Ensuring petroleum supply for production, business and consumption

The dispatch clearly stated that petroleum is an essential commodity serving the production, business and consumption of people and businesses. Under the drastic and timely direction of the Government and the Prime Minister; in the first months of 2024, the Ministry of Industry and Trade and ministries and agencies have focused on synchronously and effectively implementing solutions to ensure a continuous supply of petroleum for production, business and consumption of people and businesses. However, in the coming time, it is forecasted that the world economic situation will continue to develop in a complicated and unpredictable manner, strategic competition between major countries will become increasingly fierce, potentially disrupting the supply chain, causing fluctuations in prices and supply of goods and services, especially petroleum, raw materials, freight rates, gold prices, etc. Domestically, although the economy continues to recover positively, it continues to face many difficulties and challenges.

To continue ensuring adequate supply of petroleum for production, business and consumption of people and enterprises, contributing to maintaining macroeconomic stability, promoting growth, controlling inflation, ensuring major balances of the economy, the Prime Minister requests the Minister of Industry and Trade, the Minister of Finance, the Governor of the State Bank of Vietnam, the Chairman of the State Capital Management Committee at Enterprises, the Chairmen of the People's Committees of provinces and centrally-run cities, the Chairman and General Director of Vietnam Oil and Gas Group, Vietnam National Petroleum Group, Binh Son Refining and Petrochemical Joint Stock Company, Nghi Son Refining and Petrochemical Company Limited, and the Chairman of the Vietnam Petroleum Association, according to their assigned functions and tasks, to focus on deploying, drastically and synchronously implementing the tasks and solutions assigned in the Government's resolutions, telegrams, and directive documents of the Prime Minister on ensuring petroleum supply (especially the telegrams: No. 1123/CD-TTg dated November 18). 2023, No. 1284/CD-TTg dated December 1, 2023, No. 1437/CD-TTg dated December 30, 2023, No. 09/CD-TTg dated January 24, 2024); focusing on implementing a number of key tasks and solutions.

Proactively source goods, provide enough gasoline for the system, absolutely do not interrupt the supply

The Prime Minister requested the Minister of Industry and Trade to direct key petroleum traders to proactively source goods, provide enough petroleum for the system, absolutely not to interrupt the supply of petroleum in their petroleum distribution system (from key traders, distributors, agents, retail stores), maintain regular sales activities, sell at the listed price; strictly implement the total minimum petroleum source in 2024 allocated and reserve petroleum according to regulations.

Closely monitor the implementation of the minimum total source of key traders, especially those with low implementation; direct and guide the regulation and ensure the balance of supply and demand of gasoline in each locality.

Proactively develop a petroleum plan for 2025 and the following years; resolutely not to allow shortages or disruptions in supply like in 2022. Be responsible to the Government, the Prime Minister, and the people if there are shortages or disruptions in the supply of petroleum for the domestic market.

Regularly monitor developments in the world and domestic commodity markets, natural disasters, storms, and floods to have contingency plans, ensuring adequate supply of gasoline for the domestic market in all situations.

Actively coordinate closely with relevant ministries and agencies in state management of petroleum products and management of petroleum prices. Strengthen inspection, examination and supervision of petroleum business activities, promptly detect and strictly handle violations according to regulations.

Continue to preside over and coordinate with relevant ministries and agencies to thoroughly review and promptly complete the draft decree replacing the decrees on petroleum trading in accordance with the direction of the Government and Government leaders, ensuring scientific, feasible, effective, meeting the requirements of practice and state management of petroleum products, harmonizing the interests of the State, people and businesses; report to the Government in September 2024.

The Prime Minister requested the Minister of Finance to continue to coordinate with the Ministry of Industry and Trade to manage gasoline prices according to regulations; update, review and adjust actual costs arising in the basic price structure of gasoline products to suit and harmonize the interests between gasoline businesses and consumers, gasoline-using businesses, ensuring the implementation of the goal of stabilizing the market, controlling inflation and supporting production and business.

