The Ninth Congress of the Communist Party of Vietnam set the target “Vietnam will basically become a modern industrialised country by 2020.” It is five years to go for Vietnam to achieve that objective. However, domestic and foreign experts agree that Vietnam’s industry is still far behind other countries in the region and the world, because limited application of clean technologies causes ineffective operations and material consumption.
On December 30, 2013, the Prime Minister signed Decision 2612/QD-TTg approving the clean technology use strategy to 2020, with an eye to 2030, which specified main objectives: Encouraging organisations and individuals to research, apply, master, transfer and use clean technologies in production, business and life. By 2020, all new investment projects which consume much energy or potentially cause serious pollution to the environment must satisfy the technical standards, regulations on clean technology. Classified projects include textile and dyeing, fertiliser and pesticide production, steel production, mining and mineral processing, thermal electricity, paper production, cement production, and sugar production. Also by that time, 60-70 percent of operational production facilities in the above industries must complete building and implementing technological innovation roadmaps towards the increased use of cleaner technologies.
Capital shortfall
Although many companies have very actively adopted clean technologies in production, Vietnam’s industry is generally still ranked lowest in the industrialisation development roadmap. Actually, it is in the very first phase of the industrialisation process, featured by assembling - the stage with the lowest value in the production chain.
In fact, many businesses also want to upgrade and change technologies to adopt clean production to create products capable of competing strongly against foreign products in developed nations, but they cannot realise their desires because of the unaffordable huge investment value. According to the Central Institute for Economic Management (CIEM), capital shortage is the biggest hurdle for businesses to access clean technologies.
A representative of the Industrial Policy and Strategy Institute (IPSI) under the Ministry of Industry and Trade, apart from capital issue, Vietnamese businesses are finding it hard to access information on clean technologies and operating human resources. These three factors are troubling and risking technological innovation processes. Particularly, the matter is even worse for waste-discharging and environment-polluting industries like textile, beverage, ceramics and food processing. Indeed, capital shortfall inhibits enterprises from upgrading.
In the region, Malaysia has a relatively clear policy on the use of clean technology. Seeing clean technology as a driving force of economic growth and sustainable development, Malaysia places emphasis on reducing energy consumption while maintaining economic growth; accelerates the growth of clean industries and increases the share of clean industries in the national economy; strengthens the capacity of clean technological innovation and enhances the competitiveness of clean technologies on the international arena; ensures sustainable development and environmental conservation for the future; and steps up community education and public awareness of clean technology and its application.
Multidimensional combination
According to experts, to expand the use of clean technology, it is crucial to enforce environmental regulations in a more drastic manner; review, amend, supplement and perfect mechanisms, policies and laws on widened use of clean technology and elimination of outdated technologies that waste resources and pollute the environment; manage and control production and development investment, eliminate backward technologies according to approved criteria and roadmaps; apply the list and roadmap for clean technologies used and technologies prohibited to review and license new investment projects, investment expansion projects, and technological upgrading projects; and issue mechanisms and policies on encouragement and control of clean technological investment.
With respect to international cooperation, it is important to develop and implement research programmes on application and transfer of clean technology and clean production; develop and implement research programmes on construction of technical criteria, standards and regulations on clean technology and clean industrial products, and on execution roadmap of clean technology and elimination of outdated industrial technologies; enhance consulting capacity, transfer application, demonstrate clean technology, research design, develop clean products for consulting organisations, science and technology research institutes, industrial corporations, business associations and authorities at all levels; invest in analysing and testing laboratories; and boost international cooperation to learn and take clean technologies.
Concerning finance and investment, the Government partially funds consultations for transfer and application of clean technology to production facilities. Investment projects applying clean technology to manufacturing clean products are lent by banks and development support funds like the Vietnam Development Bank, the National Technological Innovation Fund, the Scientific and Technological Development Fund, and the Environmental Protection Fund. Foreign and private investment for clean technology and production is also encouraged. The government also prioritises and stimulates import and export of clean technological products.
Regarding market development, the Government supports commercialisation and transfer of successful research results on clean technology and clean products. Products made by clean technological application investment projects are given priority to join national trade and investment promotion programmes.
To achieve these, the Government necessarily provides supports for businesses, particularly in capital, personnel training and information.
Luong Tuan