Not discuss to "revive" gasoline A92

VCN- Biofuel E5 RON92 (E5) officially launched in the country market less than 3 months ago, but recently there have been "complaints" about the consumption level as well as proposals to "revive" RON92 gasoline. Opposing the revival of A92 gasoline, many experts say that the clue is to remove the "knots" to promote stronger consumption of gasoline E5.
not discuss to revive gasoline a92
Promote communicating about the benefits, quality of gasoline E5 is one of the solutions to promote consumption of gasoline. Picture: Nguyen Thanh.

Cannot be hasty assessment

Recently, Saigon Petro One-Member Limited Liability Company (Petro Vietnam) has sent an official letter to the Ministry of Industry and Trade and the Ministry of Finance about some issues related to environmental protection tax and biofuel development policy in the future.

According to the survey, the consumption of gasoline E5 in the first two months of 2018 accounts for a very low proportion - 30% of total gasoline consumption of Saigon Petro (previously consumed RON92 gasoline accounted for 65 %). The fact that many vehicles can only use standard gasoline E5 or RON92 gasoline, but still use gasoline RON95 with higher prices, is a waste. According to the calculation of Saigon Petro, consumers are spending about 400 billion VND per month from switching to gasoline RON95. This company proposed to the management agency to reduce bio-environmental protection E5, as a basis for enterprises to reduce selling prices, stimulate consumption of this product, and avoid wasting social resources. Even according to Saigon Petro, in the coming time, E5 petrol output is still low despite the measures, it is recommended to re-use gasoline RON92.

The above suggestions quickly received the attention of the public. Deputy Chairman and General Secretary of the Vietnam Energy Association Nguyen Van Vy said: When recalculating the production and business, enterprises making such recommendations is quite normal. However, in terms of state management, it is necessary to have a comprehensive view, in a longer term. According to Mr. Vy, the transfer of RON92 gasoline to E5 is the right policy, even if at the present time the change is inconsistent. Therefore, we should not propose to promote selling gasoline RON92 just because of failing to promote the E5 gasoline output, Mr. Vy asserted.

From the perspective of petroleum companies, Mr. Nguyen Van Tiu, Chairman of the Board of Directors of Petroleum Joint Stock Company, said: "The mass transit of E5 petrol has only been deployed for less than 3 months so there is nothing to mention. Both the State and businesses have taken a lot of effort to implement the roadmap to sell gasoline E5, so they do not want to revive gasoline RON92. The important thing is to remove the hook for E5 gasoline.

Make a difference in price

Gasoline E5 sold nationwide is the effort of the whole system from state management agencies to enterprises. Obviously, instead of "reviving" gasoline RON92, how to promote consumption of E5 gasoline is something worth discussing at the moment. According to Mr. Ngo Tri Long, former director of the Institute of Market Price Research (Ministry of Finance): First of all, it is necessary to make people believe in the quality of E5 petrol. In addition, it is necessary to have policies to ensure profits for petroleum business.

Mr. Nguyen Van Vy said: To change the suspicion of quality gasoline E5, so that people feel secure to use it, it is important to do better communication. "There needs to be an agency like the Ministry of Science and Technology, which offers studies showing which vehicles can use normal E5 gasoline without affecting the engine. If the state agency coordinates with the car manufacturers to make recommendations and official announcements, to promote the dissemination to the user is best", said Mr. Vy. Around this story, some people said that apart from communicating to people the benefits and quality of E5 gasoline, it is important to control the market in both input and output products. This is to avoid the poor quality of the product, affecting the prestige of the item.

As an "insider" in the oil business, Mr. Tiu’s analysis is: Currently discounted gasoline E5 is lower than 200 per liter compared to gasoline RON95. That discount makes many retailers prefer to sell RON95 gasoline. This will greatly affect the profitability of key enterprises. To boost gasoline E5 production, it is necessary to have a suitable policy for every gas station to sell gasoline E5 by increasing the discount rate. In terms of price between gasoline E5 and RON95, making a difference of about 2,000-2,500 VND/liter will also be a factor that stimulates consumers to use gasoline E5.

