Prime Minister: Develop a National Refining, Petrochemical and Energy Center in Dung Quat

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On April 3, at the Government Headquarters, Prime Minister Pham Minh Chinh chaired a meeting of the Government Standing Committee and the Standing Board of the Government Party Committee to discuss a number of important issues, including proposals for mechanisms and policies to promote the development of a National Refining, Petrochemical and Energy Center in Dung Quat Economic Zone (Quang Ngai Province).

Attending the meeting were Deputy Prime Ministers, Deputy Secretaries of the Government Party Committee, members of the Standing Board of the Government Party Committee, and leaders of ministries, sectors, agencies, and localities.

According to reports and opinions presented at the meeting, as Vietnam enters a new stage of development with requirements for high and sustainable growth associated with energy transition, the development of large-scale, integrated, and internationally competitive energy industrial centers has become an urgent necessity. Major policies of the Party and the State in recent years have clearly defined the orientation of forming new growth poles and national energy centers linked to regional advantages and global development trends.

In particular, Resolutions and Conclusions of the Politburo, such as Resolution No. 26-NQ/TW on socio-economic development and ensuring national defense and security in the North Central and Central Coastal regions; Conclusion No. 76-KL/TW on the implementation of Resolution 41 regarding the strategic orientation for the development of Vietnam’s oil and gas industry; and Resolution No. 70-NQ/TW on ensuring national energy security, have set out specific requirements for the establishment of a National Refining, Petrochemical and Energy Center in Dung Quat Economic Zone. This is considered one of the key tasks to ensure energy security, develop the marine economy, and promote national industrialization.

At the same time, the National Energy Development Strategy and sectoral planning have clearly defined the role of developing an integrated oil, gas, and energy value chain, including gas, LNG, electricity, refining and petrochemicals, and renewable energy, in order to enhance the autonomy of the economy and meet the growing energy demand.

In the international context, trends in energy transition, requirements for reducing greenhouse gas emissions, and competition in attracting investment are posing new demands on the model of energy industry development. Vietnam has committed to achieving net-zero emissions by 2050; therefore, the development of energy centers in a green, clean, integrated, and circular direction is an inevitable trend.

Dung Quat Economic Zone in Quang Ngai Province, with its strategic geographical location, deep-water port infrastructure, existing industrial system, and notably the Dung Quat Oil Refinery—the first oil refinery in Vietnam—possesses all the necessary conditions to develop into a national refining, petrochemical, and energy center. The development of this center will not only create momentum for Quang Ngai Province but also for the entire Central Coastal region and the national economy.

The project on the National Refining, Petrochemical and Energy Center in Dung Quat Economic Zone aims to establish an integrated energy industrial center, covering refining and petrochemicals, natural gas, LNG, electricity, and renewable energy, associated with the development of a circular economy and a low-carbon economy.

The development orientation of the Center is to build a complete value chain from the import, storage, and processing of oil and gas to the production of energy and related industrial products, serving both domestic demand and export. At the same time, the Center will integrate new technologies such as green hydrogen, green ammonia, carbon capture, and clean energy solutions to meet the requirements of energy transition.

The establishment of the Center is not only an economic project but also an important step in ensuring energy security. It aims not only to increase domestic production capacity but also to enhance international competitiveness, attract foreign investment, form a complete energy industrial value chain, develop supporting industries, and create jobs, thereby contributing to sustainable development goals and reducing greenhouse gas emissions.

Based on research and reference to international models, the People’s Committee of Quang Ngai Province has proposed a system of mechanisms and policies comprising two main groups: those under the authority of the Government and those under the authority of the National Assembly.

After listening to reports and opinions, in his concluding remarks, Prime Minister Pham Minh Chinh welcomed the Ministry of Industry and Trade, Quang Ngai Province, and relevant ministries, sectors, and agencies for promptly developing the project on the National Refining, Petrochemical and Energy Center in Dung Quat.

The Prime Minister emphasized that the review and proposal of mechanisms and policies to promote the development of the Center have sufficient political grounds (including Resolution 26, Conclusion 76, and Resolution 70 of the Politburo, as well as assignments given by the Government in various documents), practical foundations, and alignment with planning and strategies, including the national master plan on energy and the National Energy Development Strategy. This also contributes to the timely implementation of the Conclusion of the 2nd Plenary Session of the 14th Party Central Committee on the socio-economic development plan for the 2026–2030 period and the directives of General Secretary To Lam on energy development to support double-digit growth, as well as to effectively exploit the Ca Voi Xanh gas project.

Prime Minister Pham Minh Chinh assigned the Ministry of Industry and Trade to take the lead in incorporating feedback from the meeting to finalize dossiers and documents, while relevant ministries and agencies contribute within their respective mandates. For existing mechanisms and policies, ministries, sectors, localities, and agencies are to proactively implement them within their authority; matters under the Government’s authority will be handled by the Government.

The meeting reached consensus on the policy of developing and proposing specific mechanisms and policies. The Prime Minister requested continued review to clarify what has been established, what has not, and the respective authorities. For matters under the authority of the National Assembly, pilot proposals should be developed, with the Ministry of Industry and Trade taking the lead in reviewing and finalizing the draft Resolution of the National Assembly.

The People’s Committee of Quang Ngai Province is to proactively coordinate with the Ministry of Industry and Trade and relevant ministries to finalize dossiers and documents, assess the specific impacts of each policy, and work with investors.

The Prime Minister noted that this is a large-scale center requiring diversified resource mobilization, including state and private resources, central and local sources, as well as domestic and international investment, both direct and indirect.

Assigning the responsible Deputy Prime Minister to directly oversee the completion of relevant dossiers, the Prime Minister emphasized the spirit of focusing on action rather than delay, implementing the project with a clear roadmap while concentrating resources to ensure rapid and effective execution.

By Thao Giang