The Bank for Investment and Development of Vietnam (BIDV) and the Hanoi Transport Corporation (Transerco) on February 24 signed an agreement to accelerate the use of green public vehicles in Hanoi.
| BIDV and Transerco on February 24 inked an agreement to boost the use of electric buses in Hanoi. Photo: Transerco |
The agreement marked a new milestone in their partnership, and showcased BIDV’s commitment to Hanoi’s sustainable development goals.
Under the agreement, BIDV will provide financial support for Transerco's plan to replace fossil fuel buses with electric and green energy buses between 2024 and 2035. In return, Transerco will explore financial services offered by BIDV, in particular the use of its banking services.
This partnership aligns with the Vietnamese and Hanoi governments' policies to transition to green energy and reduce methane and carbon emissions in the transportation sector.
From 2024 to 2035, Transerco plans to invest in more than 1,300 electric buses and charging stations with a total investment of VND6.5 trillion (US$255 million).
Sustainable development is a core objective of BIDV's operations, said CEO Le Ngoc Lam.
The partnership will accelerate Hanoi's transition to green public transport and bring long-term benefits to the community, he added.
Nguyen Thanh Nam, CEO of Transerco, appreciated BIDV's commitment to Vietnam's green growth strategy, especially in modernizing Hanoi's bus system.
"BIDV's commitment to providing low-cost loans will help us quickly switch to electric buses. As a result, Hanoi will be able to meet its green transportation targets, reduce emissions and protect the environment," he said.
Nguyen Thanh Nam, CEO of Transerco, appreciated BIDV's commitment to Vietnam's green growth strategy, especially in modernizing Hanoi's bus system.
"BIDV's commitment to providing low-cost loans will help us quickly switch to electric buses. As a result, Hanoi will be able to meet its green transportation targets, reduce emissions and protect the environment," he said.
On January 17, Transerco replaced all fossil-fueled buses with 46 electric vehicles on three routes: 05, 39 and 47. They include 35 large 60-passenger buses and 11 smaller 30-passenger buses. All were manufactured by VinFast.
Hanoi aims to have at least 50% electric buses and 50% LNG (liquefied petroleum gas) or CNG (compressed natural gas) buses by 2030, with a total investment of VND43 trillion ($1.7 billion).
Between 2024 and 2030, the city aims to replace 70-90% of diesel buses with green energy buses. By 2035, 100% of Hanoi's buses will be electric.
