposal of controlled substances

1. Organizations producing or importing equipment and products containing or made from controlled substances; or owning equipment containing controlled substances specified at Points c and d, Clause 1, Article 24 of this Decree shall carry out the collection, recycling, reuse and disposal of controlled substances on the following principles:

a/ They are compelled to collect controlled substances no longer used in equipment and products from January 1, 2024;

b/ They are encouraged to recycle and reuse controlled substances after being collected;

c/ In case of not recycling or reusing controlled substances, they shall dispose of such substances for destruction in accordance with regulations on management of hazardous wastes;

d/ They shall make annual reports on use of controlled substances under Clause 6, Article 24 of this Decree.

2. The collection, transportation and storage of controlled substances shall be carried out as follows:

a/ Controlled substances arising in the course of installation, repair and maintenance from separate products or equipment shall be collected, transported and stored under this Decree;

b/ After being collected, recyclable or reusable controlled substances may be recycled or reused under regulations of the Ministry of Natural Resources and Environment;

c/ In case it is impossible to recycle or reuse controlled substances, the transportation, storage and destruction thereof shall be carried out in accordance with regulations on management of hazardous wastes.

3. The collection, transportation and storage of controlled substances must satisfy the following requirements:

a/ There are minimum equipment for the collection of controlled substances, including recovery machines and containers, vacuum pumps, weighing scales, leak testers, pressure gauges, and safety devices;

b/ There are technicians satisfying the requirements specified in Clause 4 of this Article;

c/ There are processes of safe collection, transportation and storage under regulations of the Ministry of Natural Resources and Environment.

4. Technicians who install, operate, maintain and repair equipment containing controlled substances must possess relevant degrees and certificates; or have been granted certificates of training in collection and disposal of controlled substances under programs formulated by the Ministry of Labor, Invalids and Social Affairs in coordination with the Ministry of Natural Resources and Environment.

5. Individuals who own equipment and products containing or made from controlled substances and no longer in use shall transport them to collection places established under regulations without changing their original shapes or transfer them to establishments with the functions of collection, transportation and treatment thereof under regulations.

6. The Ministry of Natural Resources and Environment shall formulate and promulgate national technical regulations on collection, transportation, storage, recycling, reuse and disposal of controlled substances before October 31, 2023.

Article 29. Responsibilities in the management of controlled substances

1. The Ministry of Natural Resources and Environment shall act as the national focal point for implementation of the Vienna Convention and the Montreal Protocol, and is answerable to the Government for performing the state management of controlled substances. The Ministry of Natural Resources and Environment shall assume the prime responsibility for, and coordinate with related ministries and sectors in:

a/ Managing controlled substances under the treaty on protection of the ozone layer to which Vietnam is a contracting party; allocating, adjusting and adding quotas for production or import of HCFCs and HFCs in different periods and every year;

b/ Formulating and submitting to the Prime Minister for promulgation the National Plan on management and destruction of controlled substances; submitting to competent authorities for promulgation or modification the list of and use instructions for controlled substances, and regulations on conditions for production and use of controlled substances under commitments on implementation of the treaty on protection of the ozone layer to which the Socialist Republic of Vietnam is a contracting party;

c/ Announcing and modifying the list of commodities banned from import or export; the list of commodities permitted for conditional import or export enclosed with their codes under its management after reaching agreement with the Ministry of Industry and Trade on the list of commodities and with the Ministry of Finance on commodity codes;

d/ Building and operating the online public service system for registration, reporting, allocation and management of quotas for production or import of controlled substances; connecting the Vietnam National Single Window on management of controlled substances;

dd/ Organizing the performance of the national obligations toward the Montreal Protocol; coordinating with other countries’ focal points in implementing Vietnam’s measures to comply with the Montreal Protocol;

e/ Inspecting, examining and supervising the registration, reporting and use of quotas; managing the collection, reuse, recycling and disposal of controlled substances;

g/ Organizing the implementation of tasks assigned to it under the Law on Environmental Protection and this Decree and other tasks related to the management of controlled substances.

2. The Ministry of Industry and Trade shall coordinate with the Ministry of Natural Resources and Environment in allocating, adjusting and adding quotas for import or production of controlled substances; give its opinions on the list of goods banned from import or export and goods subject to conditional import or export under its management.

3. The Ministry of Agriculture and Rural Development shall assume the prime responsibility for, and coordinate with the Ministry of Natural Resources and Environment and related ministries and ministerial-level agencies in:

a/ Managing and granting permits for import or export of Methyl bromide for the purposes specified in Clause 4, Article 22 of this Decree;

b/ Connecting the Vietnam National Single Window with its online public service system for management of Methyl bromide;

c/ Providing or sharing information and data on controlled substances under its management to/with the national focal point for summing up and preparation of a national report on the implementation of the Montreal Protocol in Vietnam before January 30 every year according to Form No. 07 provided in Appendix VI to this Decree and at the request of the national focal point.

4. The Ministry of Finance shall assume the prime responsibility for, and coordinate with the Ministry of Natural Resources and Environment and related ministries and ministerial-level agencies in:

a/ Managing and controlling the import and export of controlled substances via the Vietnam National Single Window;

b/ Providing or sharing customs information and data on import and export of controlled substances and goods containing controlled substances under its management to/with the national focal point for summing up and preparation of a national report on the implementation of the Montreal Protocol in Vietnam before January 30 every year according to Form No. 08 provided in Appendix VI to this Decree and at the request of the national focal point.

