The need to switch to electric vehicles is growing
In a survey conducted by Vero in 2023, Vietnamese consumers agreed that electric vehicles are environmentally friendly because they have no emissions, contributing to reducing greenhouse gas emissions and pollutants compared to vehicles using traditional internal combustion engines (ICE). Up to 2/3 of the 91 survey participants (including men and women aged 18-54) said that the reason they researched and considered buying a car, most of them said that protecting the environment was their main purchasing motivation. Meanwhile, 69% of survey participants said that the operating cost of electric vehicles is lower than that of fuel-powered vehicles.
Recent research results from NielsenIQ also show similarities with the survey results from Vero, when 55% of consumers in Vietnam appreciate the sustainability that electric vehicles bring, while 24% are actively pursuing a more sustainable lifestyle to save money.
According to the Vietnam Automobile Manufacturers Association (VAMA), it is forecasted that by 2028, Vietnam will reach the milestone of 1 million electric vehicles and about 3.5 million electric vehicles by 2040.This shows that the electric vehicle market is entering a period of boom and may soon "explode" in just a few years.Therefore, the need for charging stations is becoming increasingly urgent, requiring early solutions to promote the development of electric vehicles in Vietnam.
According to a survey, currently in Vietnam, VinFast is the biggest name that owns a charging station system spanning 63 provinces and cities, 125 national and provincial highways, and plans 150,000 charging ports with diverse capacities up to 360kW.
Recently, V-Green Global Charging Station Development Joint Stock Company announced the launch of a franchise charging station model, offering opportunities to participate in the charging station business to all premises owners nationwide. This "business and people working together" model is expected to help quickly cover charging stations across Vietnam and open up a new potential business sector in the future.
Need more support mechanisms to promote the speed of charging station construction
In fact, there are many reasons why the development of charging stations is still limited in Vietnam, such as companies having to pay for expensive construction, leading to a very long break-even time, or the number of electric vehicles has not really exploded to create attraction for charging station providers. In addition, there are other reasons of social and macro-policy nature.
Speaking to Lao Dong Newspaper, Associate Professor Dr. Dinh Trong Thinh - an economic expert - said that in Vietnam, the charging station system has only recently begun to take shape, while the demand for electric vehicles is increasing to meet the Net zero target by 2050. Meanwhile, consumer behavior is gradually shifting to using electric vehicles and electric motorbikes, thanks to price incentives and environmental protection benefits. However, the number of charging stations is currently not large.
"To promote the development of the electric vehicle charging station system in Vietnam, it is necessary to have coordination between businesses and effective support policies from the State. These policies will help solve challenges in terms of land, power sources, costs and create a favorable environment for the development of the charging station system, contributing to promoting the transition to electric vehicle use in Vietnam.
The State needs to have support policies such as requiring mid-range, high-end and social housing projects to have parking lots and electric vehicle charging stations. Prioritize land lease, land rental prices and other conditions for developing charging stations. Ensure stable power supply and meet the development needs of charging stations. Have support mechanisms and policies on taxes, fees, charges and prioritize low-interest loans for the construction of charging stations" - Associate Professor, Dr. Dinh Trong Thinh affirmed.
In a recent meeting, the Ministry of Industry and Trade and the Ministry of Science and Technology agreed on the development of technical standards and regulations related to electric vehicle charging stations, which will soon be reported to the Government for assignment to relevant ministries and branches. The complete electric vehicle charging infrastructure, including electrical infrastructure, control and communication infrastructure, charging ports and plugs, meets various standards.
Mr. Pham Nguyen Hung - Director of the Department of Industry, Ministry of Industry and Trade - believes that a complete charging station infrastructure with fast charging technology will make the use of electric vehicles easier, promote green transportation and reduce dependence on fossil fuels.
