# Vietnam: a 268 million tonne pilot cap for 2026, across 110 power, steel and cement facilities

_Last checked 2026-11-12 · https://asiacarbondesk.com/vietnam-carbon-market-pilot/_

Vietnam caps emissions from 110 power, steel and cement facilities in a pilot that runs to the end of 2028. Allowances are free, and up to 30% may be covered with carbon credits. A domestic carbon exchange on the Hanoi Stock Exchange opened on 29 June 2026; in the pilot, trades are negotiated between the parties.

## Key facts

- Pilot cap 2026: 268.4 Mt (tCO2e · 2025 cap 243.1 Mt (+10.4%))
- Covered facilities: 110 (34 thermal power, 25 steel, 51 cement)
- 2025 and 2026 caps combined: 511.5 Mt (Decision 263/QD-TTg · our sum of the two caps)
- Enterprises in the pilot: 92 (own the 110 facilities · 6 member securities firms at launch)
- Offset limit: 30% (of allocated allowances · borrowing up to 15%)
- Pilot ends: 2028 (official market and auctions from 2029)

## In brief

- The Prime Minister set pilot caps of 243,082,392 tCO2e for 2025 and 268,391,454 tCO2e for 2026, for 34 thermal power plants, 25 steel and 51 cement facilities.
- Allowances are allocated free in the pilot, which runs from 2025 to the end of 2028; the official market, with an auction mechanism, starts in 2029.
- Facilities may cover up to 30% of their allocated allowances with eligible carbon credits, borrow up to 15% from the next period, and must surrender by 31 December of the year after each two-year period.
- The 2025 and 2026 caps in Decision 263/QD-TTg add up to 511,473,846 tCO2e. VN2025 allowances can trade on the Hanoi Stock Exchange from 29 June 2026 to 24 December 2027; in the pilot, trades are negotiated and exchange fees are waived to the end of 2028.

## Pilot emissions cap by year (tCO2e)

| Period | tCO2e |
|---|---|
| 2025 | 243,082,392 |
| 2026 | 268,391,454 |

## Facilities that must report a greenhouse gas inventory, by list year

| Period | facilities |
|---|---|
| 2022 | 1,912 |
| 2024 | 2,166 |
| 2026 | 2,441 |

## Facilities receiving 2025–2026 allowances, by sector

| Period | facilities |
|---|---|
| Thermal power | 34 |
| Iron and steel | 25 |
| Cement | 51 |

## From the 2013 JCM to the 2029 official market

| Date | Event |
|---|---|
| 2013-07-02 | Viet Nam and Japan sign the JCM bilateral document. |
| 2022-01-07 | Decree 06/2022/ND-CP sets the framework for GHG mitigation and the carbon market. |
| 2025-01-24 | Decision 232/QD-TTg approves the carbon market scheme: pilot to 2028, official from 2029. |
| 2025-08-01 | Decree 119/2025/ND-CP takes effect: allocation method, 30% offset limit, 15% borrowing. |
| 2026-01-19 | Decree 29/2026/ND-CP on the domestic carbon exchange is issued and takes effect. |
| 2026-02-09 | Decision 263/QD-TTg sets pilot caps for 2025 and 2026. |
| 2026-02-13 | Circular 11/2026/TT-BNNMT sets rules for the national registry of allowances and credits. |
| 2026-06-29 | The domestic carbon exchange opens on HNX with 6 member securities companies; VN2025 allowances become tradable. |
| 2026-12-12 | Decree 396/2026/ND-CP, a further amendment of Decree 06/2022, takes effect. |
| 2027-10-31 | Deadline to allocate allowances for 2027–2028. |
| 2027-12-24 | Last trading day for VN2025 allowances. |
| 2027-12-31 | Surrender deadline for 2025–2026 emissions. |
| 2029 | Official market phase; an auction mechanism is to be built and exchange fees start. |

