The Green Transition: ‘Failing to Meet Standards Will See Businesses Left Behind’

Laying the Foundation

On June 6, in Ho Chi Minh City, the Department of Environment, in collaboration with the Ministry of Agriculture and Environment, organized the Vietnam Industrial Water Management Forum 2025.

Speaking at the forum, Mr. Ho Kien Trung, Deputy Director of the Department of Environment, shared that an increasing number of businesses are embracing green development and investing in advanced wastewater treatment solutions, approaching the technology used in developed countries.

The proportion of industrial parks constructing and operating centralized wastewater treatment systems that meet environmental standards is on the rise, helping to control environmental pollution, improve data transparency, and enhance corporate compliance. These positive changes not only contribute to minimizing environmental incidents but also lay the foundation for a modern and eco-friendly investment and business environment.

However, while significant progress has been made, challenges remain. For instance, the rate of treated industrial wastewater is still uneven and incomplete. Mr. Kien cited a report from the Ministry of Agriculture and Environment, indicating that 94.1% of operating industrial parks in the country have built centralized wastewater treatment systems that meet the standards. In contrast, this figure is only 31.5% for industrial clusters.

According to Mr. Phan The Duong from the Waste Management Division of the Department of Environment, the flexible adjustments introduced by Decree 05/2025/ND-CP, which amends and supplements several articles of the Government’s Decree 08/2022, detailing the Law on Environmental Protection, not only untangle practical environmental management knots but also facilitate businesses, localities, and green investment projects.

These policies go beyond initial investment incentives, offering long-term economic benefits and enhancing the position of businesses in the context of sustainable development. With these policies, enterprises are entitled to land-related incentives, preferential loans from the Environment Protection Fund, and tax incentives, including corporate income tax and import tax.

Proactive Enterprises

Ms. Pham Thi Truc Thanh, Director of Sustainable Development at Heineken Vietnam Brewery Limited, shared that as one of the most water-intensive industries, her company faces the dual challenge of ensuring operational efficiency while protecting water resources for ecosystems and communities.

Ms. Nguyen Tram Anh, National Project Manager of the Global Eco-Industrial Park Program (GEIPP) – UNIDO, informed that despite the vast potential for water reuse and recycling, there is a lack of specific technical standards for these practices.

For instance, Amata Industrial Park discharges approximately 21 million cubic meters of Type A treated wastewater annually, which could be used for irrigation. However, due to the absence of specific technical standards for recycled water usage, enterprises face challenges in implementing this legally encouraged practice. Additionally, the current cost of treating wastewater to meet irrigation standards is about 3,500 VND/cubic meter, higher than the cost of using clean water, making businesses hesitant to adopt this practice.

Mr. Vu Duc Giang, Chairman of the Vietnam Textile and Apparel Association (VITAS), also emphasized that the biggest challenge for the textile industry is water management, treatment, and discharge. To address this challenge, Mr. Giang suggested the need to select appropriate technology.