Canada supports Vietnam's green transition.

On August 21st in Ho Chi Minh City, the Consulate General of Canada in Ho Chi Minh City, in collaboration with the Canada-ASEAN Business Council, organized the Canada-Vietnam Clean Energy Cooperation Forum.

Canada-Vietnam Clean Energy Cooperation Forum. (Source: VNA)

The event aims to connect private businesses in Vietnam and Canada for cooperation in clean energy development, thereby enabling Canada to contribute to the JETP (Just Energy Transition Partnership Agreement) to help Vietnam achieve its net-zero emissions target by 2050.

Many collaborative solutions in this field between the two countries were presented by experts at the forum. At the forum, Mr. Ranjith Narayanasamy, President and CEO of the Petrochemical Technology Research Centre (PTRC), stated that carbon capture, utilization, storage, and recycling (CCUS) technology plays a crucial role in reducing greenhouse gas emissions and developing clean energy.

With 22 years of experience, PTRC has implemented many effective CO2 storage projects, notably the Aquistore project at the Boundary Dam thermal power plant (Saskatchewan, Canada). This thermal power plant has successfully applied CO2 recovery and storage technology. CO2 generated during plant operation is recovered through a pipeline system and stored underground at a depth of 3.4 km. Currently, the total amount of CO2 stored at the project is approximately over 500,000 tons.

In Vietnam, PTRC is also participating in a research and pilot project on this technology funded by the Asian Development Bank (ADB). PTRC is involved in advising on areas with suitable geological conditions for CO2 storage and supporting technology transfer.

However, many delegates from domestic businesses also expressed concerns that the development and application of CCUS technologies in Vietnam still face many challenges, requiring large-scale testing and pilot projects, and high investment capital.

Michael Smart, Director of Business Development for the Asia-Pacific region at Export Development Canada (EDC), stated that EDC offers specialized financing solutions for climate-related projects. As a state-owned corporation under the Government of Canada, EDC provides loans related to green and sustainable growth. Since 2012, EDC has disbursed over C$35 billion to clean technology projects.

According to Boris Jacouty, Director of Business Development and Infrastructure at the Canada Trade Promotion Agency (CCC), the CCC supports foreign partners in finding opportunities to collaborate with Canadian businesses and benefit from the Canadian government's performance guarantee mechanism. The CCC will sign contracts guaranteeing the performance of Canadian businesses with their foreign partners. In the 2021-2022 period, the total value of contracts supported by the CCC reached US$6.5 billion.

According to the Canadian Consulate General in Ho Chi Minh City, the Just Energy Transition Partnership (JETP) agreement that Vietnam signed with G7 countries will mobilize $15.5 billion in private and government funding over the next 3 to 5 years to support Vietnam's green transition.

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