Strengthen inspection and supervision of key petroleum traders in the establishment, management and use of the Petroleum Price Stabilization Fund; promptly detect and strictly handle (or report to competent authorities for handling) violations according to regulations.

Continue to conduct inspections and supervision, requiring retail gasoline stores and gasoline traders to strictly implement regulations on electronic invoices for each sale and connect data with tax authorities according to the Prime Minister's instructions.

Preside over and coordinate with the Ministry of Industry and Trade and relevant agencies to deploy national petroleum reserves according to the plan and roadmap of the Prime Minister's Decisions: No. 861/QD-TTg dated July 18, 2023 on the Planning of national petroleum and gas reserve and supply infrastructure for the period 2021 - 2030, with a vision to 2050 and Decision No. 305/QD-TTg dated April 12, 2024 on approving the National Reserve Development Strategy to 2030.

Support key petroleum traders to access capital and create sources of goods

The Governor of the State Bank of Vietnam closely coordinates with the Minister of Industry and Trade to continue supporting key petroleum traders and petroleum distributors to access capital to encourage businesses to create sources of goods, ensuring the supply of petroleum for the domestic market in accordance with legal regulations, and not to take advantage of violations of the law.

The Chairman of the State Capital Management Committee at Enterprises directed the Vietnam National Oil and Gas Group and the Vietnam National Petroleum Group to have plans and solutions for production, distribution, storage, regulation, and retail of gasoline and oil in an appropriate, timely, effective, and scientific manner, ensuring adequate supply of gasoline and oil for the market.

According to assigned functions and tasks, we are responsible to the Government, the Prime Minister, and the people if we are not proactive enough to cause shortages and disruptions in the supply of gasoline and oil for the domestic market.

The Chairman and General Director of Vietnam National Oil and Gas Group, Vietnam National Petroleum Group, Binh Son Refining and Petrochemical Joint Stock Company, Nghi Son Refinery and Petrochemical Company Limited, according to their assigned functions and tasks, shall carefully prepare production and business plans, organize safe and stable operations of factories, ensure production, reserve and sufficient supply of petroleum to the market according to plans approved by competent authorities and regulations of law; provide sufficient sources of goods for the domestic market according to contracts signed with key traders.

Publicly announce plans and production capacity, supply of gasoline from domestic production sources to key gasoline trading enterprises on a monthly and quarterly basis to proactively balance import sources, ensuring adequate supply of gasoline for the market. Be proactive in all situations, avoid shortage of gasoline supply, passive due to production factors.

Directing businesses and retail gasoline stores in the system to have scientific and reasonable plans and strategies for gasoline business and retail, ensuring sufficient supply to meet domestic market demands.

Strictly handle acts of hoarding and smuggling of gasoline across the border

The Prime Minister requested the Chairmen of the People's Committees of provinces and centrally-run cities, according to their assigned functions, tasks and powers, to closely coordinate with the Ministry of Industry and Trade and relevant ministries and agencies to create favorable conditions for enterprises and traders trading in petroleum in creating sources of goods, transporting, circulating and distributing petroleum; strengthen inspection, examination and supervision of petroleum trading activities and ensure security and order in the area according to regulations; promptly detect and strictly handle acts of speculation, hoarding of goods, smuggling of petroleum across the border, violations of regulations on petroleum trading, electronic invoices, etc.

Vietnam Petroleum Association promotes information about the world and domestic petroleum market situation to its members, thoroughly instructs members to seriously and fully exercise their rights and obligations according to the provisions of law, and proactively and drastically implement solutions to ensure sufficient petroleum supply for the domestic market.

The Prime Minister assigned Deputy Prime Minister Bui Thanh Son to directly direct, inspect, urge and handle arising issues within his authority, and report beyond his authority to the Prime Minister.

The Government Office monitors and urges according to assigned functions and tasks, promptly reports to the Prime Minister on arising issues.