## How a pilot facility complies

| Step | What happens |
|---|---|
| Allocation | Free allowances set as 3-year average output × sector-average emissions per unit × an adjustment factor. |
| Trade | Buy or sell allowances (1 allowance = 1 tCO2e) on the HNX carbon exchange through a member securities company; in the pilot, trades are negotiated and settled immediately. |
| Offset and borrow | Cover up to 30% of allocated allowances with credits; borrow up to 15% from the next period. |
| Verify | Third-party-verified inventory results go to the Ministry by 1 December, from 2027. |
| Surrender | By 31 December of the year after the period; a shortfall is fined and deducted from the next allocation. |

## Who is covered

| Item | Rule |
|---|---|
| Sectors | Thermal power (coal, oil, gas), crude steel, clinker (cement) |
| Facilities | 110: 34 thermal power plants, 25 steel and 51 cement facilities |
| Enterprises | 92 enterprises own the 110 facilities |
| Share of emissions | About 40% of total emissions from facilities that must report an inventory |
| Caps | 243,082,392 tCO2e (2025); 268,391,454 tCO2e (2026) |
| Allocation | Free in the pilot; output-based benchmark A = P × B × T |
| Adjustment factor | T = (1 + g) × (1 − r): sector growth and reduction targets |
| Reporting list | 2,441 facilities must report an inventory under the 2026 list |

## Carbon credits at a glance

| Item | Status |
|---|---|
| Offset limit | Up to 30% of a facility's allocated allowances |
| Vintage | Reductions from 1 January 2021 onward |
| Eligible mechanisms | Domestic mechanism; bilateral Article 6.2 deals; Article 6.4; the 2025 scheme also names CDM and JCM |
| JCM with Japan | Signed 2 July 2013; 20 projects listed, 14 registered |
| JCM credits notified | 35,313 from 13 Viet Nam projects |

