Reduce E5 gasoline sales
As a technology motorbike taxi driver, Mr. Nguyen Van Long (Nam Tu Liem District, Hanoi) said that recently, every time he fills up his tank, he often chooses RON 95 gasoline - because when using this type of gasoline, he finds that the engine runs smoothly, the engine is strong, and the vehicle runs faster. When asked why he does not use E5 - a biofuel, environmentally friendly, Mr. Long said that he only uses E5 gasoline when the price of gasoline increases, because E5 gasoline is about 1,000 VND/liter cheaper than RON 95 gasoline.
According to the investigation of Lao Dong Newspaper, in the Vietnamese market, E5 biofuel (5% ethanol) is made from 95% A92 gasoline and 5% anhydrous ethanol (99.5%), replacing RON 92 gasoline since 2018. The 5% ethanol component in biofuel is actually industrial alcohol.
At the time of its initial application, retail gas stations belonging to large petroleum corporations and general companies pioneered the sale of this type of gasoline. However, after many years of application, actual observations at many gas stations in Hanoi show that E5 biofuel is gradually disappearing.
At Thach Ha petrol station (Thach Ha commune, Thach That district, Hanoi), there are 6 petrol pumps, including 4 petrol pumps and 2 oil pumps. Of the 4 petrol pumps, only one pump is for E5 bio-fuel, the remaining 3 pump RON 95 petrol.
Explaining this, a gas station employee here said that Thach Ha commune is a metalworking and woodworking village, with cars and containers, requiring a lot of goods to be transported, so RON 95 gasoline is more popular. "Most cars only use RON 95 gasoline, no one uses E5 gasoline, so the store only has one E5 gas station to serve a small number of motorbikes," said the store employee.
In Hanoi's inner city, some small gas stations have 1-2 pumps that only sell diesel and RON 95 gasoline, and do not have E5 gasoline pumps.
"The structure of the gas station has only 2 tanks, so it will prioritize best-selling products, while people prefer RON 95 products because they think they run better and have stronger engines. We are a business, so whichever products sell best will be promoted," said Mr. Minh, director of a gasoline distribution company in Hanoi.
Speaking to Lao Dong, Mr. Van Tan Phung - Chairman of the Board of Directors of Dong Nai Petroleum Joint Stock Company - said that the company has more than 30 gas stations in many provinces and cities. Previously, each station was equipped with an E5 gasoline pump, but after only 1 year of operation, the company had to stop all of them because of inefficiency, even losses due to too much inventory (each E5 gasoline pump has a 5,000 liter tank).
“Currently, all my gas stations have stopped selling E5 gasoline because there are no buyers. Meanwhile, to sell E5 gasoline, businesses have to invest billions in mixing stations and infrastructure systems while sales volume is low and profits are not high,” said Mr. Phung.
Ms. Nguyen Thi Sinh - Director of Chien Thang Yen Bai Petroleum Company Limited added that the consumption of E5 gasoline is very slow, far behind RON 95 gasoline. If in one day, the company sells more than 500m3 of RON 95 gasoline, then E5 gasoline can only sell 50 - 60m3.
"People mainly buy E5 gasoline to fuel lawn mowers and old motorbikes. In the near future, if consumption remains sluggish, businesses may consider stopping the sale of E5 gasoline," said Ms. Sinh.
What solutions promote biofuel consumption?
According to a report from the Department of Science and Technology (Ministry of Industry and Trade), although the Vietnamese Government is very determined and has implemented many solutions to encourage the use of biofuels, the trend of using this fuel has been decreasing in recent years. The reason is that the price difference between biofuel and traditional mineral gasoline is not attractive enough for consumers to switch to using biofuel.
According to the Ministry of Industry and Trade, currently, users still have the prejudice that using this type of gasoline can affect the engine, especially for motorbike users with average income, who consider this a large asset and want to ensure the longevity of the engine.
Mr. Clarence Woo - General Director of the Global Green Fuel Center commented: "From the experience of other countries in using E5 biological factors for RON 92 and RON 95 gasoline, we have all recorded better fuel efficiency and emission reduction ability.
E5 when applied to RON 92 and RON 95 gasoline both bring positive results. If E5 is combined with RON 95 gasoline, the results can be even better, especially for 4-stroke engines. It will make the engine run smoother and less noisy."
For EURO 5 standards, some countries have increased the biological element from E5 to E10, which can be combined with hybrid engines. Biofuel contributes to reducing greenhouse gas emissions. Therefore, it is necessary to promote communication activities, especially introducing the benefits of using E5 gasoline, eliminating the prejudice of worrying about engine damage through research conducted in other countries so that consumers can feel more secure when using E5 gasoline.
