Minister Nguyen Hong Dien presided over a conference focused on enhancing coal trade between Vietnam and Laos. The meeting was attended by Deputy Minister Nguyen Hoang Long and leaders from relevant departments, including the Department of Oil and Coal, the Department of Asian-African Markets, the Electricity Regulatory Authority, the Department of Electricity and Renewable Energy, and the Office of the Ministry. Representatives from major Vietnamese corporations, such as the Vietnam National Coal and Mineral Industries Group (TKV), the Vietnam Oil and Gas Group (PVN), the Vietnam Electricity (EVN), and the Northeast Corporation, were also present.

In recent years, bilateral cooperation in coal trade between Vietnam and Laos has seen positive initial developments. A notable milestone was the signing of a Memorandum of Understanding (MoU) on coal cooperation between Minister Nguyen Hong Dien and Lao Minister of Energy and Mines Phosay Sayasone on July 20, 2023. The conference aimed to review the progress made since the MoU was signed and explore ways to enhance coal trade between the two nations.

According to a report from the Department of Oil and Coal, the department has advised ministry leaders to guide thermal power plant investors and relevant entities to consider purchasing coal from Laos for electricity generation, in line with directives from the Prime Minister. These efforts ensure compliance with legal regulations and meet efficiency requirements. However, several challenges remain in the coal trade with Laos, mainly related to limited transportation infrastructure and high logistics costs, making imported Lao coal less competitive compared to domestic coal or imports from other countries.

For short-term solutions, the Department of Oil and Coal suggested that Laos consider reducing coal prices to increase competitiveness with coal imported from other countries. Additionally, investment in upgrading and expanding transportation routes was recommended to improve logistics and transport capacity.

In the long term, the department proposed that Laos implement supportive export policies and encouraged Vietnamese coal companies to actively explore investment opportunities in coal mining in Laos. This would help meet domestic demand and align with the National Energy Development Master Plan for 2021-2030, with a vision towards 2050.

At the conclusion of the conference, Minister Nguyen Hong Dien emphasized the importance of coal trade cooperation between Vietnam and Laos. He noted that it is not only an economic and commercial development task but also a political priority for both countries. The minister commended the efforts of the corporations and enterprises, especially those responsible for coal imports for power generation, who have worked diligently to implement coal imports from Laos under the Intergovernmental Agreement and government directives. However, he acknowledged that the volume of imported coal remains modest, falling short of the potential and demand of both countries.

Looking ahead, Minister Nguyen Hong Dien called for continued efforts to address challenges and enhance coal trade cooperation between Vietnam and Laos, in line with the government’s directive, which emphasizes the principle that "helping your friend is helping yourself." He urged all relevant organizations to fulfill specific tasks:

1. For Corporations and Enterprises: Strengthen effective coordination, fulfill coal supply contracts for power generation, and focus on achieving national and mutual benefits. They should also actively negotiate with partners, resolve difficulties, and ensure a stable coal supply under all circumstances.
2. For Vietnam National Coal and Mineral Industries Group and Northeast Corporation: Ensure sufficient and stable coal supply for consumers under existing contracts. Accurately assess production capacity, develop rational production plans, and efficiently utilize domestic coal resources. They should also prepare and implement coal import plans to meet contractual commitments. In addition, they should work with authorities to address issues related to licensing, inventory management, and long-term coal procurement, and propose government policies for direct, long-term coal purchase agreements with Lao suppliers at global market prices.
3. For the Department of Oil and Coal: Lead efforts in collaboration with relevant departments to regularly monitor and supervise coal distribution for power generation, as outlined in the coal supply schedule approved and adjusted in April 2024. The department should also coordinate with the Electricity Regulatory Authority to conduct quarterly reviews and update coal distribution plans based on actual conditions.
4. For the Department of Asian-African Markets: In collaboration with local authorities and relevant units, expedite investment in coal transportation infrastructure, specifically the coal conveyor system at La Lay border gate between Salavan (Laos) and Quang Tri (Vietnam). They should also compile proposals regarding direct coal purchase mechanisms from Lao suppliers, suggest that the Lao government minimize taxes and fees on coal exports, and incorporate special provisions for Lao coal purchases into the agenda of the 47th meeting of the Vietnam-Laos Intergovernmental Committee for Bilateral Cooperation.

The Vietnamese Ministry of Industry and Trade remains committed to facilitating a more robust and mutually beneficial coal trade relationship with Laos, focusing on overcoming existing barriers and maximizing the potential for both countries.