## All figures

| Item | Value | Source | Checked |
|---|---|---|---|
| Pilot emissions cap, 2025 | 243,082,392 tCO2e | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/tong-han-ngach-phat-thai-khi-nha-kinh-thi-diem-cho-nam-2026-la-hon-268-trieu-tan-co2td-102260209165041794.htm) | 2026-11-12 |
| Pilot emissions cap, 2026 | 268,391,454 tCO2e | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/tong-han-ngach-phat-thai-khi-nha-kinh-thi-diem-cho-nam-2026-la-hon-268-trieu-tan-co2td-102260209165041794.htm) | 2026-11-12 |
| Change in pilot cap, 2026 vs 2025 | +25,309,062 tCO2e (+10.4%); calc = f02 - f01, divided by f01 | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/tong-han-ngach-phat-thai-khi-nha-kinh-thi-diem-cho-nam-2026-la-hon-268-trieu-tan-co2td-102260209165041794.htm) | 2026-11-12 |
| Facilities receiving pilot allowances (total) | 110 facilities (34 + 25 + 51) | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/tong-han-ngach-phat-thai-khi-nha-kinh-thi-diem-cho-nam-2026-la-hon-268-trieu-tan-co2td-102260209165041794.htm) | 2026-11-12 |
| Thermal power plants in the pilot | 34 plants | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/tong-han-ngach-phat-thai-khi-nha-kinh-thi-diem-cho-nam-2026-la-hon-268-trieu-tan-co2td-102260209165041794.htm) | 2026-11-12 |
| Iron and steel facilities in the pilot | 25 facilities | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/tong-han-ngach-phat-thai-khi-nha-kinh-thi-diem-cho-nam-2026-la-hon-268-trieu-tan-co2td-102260209165041794.htm) | 2026-11-12 |
| Cement facilities in the pilot | 51 facilities | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/tong-han-ngach-phat-thai-khi-nha-kinh-thi-diem-cho-nam-2026-la-hon-268-trieu-tan-co2td-102260209165041794.htm) | 2026-11-12 |
| Decision 263/QD-TTg approving 2025-2026 pilot caps | Issued 9 Feb 2026 | [Government of Viet Nam - Legal Documents Portal (vanban.chinhphu.vn)](https://vanban.chinhphu.vn/?docid=216923&pageid=27160) | 2026-11-12 |
| Decision 232/QD-TTg: carbon market scheme approved | Signed 24 Jan 2025 | [Government of Viet Nam - Legal Documents Portal (vanban.chinhphu.vn)](https://vanban.chinhphu.vn/?pageid=27160&docid=212592) | 2026-11-12 |
| Pilot phase of the carbon market | 2025 to end-2028 | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/phe-duyet-de-an-thanh-lap-va-phat-trien-thi-truong-cac-bon-tai-viet-nam-102250124174729484.htm) | 2026-11-12 |
| Official operation of the carbon market | From 2029 | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/phe-duyet-de-an-thanh-lap-va-phat-trien-thi-truong-cac-bon-tai-viet-nam-102250124174729484.htm) | 2026-11-12 |
| Credit types eligible for exchange trading under the 2025 scheme | 4 sources: domestic mechanism, CDM, JCM, Paris Agreement Article 6 | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/phe-duyet-de-an-thanh-lap-va-phat-trien-thi-truong-cac-bon-tai-viet-nam-102250124174729484.htm) | 2026-11-12 |
| Decree 29/2026/ND-CP on the domestic carbon exchange | Issued and effective 19 Jan 2026 | [Government of Viet Nam - Legal Documents Portal (vanban.chinhphu.vn)](https://vanban.chinhphu.vn/?pageid=27160&docid=216694) | 2026-11-12 |
| Size of Decree 29/2026/ND-CP | 6 chapters, 35 articles | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/quy-dinh-ve-san-giao-dich-cac-bon-trong-nuoc-102260120103338524.htm) | 2026-11-12 |
| Exchange service fees during the pilot | None charged to 31 Dec 2028; fees charged from 1 Jan 2029 | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/quy-dinh-ve-san-giao-dich-cac-bon-trong-nuoc-102260120103338524.htm) | 2026-11-12 |
| Decree 119/2025/ND-CP (amends Decree 06/2022) | Issued 9 Jun 2025; effective 1 Aug 2025 | [Government of Viet Nam - Legal Documents Portal (vanban.chinhphu.vn)](https://vanban.chinhphu.vn/?pageid=27160&docid=213875) | 2026-11-12 |
