How will Decision No. 14/2023/QĐ-TTg affect enterprises importing and manufacturing household electrical and office equipment?

See more: Capacity Profile Of Phuc Gia Laboratory Corporation

On May 24, 2023, the Prime Minister issued Decision No. 14/2023/QD-TTg, replacing Decision No. 24/2018/QD-TTg with the following content: “Promulgating the list and roadmap of energy-using vehicles and equipment to be discarded and low-efficiency power generating units not to be newly built.” Some manufacturers and importers of household and office equipment are confused about the application of this decision; therefore, reporter Binh Minh had a working session and exchange with Mr. Nguyen Van Nam – Director of Phuc Gia Testing and Inspection Center to understand and clarify the implementation methods of this Decision.

Table of contents

Question 1: What products are included in the list of low-efficiency energy-using equipment to be discarded as prescribed in Decision No. 14/2023/QD-TTg issued on May 24, 2023?

Question 2: As we know, on May 24, 2023, the Prime Minister issued Decision No. 14/2023/QD-TTg replacing Decision No. 24/2018/QD-TTg regarding the “Promulgation of the list and roadmap of energy-using vehicles and equipment to be discarded and low-efficiency power generating units not to be newly built”; what changes does Decision No. 14/2023/QD-TTg have compared to the previously issued Decision No. 24/2018/QD-TTg?

Question 3: In your opinion, is it necessary for the Government to update more products and new standards in Decision No. 14/2023/QD-TTg? Will enterprises benefit or suffer losses when the above Decision is applied?

Question 4: What can manufacturing, importing, and trading enterprises do to best prepare for the application of the Government’s Decision No. 14/2023/QD-TTg?

Question 5: Has any unit been designated to test all of the above products?

1. Reporter: What products are included in the list of low-efficiency energy-using equipment to be discarded as prescribed in Decision No. 14/2023/QĐ-TTg issued on May 24, 2023?

The Decision has clearly stated the list and roadmap of low-efficiency energy-using equipment to be discarded, specifically:

The import, production, and trade of equipment with energy efficiency that does not meet the Minimum Energy Performance Standards (MEPS) specified in the National Standards (TCVN) are not permitted, specifically as follows:

a. Household equipment group: Compact fluorescent lamps TCVN 7896:2015; Electronic ballasts for fluorescent lamps TCVN 7897:2013; Electromagnetic ballasts for fluorescent lamps TCVN 8248:2013; Double-capped fluorescent lamps TCVN 8249:2013; Electric fans TCVN 7826:2015; Household washing machines TCVN 8526:2013; Electric rice cookers TCVN 8252:2015 (application period from the effective date of this Decision);

– LED lamps TCVN 11844:2017; Infrared hobs TCVN 13373:2021; Induction hobs TCVN 13372:2021; Wine cabinets TCVN 7828:2016 (application period from April 1, 2025);

– Refrigerators and freezers TCVN 7828:2013 (application period from the effective date of this Decision until March 31, 2025); TCVN 7828:2016 (application period from April 1, 2025);

– Storage water heaters TCVN 7898:2009 (application period from the effective date of this Decision until March 31, 2025), TCVN 7898:2018 (application period from April 1, 2025);

– Non-ducted air conditioners TCVN 7830:2015 (application period from the effective date of this Decision until March 31, 2025), TCVN 7830:2021 (application period from April 1, 2025);

– Television sets TCVN 9536:2012 (application period from the effective date of this Decision until March 31, 2025), TCVN 9536:2021 (application period from April 1, 2025).

b. Office and commercial equipment group: Photocopiers TCVN 9510:2012; Printers TCVN 9509:2012; Computer monitors TCVN 9508:2012; Commercial refrigerated cabinets TCVN 10289:2014 (application period from the effective date of this Decision);

– Laptops TCVN 11848:2021; Desktop computers TCVN 13371:2021 (application period from April 1, 2025).

c. Industrial equipment group: Three-phase cage induction motors TCVN 7540-1:2013; Distribution transformers TCVN 8525:2015 (application period from the effective date of this Decision);

– LED luminaires for road and street lighting TCVN 12666:2019 (application period from April 1, 2025);

– Boilers in industrial enterprises TCVN 8630:2010 (application period from the effective date of this Decision until March 31, 2025);

– Boilers in industrial enterprises TCVN 8630:2019 (application period from April 1, 2025).

2. Reporter: As we know, on May 24, 2023, the Prime Minister issued Decision No. 14/2023/QĐ-TTg replacing Decision No. 24/2018/QĐ-TTg regarding the “Promulgation of the list and roadmap of energy-using vehicles and equipment to be discarded and low-efficiency power generating units not to be newly built”; what changes does Decision No. 14/2023/QĐ-TTg have compared to the previously issued Decision No. 24/2018/QĐ-TTg?

I have reviewed and researched both decisions, and I have identified three main differences that enterprises need to note:

+ Point 1: Regarding the List of low-efficiency energy-using vehicles and equipment to be discarded, Decision No. 14/2023/QĐ-TTg has updated several new products such as infrared hobs, induction hobs, desktop computers, and LED luminaires for road and street lighting.

+ Point 2: Updated testing standards for new products as well as updated the latest versions of testing standards for several existing products, such as:

Induction hobs – TCVN 13372:2021;
Infrared hobs – TCVN 13373:2021;
LED luminaires for road and street lighting – TCVN 12666:2019;
Non-ducted air conditioners – TCVN 7830:2021;
Laptops – TCVN 11848:2021;
Desktop computers – TCVN 13371:2021;
Television sets – TCVN 9536:2021;

+ Point 3: The implementation roadmap for the above new standards will be officially enforced on April 1, 2025. Accordingly, as of April 1, 2025, the Government will not permit the import, production, or trade of low-efficiency equipment (energy efficiency that does not meet the Minimum Energy Performance Standards specified in the National Standards – TCVN) that I mentioned above.

