The views expressed in this paper are the views of the author and do not necessarily reflect the

views or policies
of the Asian Development Bank Institute (ADBI), the Asian Development Bank (ADB), its Board of Directors, or the
governments they represent. ADBI does not guarantee the accuracy of the data included in this paper and accepts
no responsibility for any consequences of their use. Terminology used may not necessarily be consistent with ADB
official terms.

Bui Duc Hieu

Viet Nam

OPENNING
At present, Vietnamese Government have not published any regulation or
document directly mentionning about the Eco-industrial. However, the issues
realating to: environmental proteciton and sustainalbe development; reducing
emission; strengthenning the waste management re-utilize, re-collection,
recycle; natural resource and eneger saving; develoment with friendly
environment are remarked on the regualtions publishing. Thus, this Paper is going
to present about the overview of industrial parks in Viet Nam, achivements and
disadvantages in managing environment for Industrial zones; governance
documents for improving enviornment quality in the Industrial zones.
1. OVERVIEW OF VIET NAMS INDUSTRIAL ZONES
1.1 Overview
The number of Industrial zones (IZs) in VN is more and more increasing
The IZs make much contribution on economic restructuring and developing,
create jobs and increase income
IZs development also merge some social and environmental problems

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Figure 1. Industrial zones in Viet Nam

Viet Nam has established 223 IZs (171 has put into operation), total area:
57.264 ha, average coverage rate: 46%;

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Viet Nam
250

IZ area (ha)

Number of IZ

57.264

Number of IZ

60.000
223

IZ area

50.000

200

179
42.986

150

40.000

139

131
29.392

30.000

26.986

100

20.000

65
11.964

50

10.000
300 1
1991

2.360

12
0

1995

2000

2005

2006

2007

2008

Diagram 1. Situation of IZ development over the past time

1.2. IZs in socio-economic development
In 2008, IZs:
Created the industrial production value of over 33 billion USD
(account for 38% national GDP)
Export value achieved at 16 billion USD (account for 26% of total
import value of the country)
Contributed to the state budget of 2,6 billion USD
Created jobs for nearly 1,2 million labourers
1 ha industrial land for leasing:
Created export value of about 700.000 USD;
Bussiness production value of 1,68 million USD/year;
Attracted over 70 direct labourers.
1.3. However, IZs operation is facing the following problems:
Social problems: land, labourers right and other social problems,..
Create environment pressures causing by:
Fast IZs development;
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1 IZ often concentrates many production forms

Discharging source is centralized but with huge volume;
Management and waste treatment are still limited;
High pressures and serious negative impacts of discharging sources
from IZs.
2. STATE OF IZ ENVIRONMENT MANAGEMENT
2.1. The achivements
2.1.1. Issued policies and legal documents on IZs environment management
Important documents:
Environment Protection Law 2005, Article 36. Environment protection at the
centralized production and service areas IZs should have qualified CETPs
and be operated regularly;
Decision No.62/Q-BKHCNMT (09/8/2002) of Ministry of Science and
environment Technology on IZ environment protection regulations
increase the enterprises awareness, promote the environment protection
activities;
Decree No. 29/2008/N-CP (14/3/2008) of Government on establishment,
operation, policies and state management on IZs, processing zones and
economic zones authorize to IZs management board a partial function of
IZ environment management from DONREs;
Issuance of Circular No. 08/2009/TT-BTNMT (15/7/2009) of MONRE
regulating on the management and environment protection of economic
zones, hi-tech industrial zones, IZs and processing zones. It replaces the IZ
environment protection regulations (Decision No. 62/Q-BKHCNMT)
solve some problems.
2.1.2. Established the IZ environment management system
a) Pursuant to the Environment Protection Law and the guiding documents related
to IZ environment management, there are the following agencies:
MONRE: for IZs and large scale projects within IZs;
Provincial Peoples Committee: for IZs and the projects within IZs which
approved by the provinces;
The districts Peoples Committee (for the small scale projects);

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Some ministries, sectors ( for the specific projects);

IZ management board;
Investors of IZ infrastructure construction and trade;
Establishments at the IZs.
b) Circular No.08/2009/TT-BTNMT regulates:
IZs Management Board executes the mission of state management for IZs
environment;
DONREs execute the state management on environment, take responsible
for investigating the implementation of environment protection task and
contents of Decision on approving the EIA report;
IZ infrastructure development Company contructs and manages IZs
infrastructure; manages and operates CETPs, works of solid wastes
collection, classification and treatment according to the technical regulations;
follow up, monitor the waste discharging activities of establishments.
2.1.3. Applied some technical measures in IZs envrionemnt protection
43% of IZs developed, operated the CETPs;
Some IZs applied cleaner production and environment friendly technology.
2.1.4. Implemented the management measures in IZs environment protection
Investigations of environment protection by MONRE and DONREs are more
and more increase in terms of scale and frequency (schedule and
unscheduled) strictly treated the violators, their violation files were
transfered to the provincial Peoples Committee to apply administrative
penalty and recollect the environment protection fee for the fee evaders.
Applied the economic tools:;
Collected environment protection fees for wastewater, solid wastes and in
the coming time, it will be the emission fee;
Implemented the enforcement regime for violating law on environment
protection fee level has been adjusted at higher level according to Decree
No. 117/2009/N-CP
Some localities and IZs build websites to disclosure information on IZs
mangement in general and IZs environment protection in particular.
2.2. Disadvantages
2.2.1. IZs CETP remains many problems:
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Percentage of IZs having CETPs is at low level (43%)