| Unit of one allowance | 1 allowance = right to emit 1 tCO2 or 1 tCO2e | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Vintage rule for tradable credits | Credits for reductions from 1 Jan 2021 onward | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Offset limit | Credits may cover up to 30% of a facility's allocated allowances | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Borrowing from the next period | Up to 15% of the period's allocation, until 2030; borrowed allowances cannot be traded | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Banking of unused allowances | Allowed to the next period until end-2030; banked allowances can be traded | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Surrender deadline | By 31 December of the year after the allocation period (for 2025-2026: by 31 Dec 2027) | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Surrender amount | At least verified direct emissions for the period minus credits used as offsets | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Penalty for a surrender shortfall | Administrative fine under environmental-protection law, plus the shortfall is deducted from the next period's allocation | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Cancellation of unbanked allowances | 30 days after the surrender deadline, earlier-period allowances neither surrendered nor banked are cancelled | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Allowance auctions | Auction mechanism to be built and run in the phase from 2029 | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Allocation formula (Method 01) | A = P x B x T: 3-year average output x sector-average emissions per unit x adjustment factor | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Adjustment factor in the allocation formula | T = (1 + g) x (1 - r): sector growth target g and emission-reduction target r | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Product units used for benchmarks | kWh for thermal power (coal, oil, gas); tonne of crude steel; tonne of clinker | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Allocation deadlines for later periods | By 31 Oct 2027 for 2027-2028; by 31 Oct 2029 for 2029-2030 | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Ministries' proposals for the 2027-2028 period | Due to the Ministry of Agriculture and Environment by 30 Jun 2027 | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Verified inventory reports from allocated facilities | Third-party-verified results due to the Ministry by 1 December, from 2027 | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Share of inventory-facility emissions in the first phase | More than 100 facilities, about 40% of total emissions of facilities required to report | [Ministry of Agriculture and Environment (mae.gov.vn)](https://mae.gov.vn/chinh-phu-ban-hanh-nghi-dinh-sua-doi-bo-sung-nghi-dinh-so-062022ndcp-quy-dinh-giam-nhe-phat-thai-khi-nha-kinh-va-bao-ve-tang-odon-18591.htm) | 2026-11-12 |
| Allocation method in the pilot | Allowances allocated free of charge (pilot to 2028) | [Ministry of Agriculture and Environment (mae.gov.vn)](https://mae.gov.vn/thi-iem-thi-truong-cacbon-doanh-nghiep-uoc-phan-bo-han-ngach-mien-phi-20693.htm) | 2026-11-12 |
| Carbon exchange launch | Began operation on 29 Jun 2026 | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/san-giao-dich-cac-bon-viet-nam-van-hanh-doanh-nghiep-them-cong-cu-giam-phat-thai-102260629140706568.htm) | 2026-11-12 |
| Trading members at launch | 6 securities companies | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/san-giao-dich-cac-bon-viet-nam-van-hanh-doanh-nghiep-them-cong-cu-giam-phat-thai-102260629140706568.htm) | 2026-11-12 |
| National registry rules | Circular 11/2026/TT-BNNMT of 13 Feb 2026 | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/viet-nam-chuan-bi-van-hanh-san-giao-dich-cac-bon-dau-tien-102260626174322565.htm) | 2026-11-12 |
| Market-wide system testing | Internal and market-wide tests in May and June 2026 | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/viet-nam-chuan-bi-van-hanh-san-giao-dich-cac-bon-dau-tien-102260626174322565.htm) | 2026-11-12 |
| Credit groups allowed to trade (Ministry of Finance Legal Department representative, Apr 2026) | 3 groups: domestic credits, credits under international mechanisms, Paris Agreement credits | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/thi-truong-cac-bon-vao-giai-doan-trien-khai-doanh-nghiep-doi-mat-yeu-cau-moi-102260417114409008.htm) | 2026-11-12 |
| VN2025 trading window | First trading day 29 Jun 2026; last trading day 24 Dec 2027 | [Hanoi Stock Exchange (HNX)](https://www.hnx.vn/vi-vn/cacbon/tin-cong-bo-tu-so.html) | 2026-11-12 |
| Facilities required to report GHG inventory, 2022 list | 1,912 facilities (1,662 + 70 + 104 + 76) under Decision 01/2022/QD-TTg | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/ban-hanh-danh-muc-linh-vuc-co-so-phai-thuc-hien-kiem-ke-khi-nha-kinh-102220121175127973.htm) | 2026-11-12 |
