Enforcing the use of E10 gasoline is a strategic step to achieve the commitment to reduce greenhouse gas emissions

Thạch Lam |

Petroleum enterprises are preparing important steps to meet the requirements for using E10 gasoline nationwide from January 1, 2026. The resumption of operations at Ethanol factories will help Vietnam reduce its dependence on imported Ethanol and stabilize the supply of E10 gasoline.

Restarting Ethanol factories

A representative of Binh Son Refining and Petrochemical Joint Stock Company (BSR) said that the company is having solutions to restore production at Dung Quat Bioferal Fuel Plant.

According to BSR representative, according to the new direction of the Ministry of Industry and Trade, from January 1, 2026, all gasoline circulating on the market will have to mix 10% Ethanol, applicable to both A92 and A95 gasoline types. This means that all commercial gasoline on the market will switch to E10 gasoline. With domestic gasoline consumption in the country at about 1-1.2 million cubic meters/month, equivalent to 12-15 million cubic meters/year, the amount of Ethanol needed to meet the blend requirements is about 1.2-1.5 million cubic meters/year.

Up to this point, domestic Ethanol production capacity currently meets about 450,000 cubic meters/year, equivalent to 40% of demand, the rest must be imported. In the context of fluctuating world Ethanol prices, increasingly fierce competition in the market and policies on import taxes... then restoring the operation of domestic Ethanol plants is an urgent and effective solution" - this person said.

In response to practical requirements and opportunities from energy and green fuels, Mr. Pham Van Vuong - Director of the Central Petroleum Biofilder Joint Stock Company said that the company has developed a plan to continue producing Dung Quat Biofilder Plant.

The plan to continue the factory operation is clearly developed, in which preparations will be carried out in July - August 2025, the factory will be restarted in September, trial operation will be conducted in October and commercial production will be officially launched from November 2025.

The entire cost of repairing and investing in additional equipment to ensure the plant operates safely and effectively will be carried out by the Central Petroleum Bioferical Fuel Joint Stock Company and its partners. In particular, in this plan, the parties will increase the capacity of the CO2 recovery system by 40 - 50 tons/day, in order to increase economic efficiency in the production process" - Mr. Pham Van Vuong said.

Su dung xang sinh hoc la xu huong chung cua the gioi. Anh: Hai Nguyen
Using biofuel is a common trend in the world. Photo: Hai Nguyen

E10 gasoline - an important step for Vietnam to achieve its emission reduction commitment

Increasing the use of biofuel is necessary and urgent in the trend of clean energy conversion and implementing Vietnam's commitment to reduce emissions.

According to Mr. Dao Duy Anh - Deputy Director of the Department of Innovation, Green Transformation and Industrial Promotion - Ministry of Industry and Trade, the Ministry has submitted a Government Submission for the third time to the Prime Minister to propose the policy of developing a new Decision to replace Decision No. 53 on the roadmap for applying the ratio of biofuel and traditional fuel blending.

After nearly 10 years of implementing Decision 53, our country has formed the capacity to produce raw materials (cassia) exceeding the requirements for E100 production, produce E100 fuel domestically (if all 6 factories are 100% operational) with a capacity of about 500,000 cubic meters/year, meeting about 30% of fuel (about 1.5 million cubic meters) for E10 gasoline blending (according to the total consumption in 2024, it is about 15 million cubic meters of gasoline).

We have learned some useful international experiences in the production, mixing, storage, distribution and use of biofuel. The use of E5 RON92 gasoline from 2014 to present has not recorded any cases of fire or explosion, negatively affecting the performance and longevity of the vehicle. However, reality also shows that the consumption of E5 RON92 has been decreasing in recent years, said Mr. Dao Duy Anh.

Faced with that reality, the Ministry of Industry and Trade recommends that there should be a new Decision with a more specific roadmap, emphasizing the goal of mass deployment of E10 biofuel from January 1, 2026. The plan is set out together with the proposal of groups of synchronous solutions. For example, support domestic Ethanol prices to stabilize supply and reduce prices to E5/E10 or complete the system of standards and technical regulations for E10 gasoline and encourage businesses to expand their biofuel distribution system, especially in rural areas, mountainous areas, islands...

Thạch Lam
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