Vietnam to develop national green building standards

On October 16, the Ministry of Construction held a policy dialogue titled “Promoting Green Building and Green Transport Solutions towards Sustainable Development” as part of the Vietnam Green Building and Transportation Week 2025.

In his opening remarks, Deputy Minister of Construction Nguyen Van Sinh emphasised that green buildings and green transportation are two essential pillars of a green economy, not just helping reduce emissions and conserve resources, but also driving technological innovation, improving quality of life, and boosting national competitiveness.

“Thanks to efforts promoting green buildings and green transport, by the end of Q3 the country already had over 600 certified green building projects with a total floor area of nearly 17 million square metres. In the transport sector, the number of green vehicles has also surged, with 183,240 electric cars and 974 electric buses in operation,” he added.

He noted that Hanoi and Ho Chi Minh City are pioneers with thousands of green transport vehicles, while cities such as Danang, Haiphong, Thanh Hoa, and Khanh Hoa are also seeing rapid growth among green vehicle fleets, contributing positively to sustainable development goals and carbon neutrality.

A highlight of the event was the announcement from Sinh that the Ministry of Construction will immediately begin studying and issuing a set of criteria for green buildings to ensure implementation is public and transparent.

Deputy Minister of Construction Nguyen Van Sinh's opening speech at the event

Le Trung Thanh, director of the Science, Technology, Environment, and Building Materials Department under the Ministry of Construction, stressed that Vietnam’s legal and policy framework for green buildings and transport is already almost complete.

“However, there remain some challenges. Outreach and awareness are still limited, especially focused on major cities, access to green financing is low, and there is a lack of a high-quality specialised workforce. The supply of green and energy-efficient building materials is also limited, and investment costs for green vehicles remain high,” he said. “Financial incentives are particularly weak, especially interest rate subsidies, to encourage a large-scale transition.”

From this reality, Thanh proposed continuing to refine a unified legal framework for green building and transport; developing preferential credit and finance policies for green projects; accelerating training of specialised personnel; expanding communication to raise awareness among developers, businesses, and citizens; and encouraging the use of energy-saving technologies, eco-friendly equipment, and materials.

“Green buildings and green transport are both an opportunity and a responsibility for the whole of society, aiming at green growth and sustainable development in keeping with the Politburo’s Conclusion No.70-KL/TW on ensuring national energy security,” said Thanh.

Regarding greenhouse gas emissions reductions in the construction materials sector, Nguyen Thi Tam, director of the Centre for Equipment, Environment, and Labour Safety at the Vietnam Institute for Building Materials, said that using domestic resources, the sector targets at least a 15.03 per cent reduction in emissions by 2030, equivalent to 23.20 million tonnes of CO₂.

“With additional international support, the goal will reach at least 20.06 per cent, corresponding to 30.97 million tons of CO₂,” stated Tam.

To implement the plan, she said the building materials sector will adopt new technologies, reuse industrial waste, optimise production processes, explore carbon capture technologies, establish low-carbon emission material standards, and compose guidelines for carbon inventory, creating carbon credit mechanisms and carbon markets, while raising awareness and cooperation both domestically and internationally.

Ta Duc Binh, a representative from the Institute of Strategy and Policy on Natural Resources and Environment under the Ministry of Agriculture and Rural Development, remarked that climate change is occurring at an alarming speed, demanding decisive action from policymakers and the investment community.

“Green investment is the key to ensuring resilience and long-term growth for the national economy. Key focus areas include renewable energy, green infrastructure, clean transport, smart agriculture, and waste and water management. These areas are interconnected through demands for energy, capital, and policy,” he added.

Binh also shared that the World Bank estimates Vietnam will need around $368 billion by 2040 to achieve net-zero emissions. Such a huge financial requirement comes with major challenges in mobilising funds and building innovation capacity, production infrastructure, and training human resources.

“Vietnam must swiftly complete a comprehensive green investment ecosystem, including robust legal frameworks, attractive incentives, and transparent oversight to lay the foundation for a sustainable and thriving future,” Binh concluded.

From an international perspective, Do Ngoc Diep, programme manager for green buildings and climate risk adaptation at the International Finance Corporation (IFC), said Vietnam is among the countries most vulnerable to climate change, with potential GDP losses reaching 12-16 per cent under the worst-case scenario.

“In Vietnam, IFC has introduced support tools for the construction sector, including the EDGE green building certification, climate-risk mapping and resilience assessment frameworks, and data analytics tools to help cities map decarbonisation paths and action plans. Over 32,000 apartment units and nearly 3,600 low-rise homes have already achieved the EDGE certification,” she added.

According to Diep, buildings account for up to 40 per cent of global greenhouse gas emissions from energy use alone. Thus, transitioning towards green, climate-adaptive construction is key to achieving emissions reduction targets and environmental protection.

“Vietnam has significant potential to scale up green and climate-resilient building countrywide. IFC is committed to supporting Vietnam to build a sustainable, climate-adaptive green economy,” Diep emphasised.

Overview of the event

Detailing further, Diep noted that annually about four million square metres of certified green floor area are granted in Vietnam across various project types including hotels, hospitals, schools, and even social housing.

“In terms of criteria, Vietnam is currently adopting four popular schemes: LEED, LOTUS, Green Mark and EDGE. However, when developers begin green building projects, choosing reputable and experienced consultancy firms is crucial, getting the right one ensures guidance and reasonable costs, while choosing poorly can lead to exorbitant pricing. Investors must be particularly cautious,” she noted.

With regard to this, Luu Thi Thanh Mau, general director of Phuc Khang Construction and Investment, recommended that the Ministry of Construction soon issue Vietnam’s own green building criteria and standards, selected and adapted from international systems to suit domestic conditions.

“Domestic developers already have sufficient knowledge and practical experience to advise and contribute to the development of these criteria. This will serve as a solid foundation and incentive for enterprises to actively implement green building practices,” she added.

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