In relation to the story of E5 gasoline consumption, at the regular meeting February 2nd 2018 of the Government on March 1st, Deputy Minister of Industry and Trade Do Thang Hai stated: First, with its responsibility, the Ministry of Industry and Trade and the Ministry of Finance shall perform the important task of ensuring the adequate petrol and oil supply and ensuring energy security. From 1st January, 2018 according to the roadmap approved by the Prime Minister, gasoline E5 is sold nationwide. At present, as reported in the clue as well as by the Department of Industry and Trade across the country, the amount of gasoline E5 consumption increased relatively fast. For businesses to now stop selling gasoline E5, the right business is their right. Enterprises can suffer losses, interest or maybe for some other reason. "In our responsibility regarding the management of petroleum or related business rights, we will coordinate directly with the Department of Industry and Trade where the business is to solve difficulties or can coordinate that company to strictly follow the law, creating conditions for businesses in the field of petroleum", said Deputy Minister Do Thang Hai.

By Uyển Như/ Huu Tuc

Related News

MoF develops excise tax policy to promote electric vehicle production

MoF develops excise tax policy to promote electric vehicle production

VCN – The Ministry of Finance is considering adjusting excise tax rates for some environmentally friendly products in the revised Law on Excise Tax.
Excise tax on gasoline should not be abolished

Excise tax on gasoline should not be abolished

VCN - The Ministry of Finance said that the collection of green tax on gasoline is in line with the objectives of the excise tax and international practices.
Most ministries agree to reduce the excise tax on gasoline and VAT on petrol and oil

Most ministries agree to reduce the excise tax on gasoline and VAT on petrol and oil

VCN - After consulting with ministries and local governments on the draft Resolution of the National Assembly on reducing excise tax on gasoline and value-added tax on petrol and oil, the Ministry of Finance said that all respondents agreed with the purpose and views of this Resolution.
Deputy Minister of Finance: follow the situation to adjust taxes and reduce gasoline prices

Deputy Minister of Finance: follow the situation to adjust taxes and reduce gasoline prices

VCN - Responding to the press at the Government press conference on the evening of August 3, Deputy Minister of Finance Vo Thanh Hung said that the Ministry has reported to the competent authorities to adjust taxes and fees related to petroleum to remove difficulties for enterprises.

Latest News

Gov’t unveils action plan to accelerate industrialisation

Gov’t unveils action plan to accelerate industrialisation

The Vietnamese Government has outlined a comprehensive action plan to continue fasttracking the country's industrialisation and modernisation by 2030, with a long-term vision extending to 2045.
Ho Chi Minh City enterprises overcoming difficulties

Ho Chi Minh City enterprises overcoming difficulties

VCN - The economy of HCM City has gradually moved through the first half of 2024 with many positive signs. Business activities are stabilizing and recovering, with export orders in sectors such as wood, textiles, food, and beverages surging.
PM asks for all efforts to ensure sufficient supply of electricity, petroleum products

PM asks for all efforts to ensure sufficient supply of electricity, petroleum products

Prime Minister Phạm Minh Chính asked relevant agencies and authorities to ensure sufficient supply of electricity and petroleum products in all situations.
Ministries asked to review and revise policies on infrastructure development

Ministries asked to review and revise policies on infrastructure development

A plan outlines key tasks and solutions to develop a modern and synchronous infrastructure system with focus, priority on key areas, and advanced steps ahead.

More News

Vietnam

Vietnam's GDP in 2024 could achieve nearly 7% growth

VCN - According to Nguyen Anh Duong, Head of the General Research Department at the Central Institute for Economic Management (CIEM), Vietnam achieved significant socio-economic results in the first half of the year. Based on these outcomes, CIEM has developed two macroeconomic forecast scenarios for 2024.
Foreign diplomats hail late Party chief’s role in Vietnam’s modern history

Foreign diplomats hail late Party chief’s role in Vietnam’s modern history

Party General Secretary Nguyen Phu Trong holds an enormous role in the development and achievements of Vietnam, in terms of both domestic and external affairs, said foreign diplomats who used to work in the country.
Highest determination to remove IUU "yellow card".

