HÀ NỘI — PetroVietnam Gas Corporation (PV GAS) plans to launch a pilot project for small-scale green hydrogen production and supply to serve industrial and transportation sectors in the southeast region.

The initiative aligns with Việt Nam’s national energy development strategy and hydrogen strategy for 2030, with a vision toward 2050, as committed to by the Prime Minister at COP26.

CEO of PV GAS, Phạm Văn Phong, aid that PetroVietnam and PV GAS are collaborating with ministries and sectors to develop Việt Nam’s hydrogen development strategy, prioritising low-emission solutions. With its established natural gas pipeline infrastructure and extensive experience in the gas sector, PV GAS has been tasked with leading research into production, distribution and applications of green hydrogen (derived from renewable energy) and blue hydrogen (produced from natural gas combined with carbon-capture technologies).

In parallel with its LNG import and distribution projects, PV GAS is exploring using the existing infrastructure to produce, transport and export green hydrogen derivatives such as ammonia, methanol and e-methane.

The corporation has already registered a hydrogen pilot project under the public-private partnership (PPP) programme funded by the German government. It is also partnering with JICA (Japan) and various technology providers, banks and green finance institutions to implement energy transition projects.

However, high production costs and reliance on fossil fuels remain significant challenges. According to Phạm Văn Phong, close collaboration between the government, technology providers, infrastructure investors and end-users, is essential to building a viable green hydrogen market in Việt Nam.

The Government has issued numerous policies to establish a legal framework and create favourable conditions for the growth of a low-emission hydrogen industry. These efforts aim to position Việt Nam as a key player in the global transition to green energy supplies. — VNS