Dung Quất biofuel plant set for full-capacity operations in April

Dung Quất biofuel plant set for full-capacity operations in April

The Dung Quất Biofuel Plant is accelerating production and is expected to reach full capacity around mid-April, supplying ethanol for nationwide E10RON95 biofuel blending.

A petrol station in Quảng Ngãi Province. — VNA/VNS Photo Phạm Cườg

According to Vietnam Central Biofuels Joint Stock Company (BSR-BF), since resuming operations on January 20, technical issues have been addressed, with 462.7 cubic metres of ethanol already delivered to Binh Son Refining and Petrochemical JSC, a unit of Petrovietnam, effectively restoring the production–supply chain.

The plant operated at around 60 per cent capacity in March to stabilise its systems before ramping up to full output from mid-April. This expansion is expected to curb reliance on imports, enhance energy self-reliance and help stabilise biofuel prices.

The Ministry of Industry and Trade estimates monthly ethanol demand for E10RON95 blending at roughly 100,000 cubic metres, while domestic supply currently meets only about 30 per cent, leaving a significant shortfall.

To bridge the gap, BSR-BF and other producers have called for stronger policy support, including improved access to financing and preferential credit to sustain and scale up production. They also urged authorities to prioritise domestically produced ethanol, restrict imports to cover shortages and consider tariff measures to safeguard the local industry.

BSR-BF Director Phạm Văn Vương said the company is looking to expand into new areas such as biodiesel, sustainable aviation fuel (SAF), microalgae and afforestation, opening up broader growth prospects and strengthening its position in the green energy value chain. 

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