BSR Deputy General Director Mai Tuan Dat: The raw material supply issue is a necessary condition for the sustainable development of E10 gasoline.
Speaking at the seminar "E10 Biofuel - Harmonious Benefits for the People, the State, and Businesses" organized by New Energy Magazine/PetroTimes, BSR Deputy General Director Mai Tuan Dat suggested establishing three fundamental pillars to create appeal and trust in E10 fuel.
First, the prerequisite is that quality must be transparent and verifiable. Consumers will only be willing to switch when they are certain that E10 gasoline does not negatively affect engines, operates stably, and meets clear standards. This requires a comprehensive quality control system to be established throughout, from ethanol production and blending to distribution.
In Vietnam, the E5 gasoline program has been implemented for many years without significant negative feedback from the market. Globally , many countries such as Thailand (since 2007) and the Philippines (widely adopted since 2023) have also used E10 gasoline stably without major technical problems. This is an important basis for strengthening consumer confidence in the country.
Secondly, the economic benefits must be clear and sufficiently attractive. A product can only become popular when it provides direct benefits to users. Currently, biofuels have an advantage due to preferential tax policies compared to conventional gasoline. However, in the long run, the deciding factor remains the product's cost. When the domestic ethanol production chain is perfected and optimized, the cost will decrease, thereby enhancing the competitiveness of E10. Consumers will not only benefit from lower fuel costs but also from added value such as reduced emissions, contributing to environmental protection.
Thirdly, the usage practice must be long enough to create a habit. Market trust cannot be built in a short time; it needs to be verified through actual usage. International experience shows that when E10 gasoline is deployed stably for a long period, consumers will gradually switch to using it naturally.
According to Mr. Mai Tuan Dat, in Vietnam, the foundation laid by the deployment of E5 gasoline over the past years is a major advantage. If adequately communicated and properly implemented, E10 gasoline can completely continue and expand without facing significant obstacles from consumers.
While the three pillars mentioned above are necessary conditions for E10 gasoline to enter the market, the issue of raw material supply is a sufficient condition for the sustainable development of this program. Calculations show that to deploy E10 gasoline nationwide, the demand for ethanol alone would reach approximately 1 million cubic meters per year. If cassava were used as the main raw material, this would require approximately 2.5 million tons of cassava, necessitating over 100,000 hectares of cultivated land annually.
“This is a significant figure, necessitating the planning and reorganization of agricultural production towards integration with the energy processing industry. Previous experience has shown that many ethanol plants have faced difficulties due to a lack of stable raw material sources or having to purchase them at high prices, reducing production efficiency. Importing ethanol may be a short-term solution, but in the long term, if we cannot proactively manage the domestic supply chain, sustainable development will be very difficult,” Mr. Mai Tuan Dat commented.
To resolve this "bottleneck," a coordinated effort is needed between businesses, the government, and local authorities, focusing on three main solutions: Planning raw material areas linked to factories, ensuring the supply of approximately 70-80% of production needs; Establishing attractive pricing and product buyback mechanisms to incentivize farmers to participate; and Organizing a closed supply chain to optimize logistics costs – a factor that accounts for a large proportion of ethanol production costs.
Furthermore, BSR Deputy General Director Mai Tuan Dat stated that at the Dung Quat Refinery, under the direction of the Government, ministries, and agencies, Petrovietnam and BSR have identified biofuels and sustainable fuels as a strategic step.
Currently, BSR has implemented a comprehensive set of scientific and technological solutions and innovations aimed at shifting 100% of the Dung Quat Refinery's product structure towards sustainability. Specifically, BSR's main product range includes gasoline and diesel. Recently, BSR successfully produced its first batch of B5 biodiesel. For JET A1 aviation fuel, BSR has implemented two phases: phase 1 successfully blended the first batch of JET A1 in July 2025, and phase 2 involves increased investment in the production of sustainable aviation fuel (SAF). In addition to the above products, in March 2026, BSR collaborated with the Vietnam Oil Corporation (PVOIL) to export a batch of sustainable marine fuel, and also produces other energy products such as bioplastic pellets.
BSR is also gradually restructuring its ethanol supply chain towards a closed-loop and circular system. One notable solution is utilizing all wastewater and solid waste from the production process to transform it into organic fertilizer, which is then used back in the raw material area. This model not only helps reduce input costs but also enhances the sustainability of the entire value chain, from agricultural production to industrial processing. When the supply chain is optimized, the cost of ethanol will have a real opportunity to compete with mineral gasoline – a decisive factor for E10 gasoline to expand its market.
According to Mr. Mai Tuan Dat, if the raw material sourcing problem is solved, opportunities will not only be limited to E10 gasoline but will also expand to many other sustainable fuels such as biodiesel or sustainable aviation fuel (SAF). This is the foundation for Vietnam to gradually restructure its energy system towards a greener direction, while simultaneously increasing its self-reliance in the face of unpredictable fluctuations in the global energy market.
“The challenge for E10 gasoline doesn't lie in the blending technology, which is a relatively simple part, but rather in the ability to build a sufficiently large and efficient domestic supply chain. If we can do this, we will not only have E10 gasoline, but also a sustainable fuel ecosystem capable of competing in the future,” emphasized BSR Deputy General Director Mai Tuan Dat.
according to Petrotimes
Source: https://bsr.com.vn/web/bsr/-/3-tru-cot-de-xang-e10-chinh-phuc-thi-truong
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