HÀ NỘI — The Ministry of Industry and Trade (MoIT) urges localities and petroleum traders to promote the sale of biofuel (E5 RON92, E100) on the domestic market.

This is one of solutions at a directive on promoting biofuel consumption in Việt Nam that was issued by MoIT on December 26.

According to the directive, the petroleum traders must send to MoIT three-month reports on consumption of E5 RON 92 gasoline, especially difficulties in selling this product.

At the same time, the ministry will coordinate with the Ministry of Finance and relevant agencies to research and develop a price mechanism for encouraging use of E5 RON92 biofuel.

MoIT will also work with relevant units to inspect and assess the implementation of the biofuel blending roadmap according to Decision No 53/2012/QĐ-TTg.

In addition to E5RON92 gasoline, MoIT requires producers and traders to research the production and import of E100 fuel.

Notably, the ministry also requires key petroleum traders to ensure the supply of E5 RON 92 biofuel to meet market demand under the roadmap at the Decision 53.

They will support and encourage distributors and retailers to promote biofuel consumption with incentive programmes and appropriate price policies.

Meanwhile, the key petroleum traders and distributors need to proactively propose mechanisms and policies to support for the biofuel development.

They include tax and fee incentives or other supportive measures to reduce costs and enhance the competitiveness of biofuels, aiming at expanding the domestic biofuel market.

Propaganda on interests of using E5 RON 92 gasoline should be promoted to increase customers of this fuel product.

In Việt Nam, E5RON92 biofuel was marketed from January 1, 2018. However, trading of this fuel has not achieved the desired results, according to MoIT.

At present, many petrol stations no longer sell E5RON92 biofuel, while some others have had low consumption volume of this biofuel product.

The price gap between E5RON92 gasoline and RON95 mineral gasoline fluctuates around VNĐ1,000 per litre, so it is not enough attractive for the consumers. — VNS