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Vietnam proposes boost to coal output to secure energy supply

Vietnam has proposed raising coal production capacity by up to 15 per cent to safeguard energy supplies amid rising global uncertainty.

The Vietnamese Ministry of Agriculture and Environment has suggested allowing local coal producers to increase output by no more than 15 per cent above licensed capacity.

The proposal comes as geopolitical tensions, particularly in the Middle East, continue to disrupt global energy markets. Key transport routes such as the Strait of Hormuz face potential risks, raising concerns over supply interruptions.

Domestically, electricity demand is rising, while securing imported fuel remains uncertain due to market volatility, logistics constraints, pricing pressures and supply risks.

Vietnam proposes boost to coal output to secure energy supply - 1

The Vietnamese Ministry of Agriculture and Environment proposes allowing adjustments to mineral mining licences to increase coal mining capacity by no more than 15 per cent of the existing licence (Photo: Lan Huong).

The ministry said domestic coal remains a critical base energy source, essential for maintaining stable power system operations, supporting industrial production and ensuring national energy security.

If approved, the resolution is expected to help meet demand for coal used in power generation and core industries, while strengthening energy resilience.

It would also enable better use of existing mining capacity, including equipment, technology, workforce and infrastructure among licensed operators, improving efficiency and accelerating the conversion of capacity into actual output.

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