On the morning of June 27, 2024, as part of the Vietnam Scaling Up Energy Efficiency Project (VSUEE), the Ministry of Industry and Trade, in collaboration with Saigon - Hanoi Commercial Joint Stock Bank (SHB), organized a training course on "Procedure for Implementation and Issuance of RSF Guarantees" for HCM City Development Joint Stock Bank (HD Bank). Representatives from the Ministry of Industry and Trade, the World Bank, SHB, and HD Bank's staff attended the event.

Vietnam is one of the countries with high energy intensity in Southeast Asia. Industrial growth is the main driver of the increasing energy consumption in Vietnam. According to statistics, the industrial sector accounts for more than 50% of the total national energy consumption. Therefore, efficient and effective energy use in the industrial sectors is a crucial solution to ensure national energy security.

At the beginning of the training, Mr. Chu Ba Thi - Senior Energy Expert from the World Bank, shared that energy conservation is a very important pillar to achieve Vietnam's goal of net-zero emissions by 2050 as committed at the 26th UN Climate Change Conference (COP26). According to the general assessment of the International Energy Agency (IEA), energy efficiency can reduce about 40% of total energy sector emissions.

Mr. Hoang Viet Dung – Representative from the Department of Energy Efficiency and Sustainable Development (Ministry of Industry and Trade) noted that at COP26, Vietnam had strongly committed to achieving net-zero emissions by 2050. This commitment was reaffirmed at COP27 and most recently at COP28 in Dubai, UAE.

On March 13, 2019, the Prime Minister issued Decision No. 280/QĐ-TTg approving the National Program on Energy Efficiency and Conservation for the period 2019 – 2030 (VNEEP3). The goal of the program is to achieve an energy savings of 5.0 to 7.0% of the total national energy consumption from 2019 to 2025 and 8 to 10% from 2019 to 2030.

The Vietnam Industrial Sector Energy Efficiency Project (VSUEE) is funded by the Green Climate Fund (GCF) through the World Bank. The project is designed to promote energy efficiency and conservation in Vietnam's industrial sector, contributing to the energy savings targets of the VNEEP3 program and the commitment to achieve net-zero emissions by 2050.

Throughout the training, SHB, the RSF managing unit, detailed the RSF’s operational procedures and guarantee approval processes. The $75 million RSF, replenished by the GCF through the World Bank, was established to mitigate credit risks for financial institutions funding energy-saving investment projects.

Energy experts from Vietnam Technology Solutions Corporation (VETS) presented on efficient energy use in industry, including identifying costs, calculating energy savings and emission reductions, evaluating the feasibility of energy efficiency projects, and applying the learned concepts through case studies.

The training, attended by over 40 HD Bank credit promotion and assessment officers, enhanced understanding of the VSUEE project, RSF, operational manuals, and the RSF guarantee approval process, highlighting the potential energy savings of eligible investment projects.