| Facilities required to report GHG inventory, 2024 list | 2,166 facilities under Decision 13/2024/QD-TTg (effective 1 Oct 2024) | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/2166-co-so-phat-thai-khi-nha-kinh-phai-thuc-hien-kiem-ke-khi-nha-kinh-102240816120445962.htm) | 2026-11-12 |
| Facilities required to report GHG inventory, 2026 list | 2,441 facilities under Decision 42/2026/QD-TTg (effective 25 Sep 2026) | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/2441-co-so-phat-thai-khi-nha-kinh-phai-thuc-hien-kiem-ke-khi-nha-kinh-102260811160731774.htm) | 2026-11-12 |
| Decree 396/2026/ND-CP (further amends Decree 06/2022) | Issued 26 Oct 2026; effective 12 Dec 2026 | [Government of Viet Nam (datafiles.chinhphu.vn)](https://datafiles.chinhphu.vn/cpp/files/vbpq/2026/10/396_2026_nd-cp_26102026_3-signed.signed.pdf) | 2026-11-12 |
| Draft fine: excess emissions of 5,000 tCO2e or more (proposal, Jun 2026) | VND 300-400 million (draft decree, not adopted) | [Government of Viet Nam - Policy Making portal (xaydungchinhsach.chinhphu.vn)](https://xaydungchinhsach.chinhphu.vn/de-xuat-tang-che-tai-xu-ly-cac-hanh-vi-gay-o-nhiem-moi-truong-119260609095000927.htm) | 2026-11-12 |
| Draft fine: excess emissions of 3,000 to under 5,000 tCO2e (proposal) | VND 100-300 million (draft decree, not adopted) | [Government of Viet Nam - Policy Making portal (xaydungchinhsach.chinhphu.vn)](https://xaydungchinhsach.chinhphu.vn/de-xuat-tang-che-tai-xu-ly-cac-hanh-vi-gay-o-nhiem-moi-truong-119260609095000927.htm) | 2026-11-12 |
| Draft fine: excess emissions of 1,000 to under 3,000 tCO2e (proposal) | VND 20-75 million (draft decree, not adopted) | [Government of Viet Nam - Policy Making portal (xaydungchinhsach.chinhphu.vn)](https://xaydungchinhsach.chinhphu.vn/de-xuat-tang-che-tai-xu-ly-cac-hanh-vi-gay-o-nhiem-moi-truong-119260609095000927.htm) | 2026-11-12 |
| Japan-Viet Nam Joint Crediting Mechanism (JCM) | Bilateral document signed 2 Jul 2013 | [Ministry of Economy, Trade and Industry and Ministry of the Environment, Japan (jcm.go.jp)](https://www.jcm.go.jp/jc/vn-about) | 2026-11-12 |
| JCM projects in Viet Nam | 20 listed (VN001-VN020): 14 registered, 6 in validation | [Ministry of Economy, Trade and Industry and Ministry of the Environment, Japan (jcm.go.jp)](https://www.jcm.go.jp/jc/vn-projects) | 2026-11-12 |
| JCM credits notified for issuance, Viet Nam projects | 35,313 credits from 13 projects (both countries' shares) | [Ministry of Economy, Trade and Industry and Ministry of the Environment, Japan (jcm.go.jp)](https://www.jcm.go.jp/jc/vn-projects-issues) | 2026-11-12 |
| Latest JCM Joint Committee | 10th Joint Committee, 16 Oct 2026 (Hanoi and online) | [Ministry of Economy, Trade and Industry and Ministry of the Environment, Japan (jcm.go.jp)](https://www.jcm.go.jp/jc/vn) | 2026-11-12 |
| Japan-Viet Nam Memorandum of Cooperation | Signed 2 May 2026 | [Ministry of Economy, Trade and Industry and Ministry of the Environment, Japan (jcm.go.jp)](https://www.jcm.go.jp/jc/vn) | 2026-11-12 |
| Decree 06/2022/ND-CP (base GHG mitigation decree) | Dated 7 Jan 2022 | [Official Gazette of Viet Nam (congbao.chinhphu.vn)](https://congbaocdn.chinhphu.vn/CongBaoCP/VanBan/2025/6/45046/56700-1-2025769-770119-2025-nd-cp.pdf) | 2026-11-12 |
| Enterprises receiving pilot allowances | 92 enterprises owning the 110 facilities | [Ministry of Agriculture and Environment (mae.gov.vn)](https://mae.gov.vn/chinh-thuc-van-hanh-san-giao-dich-carbon-doanh-nghiep-mua-ban-gi-22188.htm) | 2026-11-12 |
| Trading method in the pilot | Negotiated (bilateral) trades only, to the end of 2028; the exchange confirms, records ownership and settles | [Ministry of Agriculture and Environment (mae.gov.vn)](https://mae.gov.vn/chinh-thuc-van-hanh-san-giao-dich-carbon-quy-trinh-cua-mot-giao-dich-22210.htm) | 2026-11-12 |
| Settlement and accounts | Immediate settlement (buyer must hold cash, seller the allowances, before matching); one carbon trading account per organisation | [Ministry of Agriculture and Environment (mae.gov.vn)](https://mae.gov.vn/chinh-thuc-van-hanh-san-giao-dich-carbon-quy-trinh-cua-mot-giao-dich-22210.htm) | 2026-11-12 |
| Pilot caps for 2025 and 2026 combined (calc.) | 511,473,846 tCO2e (243,082,392 + 268,391,454) | [Government Electronic Newspaper of Viet Nam (baochinhphu.vn)](https://baochinhphu.vn/tong-han-ngach-phat-thai-khi-nha-kinh-thi-diem-cho-nam-2026-la-hon-268-trieu-tan-co2td-102260209165041794.htm) | 2026-11-12 |

