Negotiation based on electricity price framework, not one side taking advantage of the other

(Dan Tri) - Minister of Industry and Trade Nguyen Hong Dien said that the Government regulates the electricity price framework and all parties will use this as a basis for negotiations.

Explaining some issues raised by National Assembly deputies, Minister of Industry and Trade Nguyen Hong Dien said that currently, the electricity price framework is regulated according to the Law on Prices and the Law on Electricity. In which, the Government specifically regulates the price framework. The negotiating parties together rely on this price framework, "not one side taking advantage of the other". Discussing the reason for requiring negotiations within 12 months, the Minister of Industry and Trade said that within this time frame, all negotiations must be completed. Because if not, the units will find excuses to prolong, leading to a shortage of electricity. Regarding the addition of new policies to develop new energy sources, Mr. Dien stated that by 2030, our country will need to have 2 times more electricity than the current capacity. Then, by 2050, the required electricity capacity will be 5 times more than the current capacity. When traditional power sources do not have room to develop, the Minister affirmed that there must definitely be nuclear power and new energy sources in the future.

Minister of Industry and Trade Nguyen Hong Dien (Photo: QH).

Regarding the additions related to new energy, the head of the industry and trade sector pointed out that the draft Law stipulates more about the development of a competitive electricity market and the authority of the agency deciding on investment policies for urgent electricity projects, the policy of revoking slow-progressing electricity projects... Mr. Dien said that, unlike industrial projects, electricity projects must be one step ahead. Besides, the electricity produced must have a consumer address. The head of the sector stated that in reality, there are projects that have been assigned to investors for 10 years, even 20 years, but have not been implemented. "Thus, we are lacking electricity because previous projects have no mechanism to attract them. Special electricity projects, once planned, must be done, once assigned, must be done, if they cannot be done, they must be revoked. Should the whole country just sit and wait for a few investors?", Mr. Dien expressed his opinion and said that this issue must be clearly regulated. The urgent task is to have appropriate, synchronous and feasible mechanisms and policies to attract domestic and foreign investors to develop power sources and grids, especially electricity from renewable energy, new energy sources, clean energy or inter-regional transmission grids. Currently, our country has a mechanism to attract investment in the power grid system. In addition, the draft amendments basically open the door for investors to invest in the transmission system. According to the Minister, of course, high-voltage and ultra-high-voltage systems must be state-owned. Now, the draft law is considering regulations that allow private investment in transmission systems of 220kV or lower or 110kV or lower. "If the delegates press the button to approve a voltage of 220kV or lower, private investment is possible, so that renewable energy sources can be mobilized scattered throughout the country, then we will comply," said Mr. Dien.