Vietnam: against pollution, scooters go electric

Vietnam: against pollution, scooters go electric
Vietnam: against pollution, scooters go electric

A street in Hanoi, the capital of Vietnam, on November 11, 2024.

AFP

In Vietnam, two-wheelers, which represent 85% of road traffic according to official data, remain the means of private transport most used by the Vietnamese, by far, but pollution could force them to review their habits. In recent years, the authorities have stepped up initiatives to accelerate the transition to electric, to dissipate the thick “smog” linked to emissions from thermal vehicles which envelops Hanoi for most of the year.

“When I stop at intersections, all I want to do is run the red light. The smell of gasoline is so horrible.

Phung Khac Trung, motorcycle taxi driver, aged 19

The government hopes that by 2030, a quarter of the 77 million motorcycles or scooters registered in the country will be electric. These represented only 9% of sales in 2023, noted the International Energy Agency (IEA), although the trend has been increasing in recent years.

A “ray of hope”

Vietnam recorded 300,000 new registrations in 2023, more than in all of Europe, the IEA noted. Only China and India did better last year. There is a “ray of hope”, assures Truong Thi My Thanh, specialist in transport issues. About 80% of electric two-wheeler owners are students, motivated by lower operating costs, she said. A cheap two-wheeler costs around $500.

But the expert believes that the authorities’ incentives must be accompanied by territorial redevelopment policies, in particular to improve public transport. Otherwise, “the problems will persist,” she warns. It is also about changing entrenched mentalities. “The gas motorcycle is so convenient. It only takes me a few minutes to refuel,” compared to several hours to recharge a battery, explains Tran Thi Hoa, a fruit seller.

Charging station, battery exchange

Fears also persist over the safety of charging batteries at home, while recent fires have been attributed to electrical failures, sometimes caused by non-compliance with construction standards.

Faced with questions, the national manufacturer of electric vehicles VinFast has developed nearly 150,000 charging stations across the country. Likewise, a start-up, Selex, has specialized in battery swapping, on an even smaller scale. Companies involved in the sector also target professional customers.

Vingroup, the parent company of VinFast, also owns a taxi company that uses electric two-wheelers. Selex, for its part, has signed partnerships with DHL Express and Lazada Logistics, for the delivery of products ordered online. Nguyen Phuoc Huu Nguyen, founder of Selex, calls for government investment.

“We all understand that electric vehicles are good for the environment. But this requires investment.”

Nguyen Phuoc Huu Nguyen, fondateur de Selex

This can involve aid for the purchase of efficient electric two-wheelers, noted the World Bank in a report published in November. The institution also recommended around ten billion dollars of additional investments in electricity infrastructure by 2030, in order to meet the expected growth in demand. Today, Vietnam relies mainly on coal and oil, which cover more than half of its electricity needs, but the government has set a goal of achieving carbon neutrality by 2050.

(afp)

-

-

PREV in December, rates continue to fall!
NEXT Five big stock ETFs that performed very well in 2024