According to the AIIB, the Program will enhance the Government of Viet Nam's efforts to achieve its climate goals by enhancing Viet Nam's policy, regulatory, and financing frameworks to accelerate the transition toward a low-carbon, climate-resilient, and socially inclusive development pathway, in line with Viet Nam's NDC and net-zero emissions target by 2050 in the areas of energy transition and green growth.

DESCRIPTION

Viet Nam is among the countries most exposed to climate-related risks globally, due to its long coastline, low-lying river deltas, dense population centers, and climate-sensitive growth model. Rising temperatures, sea-level rise, and increasingly frequent and intense typhoons, floods, droughts, and heatwaves are already disrupting economic activity and threatening infrastructure assets.

The Program, co-financed with KfW, will help overcome key climate mitigation and adaption constraints by prioritizing three primary reform areas:

• Pillar 1: Develop and establish financial and investment incentives and mechanism for Green Transformation and Green Growth.
  Reforms under this pillar focus on implementing regulations and incentives for the initiation of a domestic carbon market, the adoption of electric vehicles, and the development of a green taxonomy.
• Pillar 2: Implement favorable investment policies for the Just Energy Transition.
  Reforms under this pillar focus on addressing regulatory obstacles to facilitate private investment in renewable energy, energy efficiency, and breakthrough technologies such as offshore wind and pump storage through mechanisms like direct power purchase agreements and streamlined approval processes.
• Pillar 3: Improve the financing framework for the Just Energy Transition.
  Reforms under this pillar focus on enhancing public financing options through improved access to official development assistance and concessional funding for just energy transition projects, thereby ensuring energy security and affordability. 

Collectively, these three pillars reinforce Viet Nam's NDC implementation, Viet Nam's Green growth strategy and operationalize the long-term vision of the National Climate Change Strategy to 2050.

AIIB Team Leader:

Ngoc Do - Senior Investment Officer
Email: ngoc.do@aiib.org

KfW Team Leader:

Erik Schulte - Portfolio Manager
Email: info@kfw-entwicklungsbank.de

Implementing Agency - Ministry of Finance, Viet Nam:

Nguyen Thi Dieu Trinh - Deputy General Director
Email: nguyenthidieutrinh@mof.gov.vn

ACCESS TO INFORMATION

You can submit an information request for project information at: https://www.aiib.org/en/contact/information-request/index.html

ACCOUNTABILITY MECHANISM OF AIIB

The AIIB has established the Accountability Mechanism for Project-Affected People (PPM). The PPM provides Òan opportunity for an independent and impartial review of submissions from Project-affected people who believe they have been or are likely to be adversely affected by AIIBÕs failure to implement the ESP in situations when their concerns cannot be addressed satisfactorily through Project level GRMs or AIIB Management processes.Ó Two or more project-affected people can file a complaint. Under the current AIIB policy, when the bank co-finances a project with another development bank, it may apply the other bank's standards. You can refer to the Project Summary Information document to find out which standards apply. You can learn more about the PPM and how to file a complaint at: https://www.aiib.org/en/about-aiib/who-we-are/project-affected-peoples-mechanism/how-we-assist-you/index.html

The complaint submission form can be accessed in Arabic, Bahasa Indonesia, Bengali, Chinese, English, Tagalog, Hindi, Nepali, Russian, Turkish, or Urdu. The submission form can be found at: https://www.aiib.org/en/about-aiib/who-we-are/project-affected-peoples-mechanism/submission/index.html