A Ho Chi Minh City-based company is seeking to operate 10,000 electric taxis around the country in place of gasoline vehicles.
Ho Huy Investment Company has said its taxis will, over a 10-year period, reduce emissions by 940,000 tons and save more than 406 million liters of gasoline worth US$134 million.
Energy costs will come down by 50-60 percent.
The company provided no more details about funding and where the cars will be imported from.
The plan has been submitted to relevant agencies and received positive feedback.
The HCMC Department of Transport has recommended that the ciy's government approve 100 electric taxis at first as a trial step.
According to the Ministry of Transport, around 50,000 taxis run in the country, mostly in major cities. It is also not known how the gap will be filled up.