## FAQ

**How big is Vietnam's pilot emissions cap?**

243,082,392 tCO2e for 2025 and 268,391,454 tCO2e for 2026, set by Decision 263/QD-TTg of 9 February 2026. Together they add up to 511,473,846 tCO2e (our sum).

**Which companies are covered?**

110 facilities: 34 thermal power plants, 25 iron and steel facilities and 51 cement facilities. The Ministry says the first phase covers about 40% of emissions from facilities that must report an inventory.

**How does trading on the carbon exchange work?**

The Hanoi Stock Exchange runs the domestic carbon exchange, which opened on 29 June 2026 with 6 member securities companies. Each organisation trades through one carbon trading account at a member. During the pilot, to the end of 2028, only negotiated trades are used: the parties agree price and volume, and the exchange confirms and settles the trade immediately.

**How large are the caps, and until when can VN2025 allowances trade?**

The 2025 and 2026 caps in Decision 263/QD-TTg add up to 511,473,846 tCO2e (our sum). VN2025 allowances can trade from 29 June 2026 to 24 December 2027. No exchange service fees are charged until 31 December 2028.

**Can companies use carbon credits?**

Yes. Credits may cover up to 30% of a facility's allocated allowances, for reductions from 1 January 2021 onward.

**Are allowances auctioned?**

No. They are free during the pilot, which runs to the end of 2028. Decree 119/2025 provides for an auction mechanism in the phase from 2029.

**What happens if a facility does not surrender enough?**

It is fined under the environmental sanctions law, and the shortfall is deducted from its next allocation. Surrender for 2025–2026 is due by 31 December 2027. A June 2026 draft proposes fines of up to VND 400 million.

**Does the JCM with Japan feed into the market?**

The 2025 scheme lists JCM credits among those that can trade. The JCM has 20 projects in Viet Nam, 14 registered, with 35,313 credits notified for issuance.

## Not listed yet

- Allowances allocated to each facility, and 2025 verified emissions: the official texts we could open do not publish them.
- The fine actually in force for a surrender shortfall: only a June 2026 draft gives amounts.
- Exchange price band, lot size and trading hours: HNX trading rules not checked.
- Prices and traded volumes of VN2025 allowances: not shown; no government body publishes them in the sources we checked.
- Contents of Decrees 83/2026 and 112/2026, and the Ministry's consolidated text: not opened.
- The emissions threshold for the inventory list: not found in the texts opened.
- Facility-level allocations and the 2025 actual emissions — Decision 263 signed PDF is a scanned image (no text layer) and the per-facility allocation decision was not found in official text form.
- Penalty amount actually in force for surrender shortfalls — Decree 119 only refers to the environmental sanctions decree; the June 2026 fine bands are a draft. The adopted sanctions decree text was not found.
- Consolidated text 40/VBHN-BNNMT and Decrees 83/2026 and 112/2026 — mae.gov.vn PDF could not be downloaded (server certificate chain not verifiable from this environment); content not read.
- HNX notice 971/BDKH-TTCB attachment (Department of Climate Change letter) — owa.hnx.vn PDF not downloadable (certificate chain); only the HNX notice text was read.
- Price band, lot size and trading hours on the carbon exchange — HNX/VNX trading rules not opened.
- JCM credits held or traded on the Vietnamese exchange — HNX credit list is empty; no official figure for JCM credits used domestically.
- Facility threshold for inventory (commonly cited 3,000 tCO2e/yr) — Not found in the official texts opened.