The Covid-19 pandemic has had big impacts on the global economy in general and Vietnam in particular in 2021. It not only caused heavy losses but also countless difficulties and challenges for many enterprises, including Vietnam National Petroleum Group. However, prompt response of the State by reasonable support policies; clear vision, quick decisions of Petrolimex accompanied trust, consensus of employees have helped Vietnam National Petroleum Group to successfully fulfil its role and mission: OPTIMIZING INNER POWER - SPREADING HIGHER VALUES

A network of 45 member units, 07 corporations/ specialized member units and 11 joint-venture companies have joined hands to achieve planned targets. We not only maintain our position as one of Vietnam’s largest corporations in terms of petroleum downstream business but also focus on raising shareholders’ values; bringing welfare to laborers and communities; adding living values; contributing to national socio-economic development. During tough time that many companies held layoffs or even went bankrupt, Vietnam National Petroleum Group maintained smooth operation in whole system, ensured employee’s life and national energy security as well.

Organize Annual General Meeting of Shareholders in 2021 and other meetings under virtual form: Petrolimex continues to adapt and maintain online meetings via Team App

Apply available science and technology in inspection, supervision and implementation of Business Intelligence Reporting (BI) system: To effectively exploit data of application system and services of Petrolimex including data efficiency of SAP-ERP system as a key focus, in 2021, Petrolimex has implemented Phase 1 of BI system. This is a quick business intelligence reporting solution upon users’ needs, customized reporting upon practical needs to meet requirements of information use and support management activities of leaders of line departments at Parent Company (Group) and member units.

Implement non-cash payment system and customer care management App – Petrolimex ID: Customers not only enjoy non-cash payment experience in a quick and conformable manner in petroleum stations via Petrolimex ID App but also have opportunity to accumulate bonus points and participate in Petrolimex’s promotion programs.

With a widespread system of petroleum stations in 62/63 cities/provinces nationwide, Petrolimex, in any circumstance, always ensures sufficient supply to consumers through retail system with over 2,500 petroleum stations. Petrolimex has been playing this important role for the last 65 years.

Apart from increasing experience and utilities for customers in term of payment, Petrolimex deploys non-cash payment service at petroleum stations nationwide from urban areas to rural and mountainous areas. At the same time, Petrolimex also deploys customer care programs, supporting customers to find petroleum stations and reward programs, etc. through Petrolimex ID App.

Get over another year of raging Covid-19 pandemic, people now face difficulties of economic recovery. Thus, management and use of state budget have been facing lots of difficulties. As one of the leading economic corporations, Vietnam National Petroleum Group is making efforts to implement not only its business management but also social responsibilities by contributing to the State Budget. The above mentioned figures show that despite challenges, Vietnam National Petroleum Group still ensures its contribution to the State Budget with a total amount of 33,826 billion VND in 2021. This presents a great effort of Petrolimex to fulfil its responsibility to the State and society.

In 2021, Vietnam was hard hit by 06 storms. Petrolimex always updates situation and developments of storms, closely follows guidance of Steering Committee for Natural Disaster Prevention and Control, Search and Rescue, Ministry of Industry and Trade, issuing 11 urgent dispatches to guide units to cope with. In 2021, there was no loss of life and property, Petrolimex ensured quality and quantity of petroleum products as well as sufficient supply after storms passed.

In October 2021, tropical depression accompanied extreme rainfall has caused landslides, flooding which isolated Quang Binh and Quang Tri province. After storms passed, no loss of life and property was found due to well-prepared plans by units, sales were maintained normally.

In 2021, Petrolimex has urgently deployed the project of “Evaluation, selection of drainage and oil contaminated wastewater treatment solutions for Petrolimex’s petroleum terminals” to standardize design format of petroleum terminals. The project also includes wastewater standards expected to be applied after Law on Environmental Protection 2020 comes into effect.

During promulgation of Law on Environmental Protection 2020, State management agencies continue to build guidance on implementation of the Law. Thus, Petrolimex will strengthen review on environmental protection system at units to ensure full compliance with regulations and minimize environmental impacts in accordance with Mechanisms on Environmental Protection of the Group while waiting for guidance of functional organs.