Effectiveness of the CETPs is not high (50% meet the standards);
Over the past years, percentage of IZs having CETPs has not increased
much.
45

44

43

42

41

40
2006

2007

2008

2009

2010

Diagram 3. Percentage of IZs under operation having CETPs over years

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43,3%

43,9%

12,9%

IZs have waste water treatment system

Izs have the waste water constructuring
IZs have the common waste water
treatment system

Diagram 4. Percentage of CEPTs constrution and operation at IZs which put

in to operation (10/2009)
2.2.2. Legal document is insufficient and remains shortcomings. For example:
Issued documents on IZs environment management decentralization,
however, clearer and more specific guiding documents are needed for their
deployment
Not issued the high compulsory regime for applying in constructing the
centralized waste treatment plans in the IZs; observing these systems.
Not issued the guiding documents relating to IZs environment protection
activities: guidelines on processing and operating CETPs, self-monitoring
and reporting, etc.
2.2.3. Insufficiencies in IZs environment management system
IZs Management Board has not been qualified yet in executing the function
of a unit which takes main responsibility in IZs environment management;
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Not absolutely implemented the decentralization for management authorities

and implementation entities;
Responsibility of each units in environment protection inside the IZs has
emerged insufficiencies:
Insufficiencies in recognizing the responsibility for investors;
Insufficiencies in recognizing the responsibility for enterprises.
Regulations on internal IZs environment management have not been
disseminated;
2.2.4. IZs environment management measures have not absolutely implemented
IZs environment investigation and observation are limited in effectiveness
Economic tool has not fully showed its effectiveness as expected:
Environment protection fee for wastewater is not correlative to the
IZs type (having CETPs, its impossible to collect fee for individual
enterprise)
Before the Decree No.117/2009/N-CP comes into effect on
1/3/2010, penalty regime has not been powerful enough.
Communication tool has not been invested yet and received the sufficient
attention;
The ecologicial IZ model has not developed;
Other economic tools should be paid more attention: encourgement,
compliment, commercial promotion and development for trading waste
discharging quota,..
3. SOLUTIONS FOR IZ ENVIRONMENT PROTECTION
3.1. Accomplish the organization mechanism of Izs environment management
system
Clear and concrete decentralization and responsibility assignment :
IZs Management Board should be authorized by the People
Committee at differrent levels, MONRE and the authorized ministries,
sectors to be responsible for environment protection inside IZs;
DONREs execute its responsibility in state management on
environment;

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Investors of constructing and trading IZs technical infrastructure

take full responsibility in implementing the commitments in the IZs
EIA report.
Strengthen capacity for the IZs environment protection managers of
DONREs, IZs Management Board; Improve quality of appraisal for the IZ
establishment;
Strengthen the cooperation between the central and provinces, between
concerned agencies (DONREs, Environment Police, the Peoples Committee
of districts which have IZ) and the IZs Management Board.
3.2. Review, supplement documents on policies and institution, strengthen
enforcement on IZS environment protection
Review, supplement legal documents, policies in IZs environment
protection:
Review, amend the issued documents relating to decentralization in
IZs environment management;
Develop policies, document permitting and encourging the preparation
of regulations for the internal IZs environment management;
Create legal ...contributing to accomplish the IZs environment
protection;
Intensify enforcement on IZs environment protection law :
Intensify the investigation (schedule and unscheduled) in terms of
scale and frequency; intensify the observation of IZs environment
quality;
Intensify effectiveness in applying economic tools (environment
protection fee and the penalty) in IZs environment management;
Intensify communication tools in IZs environment protection;
3.3. Speed up the environment protection implementaion of the Izs themselves
Develop and accomplish the centralized waste treatment system;
Enterprises strictly implement the waste treatment regulations;
Seriously implement the self-monitoring and reporting;
Popularization and propaganda for law, management models and
environment friendly technology.
3.4. Integrate IZ planning into socio-economic master plan and environment
protection
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Supplement the preparation and appraisal for strategic environment

assessment to the IZs development plan;
Take consideration in approving the new IZ development plan and adjusting
appropriately to the approved plan;
Research on shifting the existing IZs environment friendly IZs and build
the ecological IZs.
3.5. Some incentive solutions
Integrate IZs environment protection into sustainable development
orientation;
Encourage to apply cleaner production and technology to reduce
environment pollution, waste treatment technology at the IZs;
Attract invested capital and diversify the investment sources for IZs
environment protection;
Strengthen the public participation into the IZs environment protection;
Encourage socialization for environment protection activities;
Propagandize and increase the communitys awareness, announce and
disclosure information to the community at the IZs surrounding areas.

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