Bio-fuel will be sold in all localities in Vietnam in 2015, local Vietnam News daily reported on Thursday, quoting sources from the Ministry of Industry and Trade (MoIT).
According to the ministry, large petrol dealers, including the Vietnam National Petroleum Group (Petrolimex) and PVOil, have prepared facilities for selling 5 percent bio-ethanol (E5) fuel in seven provinces and cities beginning in 2014.
These areas include capital Hanoi, southern Ho Chi Minh City, northern Hai Phong city, central Da Nang city and Quang Ngai province, and southern Can Tho and Ba Ria-Vung Tau provinces.
Petrolimex said it will sell biofuel E5 RON 92 in the central province of Quang Ngai as of September 1 of this year, three months earlier than in other provinces and cities.
Vietnam selected seven cities and provinces to begin using E5 as of 2013, but the initial schedule was delayed one year because of consumer habits and the demand for bio-fuel on the domestic markets being low.
Besides, bio-fuel plants have not operated efficiently and have not actively invested in obtaining materials, and the state has no mechanisms to encourage enterprises to enter the domestic bio-fuel market.
To date, three out of 10 petrol dealers are selling bio-fuel products at 169 petrol stations, out of 13,000 petrol stations throughout the country. Consumption of bio-fuel is estimated to be one-eighth of the consumption of traditional fuel products.
Insiders said one of the main difficulties that have prevented enterprises from investing in bio-fuel stations is the high investment for converting petrol stations to selling bio-fuel products.
According to the MoIT, production costs of E5 bio-fuel are not lower than production costs of traditional petrol, because of the high investment for petrol stations selling bio-fuel.
But, over a long period, bio-fuel could compete with traditional petrol products because of the low price of cassava, which is the material used in processing bio-fuel, and preferential policies on tax and fees by the government.
Vietnam has six plants producing bio-fuel, with a capacity of 535 million litres of ethanol per year. Based upon this capacity, the plants could meet the nation's demand for bio-fuel by 2015. Currently, the price of E5 RON 92 is the same as the price for traditional RON 92, based on market rules, the ministry said.
GMT 11:47 2017 Wednesday ,18 October
N. Korea nuclear test site may be a 'Tired Mountain': 38 NorthGMT 12:45 2017 Wednesday ,06 September
Russian ecologists say Nord Stream 2 damages precious refugeGMT 12:45 2017 Wednesday ,06 September
Russian ecologists say Nord Stream 2 damages precious refugeGMT 11:38 2017 Monday ,14 August
Bear shot in Italy after attacking walkerGMT 06:55 2017 Tuesday ,08 August
Birthplace of Apostle Peter found in IsraelGMT 20:33 2017 Tuesday ,06 June
Bloomberg leads mass coalition declaring supportGMT 12:02 2017 Monday ,27 March
SeaWorld to expand in China after investment dealGMT 12:15 2017 Friday ,24 March
Coral reefs in hot water: studyMaintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2023 ©
Maintained and developed by Arabs Today Group SAL.
All rights reserved to Arab Today Media Group 2023 ©