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The 38 th APEC EWG Meeting 18~19 November, 2009 Bali, Indonesia Kenji Kobayashi President Asia Pacific Energy Research

Peer Review on Energy Efficiency in Viet Nam. The 38 th APEC EWG Meeting 18~19 November, 2009 Bali, Indonesia Kenji Kobayashi President Asia Pacific Energy Research Centre. Outline. Part 1: Vietnam Peer Review Process Review Team Members Activities

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The 38 th APEC EWG Meeting 18~19 November, 2009 Bali, Indonesia Kenji Kobayashi President Asia Pacific Energy Research

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  1. Peer Review on Energy Efficiency in Viet Nam The 38th APEC EWG Meeting 18~19 November, 2009 Bali, Indonesia Kenji Kobayashi President Asia Pacific Energy Research Centre

  2. Outline Part 1: Vietnam Peer Review Process • Review Team Members • Activities Part 2: The Contents of Draft Final Report of Peer Review in Viet Nam • Outline • Major Features of EE Improvement in Viet Nam • Recommendations

  3. Vietnam Peer Review process (I) Review Team Members • KENJI KOBAYASHI, Peer Review Team Leader, President of the Asia Pacific Energy Research Centre (APERC); • BRIAN T. CASTELLI, Executive Vice President, Programs and Development. Alliance to Save Energy, U.S.A; • CHANDRAN SUNDARAJ, Senior Researcher at the Asia Pacific Energy Research Centre, (APERC); • CONNY K. WACHJOE, Senior Lecturer at the Bandung State Polytechnic, and Senior Researcher at Centre for Research on Energy Policy, Bandung Institute of Technology, Indonesia; • FRANCIS XAVIER JACOB, Director of Economic Regulation and Industry Development of the Energy Commission, Malaysia;

  4. MASHATOSHI SHINAGAWA, Senior Policy Advisor International Affairs Division, Ministry of Economy, Trade and Industry (METI), Japan; SOMMAI PHON-AMNUAISUK , Senior Project Manager, International Institute for Energy Conservation (IIEC), Asia Regional Office, Thailand; TRAN THANH LIEN, Research Team Leader at the Asia Pacific Energy Research Centre, (APERC); and WONG YEW WAH, Associate Professor at the Nanyang Technological University, Singapore. Vietnam Peer Review process (II)

  5. Vietnam Peer Review process (III) Activities 8 June (Monday) • Meeting with Ministry of Industry & Trade (MOIT) • Overview on energy and energy efficiency policies • Organization of MOIT and related agencies on energy efficiency • Program on energy efficiency improvement; discussion on energy efficiency goalsand action plans • Meeting with the team leader of the Study on EE&C Master Plan in Vietnam (under JICA) • Objectives and major contents of EE&C Master Plan

  6. Vietnam Peer Review process (IV) Activities 9 June (Tuesday) • Meeting with Ministry of Science & Technology • Energy Efficiency Program for small and medium enterprises: (PECSME Program) • Standard and Labeling Program (Vietnam Standard and Quality Center) • Meeting with Ministry of Transport • Activities and policy on EE in the transport sector • Meeting with Ministry of Construction • Building codes and activities on EE in the building sector

  7. Vietnam Peer Review process (V) Activities 10 June (Wednesday) • Meeting with Electricity of Viet Nam and Hanoi Power Company • EE activities and policy of power sector • Demand Side Management Programs • Meeting with Institute of Energy (IE) • Energy and RE Master Plan, Power Master Plan, EE Database • Meeting with EE Center of Hanoi • Energy efficiency activities and program in Hanoi City

  8. Vietnam Peer Review Process (VI) Activities 11 June (Thursday) • Visit steel factory (Hoa Phat Group) 12 June (Friday) • Discussion with Energy Efficiency & Conservation Office (EECO) about the preliminary report • Meeting with Vice Minister of MOIT-Mr. Bui Xuan Khu and other senior officers from MOIT • Presentation on the preliminary report with recommendations

  9. The Contents of Draft Final Report of Peer Review in Viet Nam Outline • Institutional Context • Energy Efficiency Goals and Strategy • Energy Data Collection and Monitoring • Policy Measures-Sectoral Analysis: Industry, Electricity, Transport and Residential & Commercial Sector • Appliances and Equipments • Energy Efficiency Related R&D

  10. The Contents of Draft Final Report of Peer Review in Viet Nam Major Features of EE Improvement in Viet Nam • EE Policy Framework and Institution Legal documents: Decree on EE&C; Guideline for EE standard and labeling of appliances; building code, etc. Institution: EECO, National Steering Committee, EE centers were established. 2. Programs and Projects on EE Improvements DSM phase 1&2; the Pilot EE Program (CEEP); Promoting energy conservation in small and medium scale enterprises (PECSME), and The National Energy Efficiency Program 2006-2015 (VNEEP), launched in 2006 covering EE fields: Legal framework, education and information, energy efficiency equipments, industry, building and transport sectors.

