From Gasoline to Electric Cars: Economists Debate Environmental Efficiency

Current status and recommendations

According to studies, traffic emissions are costing Ho Chi Minh City about VND3,000 billion each year. Of which, freight transport and commercial vehicles account for nearly 40% of total emissions. Faced with this situation, Ho Chi Minh City has proposed establishing a "Low Emission Zone" (LEZ) in the central area, bounded by Ring Road 1, starting in 2026. This proposal aims to reduce pollution, aiming for Net Zero by 2050.

TP.HCM hướng đến vùng phát thải thấp: Bài toán vừa giảm ô nhiễm, vừa đảm bảo sinh kế người dân - Ảnh 1.

TP.HCM hướng đến vùng phát thải thấp: Bài toán vừa giảm ô nhiễm, vừa đảm bảo sinh kế người dân - Ảnh 2.

Ho Chi Minh City has proposed establishing a "Low Emission Zone" (LEZ) in the central area, bounded by Ring Road 1, starting from 2026.

Concerns from people and businesses: Livelihoods and infrastructure shortcomings

However, this proposal also met with many cautious opinions, especially from people and businesses directly affected.

Mr. Nguyen Loc Tho (Hoa Hung Ward, Ho Chi Minh City) expressed his agreement with the goal of developing green urban areas, but emphasized that there needs to be a specific roadmap and policies. He is concerned that the sudden application of new regulations will severely affect low-income workers who rely on motorbikes as their daily livelihood. The cost of switching to green and electric vehicles is a huge difference that many people cannot afford immediately.

Infrastructure shortcomings are also a common concern. Mr. Nguyen Van Tuan (An Phu Ward, Ho Chi Minh City) pointed out the practical difficulties of technology-based motorbike taxis when switching to electric vehicles, especially the problem of charging and parking. He said that most technology-based motorbike taxi drivers are staying in rented houses, but the landlords often do not allow charging or leaving electric vehicles in the house due to concerns about fire safety. This makes them not know where to charge and store their vehicles.

TP.HCM hướng đến vùng phát thải thấp: Bài toán vừa giảm ô nhiễm, vừa đảm bảo sinh kế người dân - Ảnh 3. — *Mr. Nguyen Van Tuan (An Phu ward, Ho Chi Minh City) pointed out the practical difficulties of technology-based motorbike taxis when switching to electric vehicles.*

Experts' perspective: Are electric cars really "green"?

Another aspect that has been raised by economists and environmental experts is the actual environmental efficiency of electric vehicles.

Mr. Huynh Thanh Dien, an economic expert, raised questions about the energy source for electricity production in Vietnam. He said that unlike developed countries that use nuclear power or renewable energy, Vietnam still relies mainly on thermal power plants, which operate by burning coal and emit a large amount of carbon. Therefore, switching to electric vehicles may not reduce overall pollution but only change the location of emissions. He suggested that instead of focusing on vehicle types, the city should set specific emission standards for each type of vehicle for evaluation.

TP.HCM hướng đến vùng phát thải thấp: Bài toán vừa giảm ô nhiễm, vừa đảm bảo sinh kế người dân - Ảnh 2. tp.hcm — Mr. Huynh Thanh Dien, an economic expert, suggested that instead of focusing on vehicle types, the city should set specific emission standards for each type of vehicle to evaluate.

Associate Professor - Dr. Le Hung Anh - Director of the Institute of Environmental Management Science and Technology - Ho Chi Minh City University of Industry, believes that if people see the benefits of electric vehicles, the transition will be more effective and natural.

TP.HCM hướng đến vùng phát thải thấp: Bài toán vừa giảm ô nhiễm, vừa đảm bảo sinh kế người dân - Ảnh 3. ô nhiễm tp.hcm — Associate Professor - Dr. Le Hung Anh, Director of Institute of Science and Technology for Environmental Management - Ho Chi Minh City University of Industry

Roadmap and support solutions

To minimize negative impacts, the Ho Chi Minh City Public Transport Management Center has proposed a phased implementation roadmap. From 2026, the city will begin restricting technology vehicles and commercial vehicles that do not meet emission standards from entering the LEZ area. Then, in 2027, mandatory emission testing for motorbikes will be implemented. The goal is to complete the conversion of 100% of technology motorbikes to electric vehicles by the end of 2028.

In parallel with the above roadmap, Ho Chi Minh City is also implementing a series of support solutions to facilitate and minimize "shocks" for people and businesses. The city plans to open 72 new bus routes and put into use more than 1,100 electric buses in the 2025-2030 period. Charging station infrastructure is also focused on with a plan to build from 750 to 1,338 charging stations. In addition, the monitoring system will be enhanced with 58 automatic license plate recognition cameras at key gateways and intersections, operating from 2026 to 2032. These solutions are expected to help the city achieve its sustainable environmental goals effectively and harmoniously.