5. The Ministry of Labor, Invalids and Social Affairs shall coordinate with the Ministry of Natural Resources and Environment in:

a/ Formulating and implementing a program on training and further training of and grant of certificates to people working in fields related to controlled substances before December 31, 2022;

b/ Incorporating contents related to controlled substances in regulations on minimum knowledge and requirements on capacity of trainees after graduating from intermediate or collegial courses for occupations in related fields;

c/ Promulgating national technical regulations on occupational safety for cooling and air conditioning systems before December 31, 2023.

6. The Ministry of Public Security, Ministry of Industry and Trade, Ministry of National Defense, related ministries and sectors, and provincial-level People’s Committees shall, within the ambit of their management competence, coordinate with the Ministry of Natural Resources and Environment in preventing and detecting violations of regulations on management, control, mitigation of use and destruction of controlled substances.

7. Provincial-level Departments of Natural Resources and Environment shall coordinate with related ministries and ministerial-level agencies in:

a/ Supervising the destruction and implementation of regulations on collection, recycling, reuse or destruction of controlled substances by organizations in localities under their management;

b/ Providing information and data related to organizations using controlled substances in localities under their management at the request of competent stage agencies;

c/ Handling according to their respective competence or reporting to competent agencies on violations of regulations on management and destruction of controlled substances under this Decree and relevant regulations.

 

Chapter IV

MEASURES TO STEP UP MITIGATION OF GREENHOUSE GAS EMISSIONS AND PROTECTION OF THE OZONE LAYER

Article 30. Formulation and implementation of cooperation mechanisms and modes   

1. The Ministry of Natural Resources and Environment shall, as the national focal point for implementation of the conventions and treaties on mitigation of greenhouse gas emissions and protection of the ozone layer, assume the prime responsibility for conducting negotiations on formulation and implementation and providing information on the actual implementation of cooperation mechanisms and modes in accordance with treaties on mitigation of greenhouse gas emissions and protection of the ozone layer to which the Socialist Republic of Vietnam is a contracting party.

2. Ministries, ministerial-level agencies, socio-political organizations and provincial-level People’s Committees shall formulate and implement bilateral and multilateral cooperation programs and projects on mitigation of greenhouse gas emissions and protection of the ozone layer.

Article 31. Scientific research and technological development          

1. Scientific research, technological development and technology transfer for mitigation of greenhouse gas emissions and protection of the ozone layer must comply with the law on science and technology.

2. The Ministry of Science and Technology, Ministry of Natural Resources and Environment and related ministries and sectors shall organize activities of scientific research, technological development, and application and transfer of technologies for mitigation of greenhouse gas emissions and protection of the ozone layer so as to achieve national and sectoral goals in each period.

Article 32. Building of capacity and improvement of awareness

1. Ministries, ministerial-level agencies and provincial-level People’s Committees shall carry out dissemination and public communication in the mass media and intensify international cooperation in order to improve the community’s capacity and awareness, and mobilize the people’s participation in the mitigation of greenhouse gas emissions and protection of the ozone layer.

2. Measures to build capacity and improve awareness:

a/ Building capacity for state management officials for the mitigation of greenhouse gas emissions and protection of the ozone layer;

b/ Training and developing the contingent of full-time officers in charge of greenhouse gas inventory; measurement, reporting and verification of the mitigation of greenhouse gas emissions for establishments, sectors and localities; technicians directly engaged in the installation, operation, maintenance and repair of equipment containing controlled substances;

c/ Disseminating contents on mitigation of greenhouse gas emissions and protection of the ozone layer at all grades of the education system and in the mass media;

d/ Integrating contents on stepping up mitigation of greenhouse gas emissions and protection of the ozone layer into activities of science and technology associations, socio-political-professional organizations, socio-professional organizations and other organizations;

dd/ Organizing showrooms for products and technologies, and contests of creative ideas to mitigate greenhouse gas emissions and protect the ozone layer.

Article 33. Encouragement of activities of mitigating greenhouse gas emissions and protecting the ozone layer  

1. Mechanisms for cooperation and carbon credit exchange and offset specified in Article 20 of this Decree shall be applied to the mitigation of greenhouse gas emissions and destruction of contributors to the greenhouse effect.

2. Organizations and individuals engaged in research, application, transfer and development of technologies for mitigation of greenhouse gas emissions and protection of the ozone layer, and use of climate-friendly alternatives are entitled to incentives provided by the law on science and technology.

3. Organizations and individuals that transform technologies in order to mitigate greenhouse gas emissions and protect the ozone layer; and provide services of collecting and disposing of controlled substances are entitled to the incentives and support under Article 141 of the Law on Environmental Protection and relevant guiding documents.

 

Chapter V

IMPLEMENTATION PROVISIONS

Article 34. Effect 

1. This Decree takes effect on January 7, 2022.

2. Organizations that are allocated quotas for import of HCFCs before the effective date of this Decree; and organizations that have registered quotas for import of HCFCs in 2022, are not required to carry out the registration procedures under Clause 1, Article 24 of this Decree.

Article 35. Implementation responsibility 

1. The Minister of Natural Resources and Environment shall guide, inspect and organize the implementation of this Decree.

2. Ministers, heads of ministerial-level agencies, heads of government-attached agencies, and chairpersons of provincial-level People’s Committees shall implement this Decree.-

On behalf of the Government
For the Prime Minister
Deputy Prime Minister
LE VAN THANH

* The appendices to this Decree are not translated.


[1] Công Báo Nos 131-132 (23/01/2022)

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