PetroVietnam has announced that it will increase exports of ethanol fuels due to a lack of market demand at home.
Under a Government plan for developing the bio-fuel market through2015, with a vision to 2025, the group invested 270 million USD in threeethanol plants in Binh Phuoc, Phu Tho and Quang Ngai provinces with atotal productive capacity of 300,000cu.m annually.
However, despite being cheaper by about 500 VND per litre thanconventional A92 petrol, consumers have not embraced ethanol-basedfuels.
Nguyen Anh Toan, deputy director of PetroVietnamOil (PV Oil), a group subsidiary, said that PV Oil sold roughly20,000cu.m of ethanol last year though 150 dealers in 40 cities andprovinces nationwide.
Toan estimated that only about100,000cu.m of ethanol will be consumed annually in the next few yearswithout a more aggressive roadmap. Although a plan to develop thebio-fuels market had been in place since 2007, a more definite roadmapto carry it out is still being drafted by the Ministry of Industry andTrade, he said.
Under the draft, which is still beingcirculated among relevant agencies for recommendations and comment,drivers in major cities will be required to use E5 petrol by the end ofnext year. The cities and provinces in the pilot programme will includeHanoi , HCM City , Hai Phong, Da Nang , Can Tho, Quang Ngai andBa Ria-Vung Tau. The use of bio-fuels will then become compulsorynationwide by June 2015.
The ministry said that there are13 projects registered to produce ethanol-based fuels. This year, fiveplants are expected to begin operations with a design capacity of 490million litres per year.-VNA
Under a Government plan for developing the bio-fuel market through2015, with a vision to 2025, the group invested 270 million USD in threeethanol plants in Binh Phuoc, Phu Tho and Quang Ngai provinces with atotal productive capacity of 300,000cu.m annually.
However, despite being cheaper by about 500 VND per litre thanconventional A92 petrol, consumers have not embraced ethanol-basedfuels.
Nguyen Anh Toan, deputy director of PetroVietnamOil (PV Oil), a group subsidiary, said that PV Oil sold roughly20,000cu.m of ethanol last year though 150 dealers in 40 cities andprovinces nationwide.
Toan estimated that only about100,000cu.m of ethanol will be consumed annually in the next few yearswithout a more aggressive roadmap. Although a plan to develop thebio-fuels market had been in place since 2007, a more definite roadmapto carry it out is still being drafted by the Ministry of Industry andTrade, he said.
Under the draft, which is still beingcirculated among relevant agencies for recommendations and comment,drivers in major cities will be required to use E5 petrol by the end ofnext year. The cities and provinces in the pilot programme will includeHanoi , HCM City , Hai Phong, Da Nang , Can Tho, Quang Ngai andBa Ria-Vung Tau. The use of bio-fuels will then become compulsorynationwide by June 2015.
The ministry said that there are13 projects registered to produce ethanol-based fuels. This year, fiveplants are expected to begin operations with a design capacity of 490million litres per year.-VNA