  11. The Contents of Draft Final Report of Peer Review in Viet Nam Major Findings • There is a gap between the planning and implementation-on-the ground of EE programs; • Shortage of human and financial resources to carry out effectively the planned EE programs; • Lack of a comprehensive monitoring and evaluation system on the EE Programs; and • Insufficient coordination among responsible ministries and agencies in achieving the objectives of EE programs.

  12. Recommendations Total 40 recommendations Institutional Context: The recommendations are: • Enact and adopt the Law of Energy Conservation and Efficient Use as early as possible; • Establish an energy efficiency policy coordination committee at interministerial level of high level in the government.

  13. Recommendations • EE Goals and Strategy: • The Recommendations are: • 3. Integrate sectoral- based energy efficiency goals relating to the national aspirational goals; • 4. Develop a national communication strategy and energy efficiency educational program; • 5. Develop a clear and concise road map for six components in the VNEEP to converge on the national aspirational goals; • 6. Coordinate actions and efforts of each leading Ministries;

  14. Recommendations • 7. Establish an Energy Database Center including the EE team; • 8. Designate major industries and enterprises in the list for the designated statistics; • 9. Assign a lead role for monitoring and evaluation to a well-qualified organization; • 10. Address the importance of EE M&E to any ongoing project; Energy Data Collection and Monitoring: The recommendations are:

  15. Recommendations • Industry Sector (1): • The recommendations are: • 11. EE&C Programs should have targets and be measurable, achievable and time defined; • 12. • Build up capacity for personnel for industrial energy audits; • Provide, for a limited time, subsidized energy audit, especially for small and medium enterprises (SMEs).

  16. Recommendations • Industry Sector (2) • 13. MOIT and other relevant governmental agencies may have: • Some public fund to implement EE&C measures recommended by energy audit; and • Awareness programs for financial institutions. • 14. Formulate and enforce legal provision to make energy management mandatory for designated consumers; • 15. Initiate and maintain energy intensity benchmarking for industrial sub sectors;

  17. Recommendations • Industry Sector (3) • 16. Look into providing technical support to enable local manufacture of energy efficient equipments and appliances; • 17. Communicate large energy intensive enterprises to deepen their on-going energy management efforts corresponding EE&C National Programs; • 18. Encourage large energy intensive enterprises;

  18. Recommendations • Electricity Sector (1): • The recommendations are: • 19. Develop a suitable mechanism for enhancing private sector participation on power plant development including energy pricing policy; • 20. Improve the existing power plant efficiency by implementing efficient power plant technologies; • 21. Establish a long term power development program for reducing transmission & distribution losses (for exp. 2010-2020)

  19. Recommendations • 22. Improve load research activities so as to identify proper DSM measures; • 23. Give priority on DSM/EE implementation by having a separate implementation unit; • 24. Establish a sustainable mechanism for DSM implementation; Electricity Sector (2)

  20. Recommendations • Commercialand Residential Sector: • Therecommendations are: • 25. Develop sub-sector level data on residential energy end-use by appliances; • 26. • Set a priority in capability building in order to expedite implementation and enforcement of the Building Energy Codes; • Prioritize and set out the time frame of their projects for their energy efficiency program

  21. Recommendations Transport Sector: The recommendations are: 27. Enact and enforce fuel economy standard on new vehicle fleets entering the market; 28. Formulate a tax system for vehicle fleets; 29. Develop a comprehensive roadmap for sustainable transport system; 30. Develop a database for transport sector;

  22. Recommendations Appliances and equipments (1): Therecommendations are: 31. Enforce the MEPS and the energy performance labeling for the designated equipments under the legal documents; 32. Integrate and strengthen the planning and implementation of MEPS and labeling programs; 33. Collect and analyze energy- efficient appliances and equipment sales data periodically;

  23. Recommendations Appliances and Equipments (2) 34. Review periodically the list of designated equipments and appliances; 35. Provide appropriate incentives for purchasing high energy-efficient appliances and equipments; 36. Develop local human capacity and technical needs for appliances and equipments standards and labeling program;

  24. Recommendations Energy Efficiency-Related R&D: Therecommendations are: 37. Incorporate energy efficiency improvement R&D in the National Science and Technology Plan; 38. Synergize R&D efforts with the existing energy efficiency improvement program; 39. Focus R&D efforts on applied science; 40. Facilitate industry-academia tie-ups with suitable funding mechanism.

  25. Peer Review on Energy Efficiency in Viet Nam Thank you very much for your kind attention. APERC www.ieej.or.jp/aperc

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