Business

Petrolimex to replace mineral petrol with biofuel ahead of schedule

Petrolimex estimates that replacing the entire mineral petrol with E10RON95 could cut its monthly mineral fuel consumption by nearly 10%, equivalent to 35,000–40,000 cu.m.

A filling station of Petrolimex in Hanoi. (Photo: VNA)
A filling station of Petrolimex in Hanoi. (Photo: VNA)

Hanoi (VNA) – The Vietnam National Petroleum Group (Petrolimex) is accelerating efforts to expand the rollout of E10RON95 biofuel nationwide, aiming to fully replace mineral pertrol ahead of schedule.

The group plans to scale up the distribution of E10RON95 as early as April, following encouraging results from its pilot programme. Current consumption has reached an average of 95 cu.m per day, up around 40% compared to the start of the trial phase launched on August 1, 2025.

Petrolimex has piloted the biofuel at 60 petrol stations in Ho Chi Minh City and central Quang Ngai province. To date, no customer complaints regarding fuel quality have been recorded, reflecting growing consumer confidence in the product, it said.

Following the issuance of Circular No. 50/2025/TT-BCT by the Ministry of Industry and Trade last November, which outlines the roadmap for blending biofuels with traditional fuels and targets the complete replacement nationwide starting June 1 this year, Petrolimex has upgraded storage facilities and blending systems, secured ethanol supply sources, and optimised logistics and base fuel planning.

The transition comes amid global supply uncertainties, including disruptions linked to tensions in the Middle East. Petrolimex estimates that replacing the entire mineral petrol with E10RON95 could cut its monthly mineral fuel volume by nearly 10%, equivalent to 35,000–40,000 cu.m.

However, challenges remain. The firm requires 45,000–50,000 cu.m of ethanol per month for producing the biofuel while domestic production can only meet part of the demand.

Since early March, Petrolimex has been negotiating both short- and long-term import contracts with partners in the US, the Republic of Korea, and Singapore to secure sufficient supply though costs may rise due to global transport and fuel price hikes.

To promote wider adoption, it has proposed policy support, including environmental tax reductions, clearer fuel standards and strict quality control measures to ensure consumer confidence in the lower-emission fuel./.

VNA
#Petrolimex #E10RON95 biofuel #ethanol supply sources #fuel price hikes
Follow VietnamPlus

Green transition

Related News

Motorcycle riders refill their vehicles at a petrol station in Hanoi (Photo: VNA)

E5 RON92 biofuel price falls in latest adjustment

Since the beginning of this year, domestic fuel prices have undergone 14 adjustments, including five decreases and nine increases for RON95 and six declines and eight hikes for E5 RON92. Meanwhile, diesel price has fallen three times and risen 11 times.

A motorcyclist has his vehicle refilled at a Petrolimex station. (Photo: VNA)

Vietnam ready for nationwide E10 biofuel rollout from June 1

Industry representatives noted that alongside infrastructure readiness, continued investment, stable raw material supply and an appropriate pricing policy in the initial phase will be essential to ensure a smooth nationwide transition to E10 from June 1.

E10 bio petrol will be sold from June 1, 2026 while the production and use of E5 RON92 gasoline will continue to be maintained until December 31, 2030 (Photo: VNA)

Ministry unveils mandatory roadmap for E10 biofuel

Starting from June 1, all unleaded gasoline that meets current technical standards will be required to be blended into E10 gasoline for consumption on the domestic market, Nguyen Anh Tuan, head of the petroleum and gas business management division under the ministry's Domestic Market Management and Development Department, said at a regular press briefing for the fourth quarter of 2025 held in Hanoi on January 29.

See more

Permanent Deputy Prime Minister Pham Gia Tuc and officials inspect the Gia Binh International Airport project on May 20, 2026. (Photo: VNA)

Gia Binh international airport project accelerated ahead of APEC 2027

Tuc described Gia Binh International Airport as a national key project requiring strict adherence to construction timelines, particularly as it is expected to be put into operation in time for the 2027 APEC Economic Leaders' Meeting. Several associated projects are also being implemented under special mechanisms to serve major national tasks.

Vietnamese Ambassador to the Republic of Korea Vu Ho speaks at the forum.(Photo: VNA)

Forum promotes Vietnam–RoK supply chain connectivity

Cao Thi Phi Van, Deputy Director of ITPC, said that after more than three decades of cooperation, Vietnam–RoK ties are shifting from traditional manufacturing cooperation towards mastering future-oriented technologies such as semiconductors, artificial intelligence (AI), digital finance, renewable energy and global supply chains.

Fitch Ratings gives positive assessment of Vietnam’s economic fundamentals (Illustrative image. Source: VNA)

Fitch Ratings gives positive assessment of Vietnam’s economic fundamentals

Deputy Minister Tran Quoc Phuong stressed that Fitch’s credit assessments have enhanced Vietnam’s image and credibility in international financial markets, and provided additional motivation for the country to continue improving institutions, strengthening policy management efficiency and increasing economic transparency.

Consumer purchases E10 biofuel at a PVOIL petrol station on Thai Thinh street in Hanoi. (Photo: VNA)

Hanoi strengthens oversight of transition to E10 biofuel

To ensure compliance with the transition roadmap, the Hanoi Market Surveillance Sub-Department has requested petrol traders to proactively review and upgrade storage tanks, fuel pumps and other technical conditions necessary for E10 distribution, thereby preventing disruptions to fuel supply serving consumption and production demands across the capital.

A Phu Tho civil servant guides a local how to switch from presumptive tax mechanism to tax sef-declaration. (Photo: VNA)

📝OP-ED: Vietnam’s tax reform: Fair play, not revenue squeeze

At a time when social media disinformation grows more sophisticated, transparency and public disclosure are the most potent counter to distortions. Facts, data and real-world results deliver the strongest rebuttal to attempts that twist reality and erode trust in tax administration reform.

Experts are expected to analyse opportunities for boosting exports and investment cooperation between Vietnam and South American countries at the coming seminar. (Illustrative photo: VNA)

Seminar on trade promotion in South American market to take place in Hanoi

A seminar on opportunities and challenges in developing the South American market will be held in Hanoi on May 28. It aims to provide updates on the economic outlook, market trends and import demand in South America, particularly in Argentina and Chile, amid continued fluctuations in global supply chains.

A view of the second Asia Agri Food International 2026 in Ho Chi Minh City on May 19 (Photo: VNA)

India pushes stronger agri-food cooperation with Vietnam

Experts noted that Vietnam has established itself as one of Southeast Asia’s leading agricultural product exporters, while India remains a major global supplier of agricultural and food products. By combining India’s production capacity and technological strengths with Vietnam’s dynamic processing and export ecosystem, the two countries can build more resilient supply chains in the region.