Highest determination to remove IUU "yellow card".

VCN - The 5th inspection of the European Commission (EC) is expected in October 2024, which is the decisive time for Vietnam to remove the "Yellow Card" warning in 2024. This is considered an important and urgent and important task because the EU is in the top 5 largest export markets of Vietnamese seafood, after the US and China.
Party General Secretary Nguyen Phu Trong passes away

Party General Secretary Nguyen Phu Trong passes away

General Secretary of the Communist Party of Vietnam Central Committee Nguyen Phu Trong passed away on July 19 afternoon at the age of 80, according to the board of health protection and care for central officials.
The trend of GDP acceleration is increasingly clear

The trend of GDP acceleration is increasingly clear

VCN - In the context of a world economic recovery trend, our country's economic growth in the first six months of 2024 continues to prosper with an increase of 6.42%. This result is higher than the upper target growth rate set in Resolution 01/NQ-CP of the Government, and is considered a positive sign for the growth target for the whole year 2024.
The new Land law 2024 expected to boost foreign investment

The new Land law 2024 expected to boost foreign investment

VCN - With the new features and improvements in the Land Law 2024 for investors, Vietnam expects to welcome a new wave of foreign direct investment (FDI), especially for large projects.
PM calls for all-people, comprehensive digital transformation

PM calls for all-people, comprehensive digital transformation

Prime Minister Pham Minh Chinh on July 19 called for the all-people and comprehensive digital transformation, with the engagement of the whole political system, people and enterprises in the development of digital infrastructure, completion of the digital institutions and human resources training, so that Vietnam can catch up with and be on par with other nations amidst global headwinds.
Statement of the Ministry of Foreign Affairs on Vietnam submission on the limits of the extended continental shelf beyond 200 nautical miles in respec

Statement of the Ministry of Foreign Affairs on Vietnam submission on the limits of the extended continental shelf beyond 200 nautical miles in respec

Vietnam presented to the United Nations Commission on the Limits of the Continental Shelf (CLCS) its Submission on the Limits of the Extended Continental Shelf in respect of the Central Area of the East Sea (South China Sea) (VNM-C) at the UN headquarters in New York on July 17 morning (local time).
Vietnam’s e-commerce market grows fastest in SEA

Vietnam’s e-commerce market grows fastest in SEA

Vietnam, along with Thailand, are the two fastest growing e-commerce markets in Southeast Asia, according to the recently released report '2024 E-commerce in Southeast Asia' by Momentum Works.
Read More

Your care

Latest Most read
Gov’t unveils action plan to accelerate industrialisation

Gov’t unveils action plan to accelerate industrialisation

The Vietnamese Government has outlined a comprehensive action plan to continue fasttracking the country's industrialisation and modernisation by 2030, with a long-term vision extending to 2045.
Ho Chi Minh City enterprises overcoming difficulties

Ho Chi Minh City enterprises overcoming difficulties

VCN - In the first half of 2024, reports from the HCM City Union Business Association (HUBA) indicated that the activities of most businesses in the area were stabilizing.
PM asks for all efforts to ensure sufficient supply of electricity, petroleum products

PM asks for all efforts to ensure sufficient supply of electricity, petroleum products

Prime Minister Phạm Minh Chính asked relevant agencies and authorities to ensure sufficient supply of electricity and petroleum products in all situations.
Ministries asked to review and revise policies on infrastructure development

Ministries asked to review and revise policies on infrastructure development

A plan outlines key tasks and solutions to develop a modern and synchronous infrastructure system with focus, priority on key areas, and advanced steps ahead.
Vietnam

Vietnam's GDP in 2024 could achieve nearly 7% growth

According to Nguyen Anh Duong, Head of the General Research Department at the Central Institute for Economic Management (CIEM), Vietnam achieved significant socio-economic results in the first half of 2024
Mobile Version