Demonstration City: Hanoi
Inform
Hanoi stakeholders benefited from the knowledge products related to demo activities and e-mobility in general, such as shared mobility system, charging infrastructure, and vehicle integration services, that were incorporated in the SOLUTIONSplus online toolbox.
Inspire
Hanoi stakeholders joined the Asia regional and Hanoi-specific training on e-mobility in 2021 and 2022. In May 2021, online training on ‘How e-mobility and integrated urban mobility planning can contribute to the SDGs in Asian cities’ was organised. The Asia Regional training that followed in October 2021 provided a combination of introductory knowledge about the electric mobility sector and the prerequisites for planning the electric mobility ecosystem, as well as specialized topics on electric vehicle management, selecting and setting up charging infrastructure, and cross-cutting topics. In the same month, Hanoi-specific training (online) discussed those topics addressing the local context.
In November 2022, a 2-day national training on e-mobility was organised in Hanoi jointly with UNDP. Various national and international experts discussed local and international experiences on integrating e-mobility into planning, technical details on electric vehicles and charging infrastructure. Representatives from local government, academia and private sectors actively participated in the training.
Initiate
To operationalise a shared e-2 wheeler system in Hanoi, a local start-up, QiQ Elevate Mobility, was awarded with a seed funding. QiQ is also developing the V-Share app for booking and returning vehicles, as well as monitoring battery status. A Vehicle Communication Unit connects the vehicle into a networking system. A charging unit from Betteries (German start-up selected from EU-Innovators call) using second life batteries will also be installed at a docking station. The local partner, University of Transport Technology (UTT), is also in close collaboration with UNEP for implementing a similar shared e-2-wheeler system in Hanoi and for expanding the services.
Implement
Hanoi demo on shared e-mobility systems for last mile connectivity will be piloted in two major locations, at a BRT station and AEON shopping mall within a distance of 2 kms. The shared e-mobility system consists of electric 2-wheelers (50 e-mopeds and 10 QIQ e-bikes).
The main activities carried out in Hanoi during the reporting period are:
E-mopeds procurement and arrangements for last mile connectivity: Fifty units of e-mopeds (Vinfast Ludo) are procured to provide last mile services and charging system from Vinfast will be installed. In order to apply for permission to operate a shared e-mobility system, UTT carried out several meetings with local authorities. An approval from Hanoi People’s Committee has been obtained. Vehicle registration is complete and the license plate of each e-moped are installed. A dedicated E-2 wheelers parking hub is selected and the construction is complete. To ensure drivers safety, helmets are provided in each e-mopeds and insurance documents (vehicle owner’s liability insurance and accident insurance for passengers) are prepared. A trial operation of the e-moped took place prior to demo launch.
App and IoT: A first trial for V-Share from QiQ was conducted and IoT was installed, a fully functioning app is under development by QiQ.
Shared e-moped showcase event in Hanoi : On the 28th of November 2022, the pilot project for last-mile connectivity was launched in Hanoi to offer a connection between a BRT Station (Van Khe) and the AEON Mall in Ha Dong using electric two-wheelers. The pilot demonstration, which initially covers 2 km, is to be supported by a newly built app, V-Share, and the ambition is to gradually replace the shuttle service currently provided by diesel-run vans with an electric 2-wheeler-sharing or bike-sharing program.
The service is available for the use of the public for free for six months. Three types of two-wheelers are made available for the project: e-mopeds from Vietnamese manufacturer VinFast (Ludo); e-mopeds from Chinese manufacturer TailG, and; e-bikes from Vietnamese start-up QiQ.
A charging unit from Betteries (German start-up selected from EU-Innovators call) using second life batteries will be installed at Aeon mall. Betteries will provide a better pack (2.3kWh, 2kW) with an inverter and casing.
Preliminary Results
Impact
SOLUTIONSplus organized a workshop on 28th November 2022 to carry out the impact assessment of the shared e-2 wheelers demonstration actions in Hanoi. Ten key local stakeholders joined the workshop and discussed the priority indicators. Along with this, a scale-up concept note is being developed to improve ridership and to expand the services to another route. A policy paper on e-bike sharing system in Hanoi, currently being drafted, considers barriers, opportunites and policy recommendations for the successful planning process
Trends and Drivers
Overarching issues
Vietnam is experiencing rapid economic growth (6% per annum) and urbanization, which is also coupled by a rapid increase in transport demand. Study estimates that if policy measures are not implemented, the GHG emissions from the transport sector will triple by 2030, from the current level of 32 million tons Carbon dioxide equivalent (CO2e) per annum. The International Energy Agency (IEA, 2018) estimates that 97% of the transportation GHG emissions are from road vehicles. Essentially, road vehicles contribute 18.5% of the total fuel combustion-related GHG emissions in Vietnam. The per capita CO2e emissions from transportation is estimated to be 350 kg/year (IEA, 2018). Transportation has also been implicated as a major source of urban air pollution in Hanoi (Clean Air Initiative, 2010).
