Energy-Efficiency Solutions in Hai Phong

According to a report on energy efficiency and sustainable development in Hai Phong by the city’s Energy Conservation and Cleaner Production Centre, cement and steel were among the most electricity-intensive industries. With record export growth in 2010, electricity demand in the two sectors rose by 27.5% compared with 2009. Steel production used 4.67 billion kWh, or 5.52% of national electricity output, while cement production used 5.52 billion kWh, or 6.5%.

The centre estimated energy-saving potential of 20% in cement, steel and paper, and 30% in transport, construction and household use. However, many organisations lacked dedicated energy management functions, and staffing, equipment, operating conditions and production schedules were not well coordinated. Technology and management practices were often poorly integrated, while outdated equipment consumed excessive fuel.

Against growing pressure on energy supply, the report asked how Hai Phong could improve energy efficiency while supporting sustainable development.

Coordinated solutions

Hai Phong responded by strengthening internal energy management, refurbishing or replacing old and fuel-intensive equipment, improving production technology, applying technical advances and rationalising operations. The city sought funding from central and local budgets, international organisations and businesses for energy-efficiency programmes. It also promoted public awareness and selectively invested in the capacity of design, technical-support, energy-audit and energy-management organisations.

Research, training and cooperation

The city introduced research and development topics covering energy-saving technology and products, as well as less-polluting energy sources. It also considered proposals to the city administration for investment in technology development to support energy conservation.

International cooperation included training managers and consultants, scientific workshops, overseas training and study visits. Hai Phong also worked through city networks in ASEAN, the Asia–Pacific region and internationally to implement energy-efficiency programmes.

Investment and development priorities

Alongside research and technology applications in environmental protection, energy efficiency and cleaner production, Hai Phong supported businesses investing in clean production and increasing renewable energy’s share of their energy use. Annual budget allocations covered stronger energy-management institutions, capacity building, investigations, surveys, energy audits, project implementation and partial interest support for energy-related investment.

The city’s approach also linked sustainable economic growth with green growth, cleaner energy and renewable energy. Priorities included sustainable production and consumption, wind and solar development planning, suitable policies and wider communication about local renewable energy potential.

Energy security was identified as a priority in trade and external relations, supported by integrated urban and industrial development planning. Proposed mechanisms were intended to help businesses overcome barriers to energy-saving projects and reduce costs during difficult production conditions and rising energy prices. Financial incentives and international cooperation were also envisaged for research and exploration relating to coal, oil, gas, and new and renewable energy. Public communication and consultancy would help households and businesses understand and apply energy-saving measures.