3. Reporter: In your opinion, is it necessary for the Government to update more products and new standards in Decision No. 14/2023/QĐ-TTg? Will enterprises benefit or suffer losses when the above Decision is applied?

Energy Labeling (EL) is a national strategic measure to encourage the use of high-efficiency vehicles and equipment, moving towards the gradual elimination of vehicles and equipment with outdated technology to reduce energy consumption in daily life and production.

Implementing Energy Labeling will create pressure to push manufacturers to always strive to produce and bring high-efficiency products to market; forcing trading and importing units to provide products that meet or exceed the minimum energy efficiency levels regulated by the State; and ensuring that the parameters recorded on the label are true, helping consumers choose the right Energy-Saving products or products with the desired energy efficiency circulating on the market. With millions of high-efficiency energy-using products widely used in life, they will aggregate into a large saving level, bringing high economic efficiency to the whole society—especially with global warming and the depletion of raw materials for electricity production, saving electricity is increasingly of concern to the entire society.

In response to the movement regarding the implementation of Energy Labeling worldwide, in 2006, Energy Labeling in Vietnam became a National Target Program on Economical and Efficient Use of Energy deployed by the General Directorate of Energy – Ministry of Industry and Trade (VNEEP) according to Decision No. 79/2006/QD-TTg of the Prime Minister on April 14, 2006.

This program aims to help businesses and individuals save money and protect the environment through the use of high-energy-efficiency equipment.

Along with the development of society, the requirements for energy saving for household and office equipment are increasing; therefore, it is extremely necessary for the Government to supplement and apply more products to the energy-saving management list. For example, products such as infrared hobs, induction hobs, LED luminaires for road and street lighting… consume a lot of electricity but have not yet been managed. Applying such a roadmap will help businesses orient, prepare, as well as improve the quality of the products they manufacture or import to suit the new era.

In addition, to avoid the management of products becoming obsolete as science and technology increasingly develop, the Government of Vietnam has also been focusing on changing, updating, and upgrading testing standards (usually every 5 years) to suit the development of science and technology.

For example, the current testing standard for electric fans only tests circular blade fans. Meanwhile, tower fans and bladeless fans are new technology electric fans that currently cannot be applied. In the coming time, they will certainly be updated and changed by the Government. Or like the adjustment of the energy efficiency level of non-ducted air conditioner products. This change aims to classify energy stars more clearly for types of air conditioners using inverter technology according to TCVN 7830:2021, which is very necessary.

Or the application of TCVN 7830:2021 replacing TCVN 7830:2015 for non-ducted air conditioner products; the new standard requires increasing the minimum energy efficiency level (stricter requirements for the minimum energy efficiency index) compared to the old standard.

In summary, the issuance of Decision No. 14/2023/QĐ-TTg, in my opinion, is a good thing for businesses and society. Eliminating poor quality, low-efficiency, and high-energy-consuming products contributes to ensuring National energy security. For businesses, the above decision also creates a level playing field for enterprises manufacturing, importing, and distributing energy-saving products in Vietnam.

4. Reporter: What can manufacturing, importing, and trading enterprises do to best prepare for the application of the Government’s Decision No. 14/2023/QĐ-TTg?

As I presented above, Decision No. 14/2023/QĐ-TTg specifically regulates the roadmap for energy-using equipment with low efficiency that must be discarded. Before reaching the deadline for the removal of low-efficiency products, enterprises should have a pre-testing plan to check whether their products meet the requirements for trading/importing in the near future, as well as have plans to improve products or replace their production lines.

5. Reporter: Sir, has any unit been designated to test all of the above products?

Before the new testing standards were issued, Phuc Gia® was very fortunate to be sent the draft standards by the Vietnam Institute of Standards and Quality to provide feedback before their official issuance. Accordingly, we studied, contributed our opinions, and built and applied for designation for all new standards within the Government’s Decision No. 14/2023/QĐ-TTg to promptly meet the requirements of enterprises as quickly as possible. On April 20, 2023, Phuc Gia® was officially designated by the Ministry of Industry and Trade under Decision No. 986/GCN-BCT regarding energy efficiency testing for all aforementioned products.

In addition, Phuc Gia Testing and Inspection Center is also the first unit to be accredited by all three accreditation bodies (BoA, AOSC, VACI) as a testing center meeting ISO/IEC 17025:2017 standards; Phúc Gia is also the first private unit to invest in an energy efficiency testing chamber for air conditioners with a capacity of up to 60,000 Btu/h (the largest in Vietnam at present) using the Enthalpy testing method.

*Energy Efficiency Testing Chamber for Air Conditioners*

Phuc Gia Testing and Inspection Center has also invested in a refrigerator and commercial refrigerated cabinet testing chamber with the capacity to test four units simultaneously to promptly and efficiently meet the needs of enterprises.

Phong_tu_lanh — *Energy Efficiency Testing Chamber for Refrigerators*

In addition to being designated by the Ministry of Industry and Trade for energy efficiency testing of household and office products, Phuc Gia® is also designated by the Ministry of Science and Technology to test and certify products under QCVN 9:2012/BKHCN and QCVN 19:2019/BKHCN; and by the Ministry of Information and Communications for testing according to QCVN 101:2020/BTTTT.

With its current equipment and human resource capabilities, Phuc Gia Testing and Inspection Center aspires to contribute its efforts to the Government’s energy labeling program. Phuc Gia® also strives to become a leading testing and certification unit for household and office products in Vietnam.