Ministry of Industry and Trade Proposes Establishing Energy - Oil and Gas Department

The Ministry of Industry and Trade (MOIT) has submitted a draft decree to the Ministry of Justice, outlining proposed changes to its organizational structure, functions, and powers. This initiative aims to address existing limitations and redundancies within the ministry's current framework, particularly in light of evolving national and international demands.

The MOIT acknowledges that while its efforts have yielded results, the internal organizational structure faces challenges. Some units within the ministry and its subordinate bodies have overlapping or unclear responsibilities. To foster innovation and efficiency within the political system, and to ensure a lean and effective operational structure, the ministry believes it is necessary to revise and supplement its functions, powers, and organizational arrangements. This is also tied to the goal of achieving double-digit growth.

Key proposed changes include the MOIT retaining its existing state management functions but expanding its scope to include the management of mineral resources, industrial parks, economic zones, and free trade zones. This aims to consolidate state management under the MOIT. Additionally, functions related to biotechnology and the electronics industry will be incorporated.

Consequently, the ministry's organizational structure would be reduced from 21 to 20 units, eliminating one departmental-level entity. Specifically, the Department of Planning, Finance, and Enterprise Management will be renamed the Department of Planning - Finance, as its enterprise management responsibilities, particularly as a representative of state capital, will be reduced and transferred to SCIC (State Capital Investment Corporation).

The Department of E-commerce and Digital Economy will be renamed the Department of E-commerce, following the transfer of digital transformation responsibilities to the Department of Innovation, Green Transformation, and Industrial Promotion. This latter department will be reorganized and renamed the Department of Science, Technology, and Digital Transformation. It will take over digital transformation tasks while energy saving responsibilities will be transferred to the Department of Oil and Gas and Coal.

Management of industrial clusters, small and medium-sized enterprises, and industrial promotion will be moved to the Department of Industry. The Department of Foreign Market Development and the Department of Multilateral Trade Policy will be merged into a single Department of Foreign Market Development and International Economic Integration. This merged department is proposed to maintain nine divisions to effectively handle foreign affairs, negotiation, and international market cooperation.

Crucially, a new Department of Energy - Oil and Gas will be established. This department will be formed from the Department of Oil and Gas and Coal, absorbing the energy saving responsibilities. It will also undertake new tasks related to offshore energy management and serve as the standing agency for national energy security. Furthermore, the ministry will continue to maintain 15 other units, including the Department of Organization and Personnel, Department of Legal Affairs, Ministry Office, Department of Electricity, Department of Industry, Department of Industrial Safety and Environmental Engineering, and Department of Chemicals.