With fuel as its key trading commodity which indirectly causes greenhouse gas emissions, Petrolimex, apart from provisions of the Law on petroleum downstream business, proactively selects high quality products: RON 95-IV and DO 0.001S –V. The reason is that Petrolimex needs to invest in storage facilities, quality management, information exposure, etc. By trading in these products, Petrolimex, as estimated, makes significant contributions to reduction of engine emissions.

Petrolimex’s oil spill response

+ In 2021, Petrolimex has appraised and approved oil spill response plan for 2,109/2,627 petroleum stations
+ Petrolimex proactively purchases environmental liability insurance for all petroleum facilities including: petroleum stations, terminal, jetty, petroleum pipeline, ensure funding and compensation liability for third parties being affected by oil spills. In 2021, Petrolimex made compensation for damage caused by small oil spills at 02 petroleum stations and 01 oil pipeline spill.

Reduction of VOCS

+ Install floating roofs for tanks to reduce gasoline evaporation
+ Cover fuel storage tanks with reflective paint to minimize temperature of gasoline in tanks.
+ Strengthen maintenance services by regulations
+ On 28th September 2021, the Group and JCCP signed the third-phase cooperation agreement for Enhancing the management efficiency, safe operation of petroleum terminals.
+ From July 2016 when technical cooperation agreement entitled “Enhancing the management efficiency and safety operation of petroleum terminals in Vietnam” concluded till August 2021, The Group has conducted many supervisions and seminars under the framework of cooperation.

There are some other common supplier selection criteria apart from financial and cost requirements, Petrolimex’s top criteria is to ensure safety: clear origin of product, production facilities, quality in line with Vietnamese regulations or requirements of Petrolimex, prestige, petroleum downstream business experience, clear sales network and technical facilities.

Domestic suppliers must comply with law on environmental protection of Vietnam and other environmental standards. Foreign suppliers are big ones with their own standards and policies on environmental protection. In 2021, no violation or big incident was found at Petrolimex which seriously impact on surrounding environment.

Especially, some commercial commodities of Petrolimex have higher technical requirements on import of sources than national technical standards and Vietnam standards.

Petrolimex determines that human is the most vital resource that decides the sustainable development of the Group. Therefore, Petrolimex always places people as the central in all activities, and business as the environment for people to maximize their inherent talents.

Ensuring incomes for employees and workers: Ensuring the rights, benefits for employees and workers during the Covid-19 pandemic in the spirit of sharing difficulties; ensure reasonable salaries for workers who works in production.

Petrolimex strictly complies with regulations and commitments

+ Labor Code 2019
+ Employee Conference

Based on spirit of democracy, mutual dialogue, participation in building business and production criteria, income policy, improving working conditions and living standard. Thus, Petrolimex promotes democratic rights and other legitimate needs of employees, giving them peace of mind working and committing long-term stay with the Group

+ Collective Labor Agreement at Petrolimex

Collective Labor Agreement is encourage to develop which bring more benefits to employees.

In addition to complying with regulations and policies on occupational safety and health, facing complicated developments of Covid-19 pandemic, in order to give peace of mind for employees working under current risks, Petrolimex and member units have equipped and applied epidemic prevention and control measures for employees including face masks, vitamins, hand sanitizer, supporting employees infected with Covid-19 virus in isolation and treatment facilities.

Considering employees as the most important factor for development, the Group has a clear guideline on improving qualification of employees, including managers, senior engineers and other employees. This helps enhancing and raising the Group's performance on a basis of technology development and procedure optimization. Annually, the Group directs member units to examine and make statistics on the current status of cultural background and working skills of Youth Union members and employees; needs of training, retraining, upgrading operational qualifications, management capability, political reasoning, foreign languages, computer skills, and workmanship. Accordingly, courses of upgrading qualifications and skills for Youth Union members and employees are planned.

The Group organizes training activities and encourages participation, including internal and external training courses for the sake of qualification improvement, working efficiency enhancement, and career development for employees.

Additionally, Based on practical demands on improving R&D of Petrolimex in the process of energy transformation and high-quality professional training for Petrolimex in the digital transformation period, Petrolimex expects to establish a Steering Committee on R&D, Investment and construction of Petrolimex Center for Training, R&D in the coming time.

Petrolimex is always aware that safety is the first and most important task in production and business, including safety for customers and employees of Petrolimex.