The Ministry of Construction (MoC) and the German Cooperation Organisation (GIZ) on January 6 sign a Memorandum of Understanding (MoU) on cooperation in developing the Vietnam Green Housing Programme. (Photo: Bnews/VNA)

The document was inked by Ha Quang Hung, Deputy Director General of the MoC’s Housing and Real Estate Market Administration (HREMA), and Kia Fariborz, Director of the GIZ SIPA Programme.

The VGHP, implemented under the Programme for Energy Efficiency in Buildings (PEEB) in Vietnam, aims to benefit the mid-income housing market through targeting the low-cost commercial housing segment. The MoU focuses on enabling greenhouse gas (GHG) emissions mitigation in the residential building sector.

Under the partnership, GIZ and HREMA will join hands to develop and implement the Vietnam Green Housing Programme. A particular focus of the programme is on improving energy efficiency and reducing GHG emissions in the affordable housing segment as per Vietnam’s commitment in its Nationally Determined Contribution to the Paris Agreement on Climate Change.

Through the programme, the partnership aims to motivate private housing developers to move into the market for energy-efficient and green buildings, and stimulate local commercial banks to develop green financing products for energy efficient housing and green construction materials.

According to calculations, within 10 years after reaching the target of the Green Housing Programme, the apartment buildings will save about 6.3 billion kWh of electricity, equivalent to 15.8 trillion VND.

This is a significant cost saving that will benefit the home buyers if they use energy efficiently in the apartment, Hung said. In addition, in the short term, the programme will create a plentiful supply of low-cost commercial housing, thereby facilitating the people’s access to affordable housing.

Fariborz, for his part, said, as an emerging economy, Vietnam is witnessing a sharp increase in demand for space and housing expansion as a result of the rapid growth of the middle class.

There is huge potential in reducing GHG through improving energy efficiency in the housing sector so this partnership will contribute to the fulfillment of Vietnam’s goal of GHG reduction, he added./.

CPV (Source: VNA)