On the afternoon of June 18, as part of the 9th Session of the National Assembly, legislators voted to approve the Law amending and supplementing several articles of the Law on Energy Efficiency and Conservation.

With 425 out of 426 deputies voting in favor, accounting for 88.91% of the total members of the National Assembly, the amended law was officially adopted. Only one delegate voted against, and no one abstained.

Before the vote, Chairman of the Committee on Science, Technology, and Environment, Mr. Le Quang Huy presented Report No. 1326/BC-UBTVQH15, explaining the revisions and feedback incorporated into the draft. According to Mr. Huy, this version of the draft amended 19 articles and added one new article, fully reflecting the comments of National Assembly deputies, relevant agencies, and conclusions of the National Assembly Standing Committee. It also promptly institutionalizes Party policies as outlined in Resolutions No. 55-NQ/TW and 57-NQ/TW of the Politburo.

On institutionalizing the Party's policies, the amended law includes many important provisions. Notably, Article 43a introduces a model for energy service companies (ESCOs) to support the implementation of energy efficiency measures. Clause 20 of Article 1 defines their operating principles and tasks the Government with developing supportive policies in subordinate legal documents. Clause 12 of Article 3 adds definitions to clarify the business investment activities of these organizations.

The draft law specifically provides for mandatory energy labeling for construction materials in Clause 17 of Article 1. This addition was made in response to numerous deputy proposals, as these materials significantly impact energy performance in buildings. According to impact assessments, this provision is feasible given clearly defined conditions for implementation, technical standards, human resources, and testing laboratories.

Regarding the simplification of administrative procedures, the draft has revised Articles 34 and 39. At the same time, Articles 32 and 39 have been revised to enhance decentralization and delegation of power, in line with the requirements of national administrative reform.

A heavily debated item was the establishment of the Energy Efficiency Promotion Fund, which is now separately defined in Article 41a. Mr. Le Quang Huy explained that this fund institutionalizes Resolution 55-NQ/TW and helps support Vietnam’s net-zero emissions commitment by 2050. The fund will not establish a new organization, will be financially independent, and will not duplicate state budget spending tasks. Clauses 2, 3, and 4 of Article 41a detail its functions, objectives, and operations.

Clause 18 of Article 1 eliminates all provisions on corporate income tax and import tax incentives, ensuring consistency with existing tax laws. Instead, the law retains non-financial incentives, such as technical assistance, investment promotion, and public awareness campaigns.

The feedback report presented by Mr. Le Quang Huy noted that deputies were especially concerned with managing energy use in equipment, vehicles, and construction materials. In Clause 16 of Article 1, the law amends Clauses 2 and 3 of Article 37, adding regulations on energy management for these categories. Clause 17 also revises Article 39, formally introducing energy labeling for construction materials, a product group that directly impacts building energy efficiency.

This energy labeling serves as a legal foundation for implementing energy-saving measures in the construction industry. The law’s impact assessment discusses a clear application roadmap, quality standards, lab testing requirements, and workforce needs, reinforcing the practicality of Point 3, Clause 17, Article 1.

Furthermore, in Clause 18 of Article 1, the law amends and adds to Clauses 2 and 3, and introduces Clause 4 to follow Clause 3 of Article 41. In response to suggestions to eliminate tax incentives, the Standing Committee instructed a full review, leading to the removal of all corporate income and import tax reliefs to ensure alignment with current tax laws.

Clause 20 of Article 1 amends Clause 3 and adds Clauses 4 and 5 to Article 43, detailing the roles, responsibilities, and operating conditions of energy service organizations. This is the first time the law defines such entities in principle and assigns the Government the task of specifying them in lower-level legal documents. These additions pave the way for developing an energy services market in Vietnam, modeled on ESCOs widely used in developed countries.

Additionally, Clause 12 of Article 3 expands legal terminology, clearly defining the concept and business operations of energy service organizations. This is the first time the Law on Using Energy Efficiency and Conservation has included specific provisions on this type of organization.

Article 2 of the draft law clearly sets January 1, 2026 as the effective date. Article 3 contains transitional provisions, which have been refined to allow businesses, organizations, and individuals sufficient time to adapt to the new regulations. This reflects deputies’ calls to clarify implementation timelines and ensure feasibility upon enforcement.