Vietnam amends decree on GHG mitigation and ozone layer protection: Part 1 
On June 9, 2025, the Government of Vietnam promulgated “Decree No. 119/2025/ND-CP Amending and Supplementing a Number of Articles of Decree No. 06/2022/ND-CP on Mitigation of Greenhouse Gas (GHG) Emissions and Protection of the Ozone Layer” (hereinafter “the new Decree”). The new Decree, which will take effect on August 1, 2025, clarifies provisions of Decree No. 06/2022/ND-CP pertaining to the review of GHG inventories, sectors subject to GHG emission quotas, the allocation roadmap, the carbon trading market, and ozone-depleting substances.
Part 1 of this series of articles summarizes the key amendments related to GHG inventories and emission mitigation.
Clarification of GHG inventory reporting period
Facilities designated by Prime Minister’s decisions are now clearly required to report the results of their GHG inventories every two years, covering emissions over the preceding two years.
Mandatory review of GHG inventory results
The new Decree distinguishes between two categories of facilities: those that receive GHG emission quotas and those that do not.
- Facilities receiving GHG emission quotas: Under Decree No. 06/2022/ND-CP, inventory results were to be reviewed by provincial People’s Committees. The new Decree now requires independent verification by external review organizations. The requirements for these organizations are the same as those set out in Article 14 of Decree No. 06/2022/ND-CP for the review of GHG mitigation results.
- Facilities not receiving GHG emission quotas: The existing system remains unchanged. Their inventory results will continue to be reviewed by provincial People’s Committees.
The implementation schedule for GHG inventories by different categories of facilities is as follows.
| Facility category | Schedule |
|---|---|
| Facilities in the thermal power generation, steel, or cement sectors designated by the Prime Minister | From 2026, conduct GHG inventories every two years |
| Facilities outside the above sectors but designated by the Prime Minister as subject to GHG emission quotas starting from 2027 | From 2028, conduct GHG inventories every two years |
| Facilities that are not subject to GHG emission quotas but designated by the Prime Minister | From 2024, conduct GHG inventories every two years, with reports submitted to provincial People’s Committees by March 31 of the following year |
*GHG inventory reports must be prepared using Form 06 in Annex II of the new Decree.
Revised roadmap for allocation of GHG emission quotas
Under the new Decree, large GHG emitters (i.e., thermal power generation, steel manufacturing, and cement manufacturing) will be the first to receive emission quotas, with allocation phased in three stages as follows:
| Period | Type of facilities receiving quotas | Allocation schedule |
|---|---|---|
| 2025–2026 | Facilities in the thermal power, steel, or cement sectors designated by a Prime Ministerial decision (approx. 200 facilities projected) | Quotas allocated by December 31, 2025 |
| 2027–2028 | Facilities selected by sectoral authorities (e.g., Ministry of Industry and Trade for manufacturing) and designated by a Prime Ministerial decision (1st round) | Facilities designated by June 30, 2027Quotas allocated by October 31, 2027*For thermal power, steel, and cement facilities: by June 30, 2027 |
| 2029–2030 | Facilities selected by sectoral authorities and designated by a Prime Ministerial decision (2nd round) | Facilities designated by June 30, 2029Quotas allocated by October 31, 2029*For thermal power, steel, and cement facilities: by June 30, 2029 |
GHG emission quotas for facilities will be determined based on:
- GHG emissions per unit of product;
- GHG emission mitigation targets under production and business plans;
- Technical capacity and potential for GHG mitigation; and
- Technological innovation and financial capacity.
The calculation method for quotas is detailed in Method 01 as set out in Annex I to the Decree.
In addition, GHG mitigation obligations for Vietnam for 2025–2030 are as follows:
- Facilities receiving quotas must develop and implement mitigation measures consistent with their allocated GHG quotas.
- Facilities not receiving quotas must develop and implement GHG mitigation plans, as prescribed in Article 13 of Decree No. 06/2022/ND-CP.
The original text of the new Decree (in Vietnamese) can be downloaded at:
https://vanban.chinhphu.vn/?pageid=27160&docid=213875
