The Ministry of Construction (MoC) and the Investment Climate Advisory Programme of the International Finance Corporation (IFC) on May 24 signed a cooperation agreement on green and energy efficient building developments in Vietnam, aiming to reduce energy costs and greenhouse gas emissions.

Accordingly, the IFC’s programme will help the ministry enhance capacity to implement the Building Energy Efficiency Code, which came into effect in 2005 but faced some challenges due to a lack of guidance and enforcement.

In addition, it will help the MoC compile the brochure and guidance documents to implement the code as well as develop the country’s Green Building Strategies and Action Plan.

The programme is scheduled to run from 2013-2017 and is expected to help new buildings reduce their energy consumption by 15 percent.

During the signing ceremony, Wendy Werner, the IFC’s East Asia-Pacific Investment Climate Manager said the construction industry accounts for 36 percent of the nation’s total energy consumption, the highest level among all sectors in Vietnam. Improving energy efficiency will reduce operating costs for building owners and the country’s carbon gas emissions.

Meanwhile, the Deputy Minister of Construction, Phan Thi My Linh, said that the agreement will promote MoC-IFC energy efficiency cooperation in the construction sector, adding that developing green buildings supports Vietnam’s National Goal Programme on climate change, energy saving and green growth.-VNA