🇻🇳 Vietnam’s Great Potential in the Carbon Credit Market Carbon credits, also known as carbon offsets, are permits that allow the owner to...

🇻🇳 Vietnam’s Great Potential in the Carbon Credit Market

Carbon credits, also known as carbon offsets, are permits that allow the owner to emit a certain amount of carbon dioxide or other greenhouse gases. One credit equals one tonne of CO₂ or its equivalent in other gases. This mechanism encourages countries and companies to reduce emissions while generating financial resources through sustainable projects, especially in forestry.

With more than 14.7 million hectares of forests, including about 10 million hectares of natural forests, Vietnam has huge potential to generate revenue from the carbon credit market. The country’s forests play a crucial role in carbon absorption, helping offset emissions and supporting its commitment to achieving net-zero emissions by 2050.

Developing a carbon market will not only help Vietnam reduce greenhouse gas emissions but also attract investment in low-emission technologies. Carbon credit trading creates a new economic sector that links environmental protection with financial growth. Several Vietnamese companies, such as CT Group, have already launched initiatives to establish voluntary carbon exchanges, showing strong private-sector interest in this emerging market.

However, experts highlight that Vietnam still faces obstacles, including the lack of clear regulations on how to collect, verify, and trade carbon credits. To address this, the Ministry of Natural Resources and Environment (MONRE) is developing legal frameworks and a national registration system for carbon credits. The government aims to pilot carbon credit exchanges by 2025 and officially operate the domestic market in 2028.

By improving its legal, technological, and financial infrastructure, Vietnam can transform its carbon credit potential into a powerful tool for sustainable development. The market represents not only an opportunity for environmental protection but also a new financial resource to promote green growth and strengthen the country’s global competitiveness.

[Adapted from https://vietnamnews.vn/]

Question 23: According to the passage, all of the following are mentioned as benefits of developing a carbon market in Vietnam EXCEPT?

A. It provides a new financial resource that can significantly enhance the country's global competitiveness in the long run.

B. It acts as an economic sector that effectively links the goal of environmental protection with financial prosperity.

C. It will directly lead to the attraction of crucial foreign investment specifically targeted at low-emission technologies.

D. It guarantees that Vietnam will fully achieve its ambitious net-zero emissions commitment precisely by the year 2050.

Question 24: The word “obstacles” in paragraph 4 is closest in meaning to __________.

A. advantages        B. challenges        C. benefits        D. opportunities

Question 25: The word “emerging” in paragraph 3 is OPPOSITE in meaning to __________.

A. established        B. declining        C. growing        D. outdated

Question 26: In paragraph 2, the pronoun “its” in “supporting its commitment to achieving net-zero emissions by 2050” refers to __________.

A. forests        B. Vietnam        C. carbon credits        D. the carbon market

Question 27: The statement "Developing a carbon market will not only help Vietnam reduce greenhouse gas emissions but also attract investment in low-emission technologies." can be best paraphrased as:

A. The reduction of greenhouse gas emissions is the main priority, while attracting foreign investment in low-emission technologies is only a secondary, minor benefit.

B. While primarily focusing on reducing emissions, Vietnam must ensure that the newly developed carbon market also attracts investment in low-emission technologies immediately.

C. Establishing the carbon market is a dual benefit strategy for Vietnam, simultaneously achieving the goal of emissions reduction and securing necessary low-emission investment.

D. If Vietnam successfully attracts investment in low-emission technologies, it will automatically lead to the necessary reduction of greenhouse gas emissions across all sectors.

Question 28: Which of the following statements is TRUE regarding Vietnam's efforts to regulate the carbon credit market?

A. The government has already established clear legal frameworks on how to effectively collect, verify, and trade carbon credits nationwide.

B. The Ministry of Natural Resources and Environment (MONRE) is currently working on the necessary legal frameworks and a national registration system.

C. The government has already started the voluntary carbon credit exchanges pilot program in 2025 as scheduled in the national plan.

D. Vietnam's domestic carbon market is expected to become fully operational and formalized before the planned year of 2028.

Question 29: Which paragraph focuses on identifying the specific areas where Vietnam must build up its supporting infrastructure to fully realize its potential?

A. Paragraph 2.        B. Paragraph 3.        C. Paragraph 4.        D. Paragraph 5.

Question 30: Which paragraph clearly explains the core concept of a carbon credit, including its formal definition and basic unit of measurement?

A. Paragraph 1.        B. Paragraph 2.        C. Paragraph 3.        D. Paragraph 4.