Biofuel E20 (20% Introduction of E20 to Air quality Not profitable or Regulatory: Program ethanol gasoline) in substitute for gasoline used improvement for marginal typically but normally necessitates vehicles nationally using the planned some parameters; in rare instances has mandatory blends or other (2.6 MtCO2e/yr) production capacity for diversification of been profitable government fuel price bioethanol (equivalent of agricultural products internationally; control 1% of gasoline supply) and employment typically needs Technology: Introduction (0.1 MtCO2e/yr) government support of technology and increase through regulation or in processing capacity is subsidies; not needed undertaken in Vietnam Modal shift from Shift of 10% of road freight Improved air The Bank has found Technical: Lack of Bank supports a number of road to inland traffic to inland waterways pollution; trade these investments to infrastructure including projects that finance inland waterway freight through improved facilitation; road be highly viable logistics and intermodal waterways, such as Inland (2.2 tCO2e/yr) waterways, infrastructure, safety improvement linkages Waterways and Port and other incentives (0.22 Financial: Rehabilitation tCO2e/yr) Underinvestment in Project (P004843) waterways as a mode of transport Modal shift from Shift of 10% of road freight Improved air Commonly marginal Technical: Lack of road to rail freight traffic to railways through pollution; trade or not profitable in infrastructure including (2.6 tCO2e/yr) improved infrastructure facilitation; road Vietnam but may be logistics and intermodal (0.26 tCO2e/yr) safety improvement profitable for some linkages lines Financial: Requires large infrastructure investments Modal shift from Shift of 10% road freight Improved air Initial estimates Technical: Lack of Bank supports a number of road to coastal traffic to coastal shipping pollution; trade indicate it may be infrastructure including projects that finance inland freight using larger capacity vessels facilitation; road profitable in Vietnam logistics and intermodal waterways, such as Mekong (0.8 MtCO2e/yr) and improved infrastructure safety improvement linkages Delta Transport (0.08 MtCO2e/yr) Financial: Infrastructure Development Underinvestment in Project (P083588) coastal shipping as a mode of transport
Biofuel E20 (20% ethanol gasoline) in vehicles (2.6 MtCO2e/yr) Introduction of E20 to substitute for gasoline used nationally using the planned production capacity for bioethanol (equivalent of 1% of gasoline supply) (0.1 MtCO2e/yr) Air quality improvement for some parameters; diversification of agricultural products and employment Not profitable or marginal typically but in rare instances has been profitable internationally; typically needs government support through regulation or subsidies; not undertaken in Vietnam Regulatory: Program normally necessitates mandatory blends or other government fuel price control Technology: Introduction of technology and increase in processing capacity is needed Modal shift from road to inland waterway freight (2.2 tCO2e/yr) Shift of 10% of road freight traffic to inland waterways through improved waterways, infrastructure, and other incentives (0.22 tCO2e/yr) Improved air pollution; trade facilitation; road safety improvement The Bank has found these investments to be highly viable Technical: Lack of infrastructure including logistics and intermodal linkages Financial: Underinvestment in waterways as a mode of transport Bank supports a number of projects that finance inland waterways, such as Inland Waterways and Port Rehabilitation Project (P004843) Modal shift from road to rail freight (2.6 tCO2e/yr) Shift of 10% of road freight traffic to railways through improved infrastructure (0.26 tCO2e/yr) Improved air pollution; trade facilitation; road safety improvement Commonly marginal or not profitable in Vietnam but may be profitable for some lines Technical: Lack of infrastructure including logistics and intermodal linkages Financial: Requires large infrastructure investments Modal shift from road to coastal freight (0.8 MtCO2e/yr) Shift of 10% road freight traffic to coastal shipping using larger capacity vessels and improved infrastructure (0.08 MtCO2e/yr) Improved air pollution; trade facilitation; road safety improvement Initial estimates indicate it may be profitable in Vietnam Technical: Lack of infrastructure including logistics and intermodal linkages Financial: Underinvestment in coastal shipping as a mode of transport Bank supports a number of projects that finance inland waterways, such as Mekong Delta Transport Infrastructure Development Project (P083588)
677080WP00PUBL0C0Strategy0VN0Final.docx