In 2017, there were 54 million registered motorcycles, 1.5 million cars, 154 thousand trucks, and 1.1 million trucks in Vietnam. From 2007 to 2017, passenger car registration has been growing at a rapid pace of 17% per annum, while motorcycle registration has grown at 10%. The bus fleet is growing by 6% per year, and trucks by 14% per year based on the data collected by the ASEAN-Japan Transport Partnership (AJTP, n.d.). About 96% of the motorbikes in Vietnam belong to the following brands: Honda, Yamaba, Suzuki, Piaggio (Ha, 2017).
E-mobility overview
The uptake of e-mobility has been slow in Vietnam. According to the VIR (2018, as quoted in Pastoor 2019), only 1,229 hybrid vehicles and 7 electric vehicles (excluding 2-wheelers) have been shipped to Vietnam from January 2010 and March 2017. The MoT’s five-year plan aims to introduce 200 hybrid and 50 plug-in hybrid buses by 2020. It is interesting to note that there is a dedicated unit focusing on e-mobility within the MoT’s Department of Environment (Bakker et al., 2017).
Honda, which currently dominates the motorcycle market (74% in the first 9 months of 2018), recently launched a hybrid model called PCX (“E-bike brands“, 2018). Electric bikes from China are also imported and sold for 1,500 to 1,950 USD. There are also locally produced EVs such as Pega Aura (fitted with Bosch technology) which sell for approximately 630 USD (“E-bike brands“,). VinFast (see section 3.E) is aiming to capture a significant portion of the local market, as it opens its manufacturing facility in Haiphong. VinFast aims to produce 250,000 motorbikes within a year. Together with the launching of its manufacturing facility, it also launched its electric motorbike model called Klara which retails for 913 USD (lead-acid) to 1,521 USD (lithium ion) (“E-bike brands“, 2018). VinFast is also cooperating with PV Oil to put up 30,000-50,000 charging stations and battery leasing terminals throughout the country (Pastoor, 2019).
Current state and initiatives
Currently, the local capacity for EV manufacturing, operation and maintenance is limited in Hanoi. There is no organisation that provides courses on EVs yet. Universities in Hanoi do not have formal degree courses in EVs yet but EV is partly included in engineering degrees (e.g. Automotive engineering). University of Transport Technology (UTT) and other universities in Hanoi are highly interested to collaborate to start with organizing courses (including e-courses) on EVs and organizing workshops targeting different stakeholders.
Vehicle integration
The integration of shared e-scooters with buses and metros can result in easy route planning and payment through the Mobility-as-a-Service app. Existing apps are available for individual mode (e.g. Timbuyt for buses) while previous pilot projects on smart ticketing ended without further implementation (e.g. e-ticket system by Transerco with Viettel Group and MK Ticket Group). Under the SOLUTIONSplus, it is necessary to understand the functionality of the currently active application as well as lessons from the failed vehicle integration project and then develop appropriate Mobility-as-a-Service application for Hanoi city.
Charging infrastructure planning and technology
For the growing number of EVs in Hanoi, mainly Vinfast e-2 wheelers, a support on appropriate battery solutions, disposal and charging options are required. Some solutions have been explored in individual e-scooter and under SOLUTIONSplus suitable options for a shared system are needed. EV charging stations for public transport (E-buses) are limited in Hanoi. Besides a demo of ABB charging solutions in Vinfast E-buses, Hanoi city needs support on charging infrastructure planning and technology.
Business model development
EV is still too expensive compared to conventional vehicles for most of the Vietnamese population. The demo on a shared e-scooter system needs a good business case with the involvement of various stakeholders. Support on business model development on shared e-scooter is a need.
EV promotion
Vietnam/Hanoi has a potential of the EV market due to increasing imports as well as local production (Vinfast). Along with appropriate regulations and financial incentives, Hanoi needs supporting policies on communication, advocacy and promotion of EVs. A strategic planning on capacity building activities for various stakeholders on EV promotion is highly desirable. This can include disseminate cost-benefit analysis and reduced life-cycle cost , that shows market potential, environmental and health benefits.