PetroVietnam and ADB signed a MoU on establishing a strategic partnership for 2021 – 24 to promote clean and renewable energy development. — Photo courtesy of ADB

HÀ NỘI — The Việt Nam Oil and Gas Group (PetroVietnam) and the Asian Development Bank (ADB) on Thursday signed a Memorandum of Understanding (MoU) to establish a strategic partnership to promote clean and renewable energy development, and help PetroVietnam achieve targets in green energy transition.

The MoU establishes the foundation for cooperation activities between the two sides such as a strategy for green energy transition; carbon capture, utilisation and storage; hydrogen development; offshore wind energy development.

“ADB and PetroVietnam establish a partnership for collaboration and cooperation in the activities identified for mutual interest of both parties,” said Jeffries, ADB Country Director for Việt Nam.

“As a multilateral financial institution and as a catalyst for global and regional climate funds, ADB could provide support to PetroVietnam through policy and technical advice, funding for investment from its own financing and/or leverage financing from other sources.”

To support initial activities under the pact, ADB will use technical assistance resources and mobilise additional funds from other sources, among which the Australian government has confirmed its funding support to develop a strategy and roadmap for PetroVietnam’s green energy transition.

The signing of the MoU demonstrates PetroVietnam’s determination in international cooperation that contributes to realising the commitment of the Government of Việt Nam at the UN Climate Change Conference of the Parties (COP 26) in Glasgow, the UK, implementing the mechanisms under the Paris Agreement, to achieve net “zero” emissions by 2050.

ADB has been supporting its developing member countries to enable a policy framework, sharing practices and experiences, identifying key projects and preparing feasibility studies, and piloting and scaling-up business models. ADB has also been coordinating with global and regional thinktanks and centres of excellence for technology innovation and promotion for clean and renewable energy development.

“We are pleased to be the first agency to establish a partnership with ADB to develop clean and sustainable energy in Việt Nam,” said Deputy General Director of PetroVietnam Phạm Tiến Dũng.

“With expertise and experience in the field of energy transition, particularly in the areas of carbon capture, use and storage, hydrogen energy, offshore wind energy, and energy efficiency, ADB will support PetroVietnam in green energy transition towards the target of emission reduction that Việt Nam committed.”  — VNS