Vietnamese Enterprise Attracts Interest from Over 100 Airlines for Carbon Credit Purchases

baodautu.vn

The carbon credits held by INTRACO are eligible for international transfer under Article 6 of the Paris Agreement, making them highly sought after by more than 100 airlines worldwide.

INTRACO has officially launched Phase 2 of its Grouped Projects for Cambodia Improved Cookstove and Water Purifier. This phase is being carried out in collaboration with reputable local partners, including the Cambodian Women for Peace and Development Association, the Cambodian Red Cross, and the Ministry of Environment of Cambodia.

Previously, Phase 1 of the project—implemented in partnership with the Cambodian Women for Peace and Development Association—was completed in December 2024, with impressive results: 470,000 energy-efficient cookstoves and 250,000 water purifiers were distributed free of charge to households.

Mr. Hoang Anh Dung, CEO of INTRACO, signs a Memorandum of Understanding with representatives from the Cambodian Women for Peace and Development Association.

INTRACO has been improving public health in Cambodia and Laos through the free provision of energy-efficient cookstoves and water purifiers since 2022. These efforts are carried out through its subsidiary, SIPCO, with a total self-funded investment of up to USD 60 million.

In addition to investments in Laos and Cambodia, SIPCO is also developing carbon projects in Vietnam and the Philippines.

Cambodian households receiving improved cookstoves and water purifiers sponsored by INTRACO.

The project’s objective is to reduce greenhouse gas emissions and improve community health by providing sustainable living solutions at no cost. It also generates carbon credits eligible for international transfer under Article 6 of the Paris Agreement.

INTRACO plans to distribute 600,000 energy-efficient cookstoves and 600,000 water purifiers in Cambodia, and 420,000 cookstoves and 400,000 water purifiers in Laos, with a schedule for completion by 2026.

Through its projects in Laos and Cambodia, INTRACO/SIPCO has received Letters of Approval for international transfer of over 90 million tons of carbon credits through 2030, with more than 4.5 million tons already approved for issuance.

Instruction on how to use the energy-efficient cookstove.

The carbon credits generated by INTRACO through these projects are considered high-quality and have attracted significant interest from the aviation industry.

According to the International Civil Aviation Organization (ICAO), airlines are expected to require 164 million carbon credits by 2026. However, the supply of credits that meet ICAO’s stringent CORSIA (Carbon Offsetting and Reduction Scheme for International Aviation) criteria is extremely limited due to the program’s rigorous requirements.

“CORSIA, initiated by ICAO, aims to help the aviation sector achieve carbon neutrality. It includes a pilot phase (2021–2023), a voluntary phase (2024–2026), and a mandatory phase starting in 2027. Airlines must offset emissions that exceed a set threshold using carbon credits that meet ICAO’s standards.”

Eligible credits must be issued after 2021, have host country approval for international transfer, comply with Article 6 of the Paris Agreement, and originate from technologies accepted by ICAO—excluding large-scale renewable energy (over 15 MW) and reforestation projects.

Internationally, CORSIA-eligible credits are traded at prices ranging from USD 20 to 40 per credit, depending on delivery time and payment terms.

Instruction for locals on using the water purifier for clean drinking water at home.

With a large supply of CORSIA-compliant carbon credits, INTRACO has become one of the world’s leading suppliers of credits for the aviation sector and is being actively sought after by industry players.

More than 100 airlines—mostly via brokers—have entered negotiations with INTRACO to acquire these carbon credits. Some, such as British Airways, have contacted the company directly and successfully completed transactions.

Mr. Hoang Anh Dung, CEO of INTRACO, shared that revenues from carbon credit sales are reinvested into expanding the project’s device distribution and supporting research into advanced environmental technologies, such as carbon capture and storage.