The online discussion 'Sharing responsibility for peak electricity supply in the 2024 dry season' organized by VietNamNet newspaper at 2:00 p.m. on April 8 will provide an overview of the electricity supply plan for 2024, especially for the North, and solutions for efficient electricity use.
Readers are invited to follow the entire online discussion here:
Journalist Luong Bang:
We respectfully greet the leaders/guests and all reporters of newspapers and radio stations present in the auditorium, attending the Talk Show "SHARE RESPONSIBILITY FOR PROVIDING PEAK ELECTRICITY IN THE 2024 DRY SEASON".
Ladies and gentlemen, the current state of the power system has improved, basically meeting the demand for electricity. However, in the near future, extreme situations may still occur, leading to load adjustment and power reduction.
To promote the electricity supply plan for 2024, especially for the North, VietNamNet Newspaper in coordination with the Northern Power Corporation organized a discussion with the topic:
“SHARE RESPONSIBILITY FOR PROVIDING PEAK ELECTRICITY IN THE 2024 DRY SEASON”
Attending today's discussion, we would like to respectfully introduce:
- Mr. Nguyen The Huu, Deputy Director of Electricity Regulatory Authority ( Ministry of Industry and Trade )
- Mr. Vo Quang Lam - Deputy General Director of Vietnam Electricity Group (EVN)
- Mr. Nguyen Quoc Trung - Deputy Director of National Power System Control Center
- Mr. Nguyen Quoc Dung, Head of EVN Business Department
- Mr. Tran Minh Dung, Deputy General Director of Northern Power Corporation
- Mr. Nguyen Tien Thoa, Chairman of Vietnam Valuation Association
- Mr. Nguyen Minh Duc, Legal Department - Vietnam Federation of Commerce and Industry (VCCI)
- Directors of the Department of Industry and Trade of Bac Giang and Thanh Hoa provinces.
Mr. Vo Dang Thien, Deputy Editor-in-Chief of VietNamNet Newspaper:
Dear delegates, experts, scientists, and press colleagues present at today's discussion.
As we all know, electricity and energy in general are always big issues, of national importance, always receiving attention from the highest leadership to each citizen. Electricity is always considered the lifeblood of the economy and without electricity all activities must stagnate. That is to say, how important is the supply of electricity for production and daily life today.
In 2023, for many objective and subjective reasons, we witnessed the regulation of localized reduction of electricity supply in some places and at some times, causing difficulties for the economy as well as people's lives and the operation of the government system.
This year, the Government and the Ministry of Industry and Trade have also forecasted the situation, proposed scenarios and solutions to carefully calculate the demand and supply capacity of electricity to prepare for all scenarios in 2024. But that is not enough. In 2024, we continue to witness the year that is predicted to be severely affected by climate change. Therefore, to ensure safe and effective electricity supply, the cooperation of the people, businesses and local authorities is needed.
For that reason, VietNamNet Newspaper today organizes a discussion on “SHARE RESPONSIBILITY FOR PROVIDING ELECTRICITY DURING THE 2024 DRY SEASON PEAK”. Through the discussion, we hope that delegates will evaluate and forecast the situation of demand and the ability to supply electricity this summer, as well as receive suggestions and comments from delegates so that the electricity supply in 2024 will be stable, safe and effective.
On behalf of the organizing unit, we would like to sincerely thank the delegates, guests, and colleagues for attending today's discussion. We wish the delegates good health and wish the discussion a great success.
Guest Introduction
Mr. Vo Quang Lam
Deputy General Director of Vietnam Electricity Group (EVN) 
Mr. Pham Ba Oai
Department of Industry and Trade of Thanh Hoa province 
Mr. Nguyen The Huu
Deputy Director of Electricity Regulatory Authority (Ministry of Industry and Trade) 
Mr. Tran Minh Dung
Deputy General Director of Northern Power Corporation 
Mr. Nguyen Duc Hoan, Deputy Director
Deputy Director of Bac Giang Department of Industry and Trade 
Mr. Nguyen Tien Thoa
Chairman of Vietnam Valuation Association 
Mr. Nguyen Minh Duc
Legal Department - Vietnam Federation of Commerce and Industry (VCCI) 
Mr. Nguyen Quoc Dung
Head of EVN Business Department 
Mr. Nguyen Quoc Trung
Deputy Director of National Power System Control Center all questions
Continuing today's program, I would like to respectfully invite Mr. Vo Quang Lam - Deputy General Director of Vietnam Electricity Group to have a few words. I respectfully invite you! 
Mr. Vo Quang Lam
First of all, on behalf of Vietnam Electricity Group, I would like to express my sincere thanks to the Editorial Board of VietnamNet Newspaper for coordinating with the Northern Power Corporation to organize the seminar "Sharing responsibility for peak power supply in the dry season of 2024" today. We consider this a good cooperation that demonstrates the special interest of the Editorial Board of the Newspaper in power supply in 2024. As we know, Vietnam is a country with a rapid economic recovery. Currently, the growth rate of commercial electricity in the first 3 months of the year is much higher than the forecast for 2024 of the Ministry of Industry and Trade and the plan for operating the power system and the electricity market. Therefore, working together to ensure power supply in 2024 is very important and urgent. On June 8, 2023, the Prime Minister issued Directive No. 20 on implementing electricity saving in the 2023-2025 period. In particular, on February 14, 2014, the Prime Minister issued Directive 05 on ensuring the supply of electricity, coal, oil and gas to ensure electricity for 2024. Based on the close instructions of the Prime Minister, the Government, the Ministry of Industry and Trade, Vietnam Electricity Group has closely coordinated with functional units of the Ministry of Industry and Trade, People's Committees of provinces and cities and Departments of Industry and Trade of provinces and cities in implementing the Prime Minister's directives to ensure that this work is performed best. We focus on 3 main areas: Improving the quality of technical management and operation of the power system, including power plants and power transmission and distribution lines. Focusing on ensuring the progress of construction investment projects, especially power grid systems to release capacity; Strengthen the ability to connect regions, energy centers, as well as increase imports from surrounding countries. In particular, strongly implement electricity demand management programs, which we often call load management programs. Through the assessment of the entire period from 2019-2021, the level of electricity we use to produce a unit of GDP is much higher than that of surrounding countries. For example, according to the assessment of 2020, to produce 1,000 USD of GDP, we have to use up to 376 kg of oil equivalent; while average countries use about 176 kg of oil equivalent. Developing countries like Japan only use 90 kg of oil and Singapore uses 99 kg of oil. Thus, compared to countries that use energy to produce a unit of GDP, we are 2-3 times higher. If we convert the coefficient of electricity needed to develop GDP from 2019 to 2021, we also need about 1.2-1.5 electricity to generate GDP; while in developed countries, this coefficient is below 1. Therefore, the work of using electricity economically and efficiently is necessary and important. The fact that we must use energy more economically and efficiently has been a consistent policy of the Party and State for many years. Implementing the Prime Minister's instructions, Vietnam Electricity Group is closely coordinating with the Department of Industry and Trade of provinces and cities to plan to well implement the customer groups that must comply with Directive 20 of the Prime Minister. To better ensure electricity supply, the Group is directing member power companies in the whole Group to discuss with customers, especially key energy customers, to consider shifting peak hours away from the current peak hours of the power system. Our peak hours have actually shifted after 10 years of operating the power system, instead of peak hours from 9-11am, it has shifted to 1pm-3:30pm and added peak hours from 9-11pm. The Group hopes that electricity customers, together with the Group, can consider production lines and components that can be moved out of peak hours to better ensure electricity supply. We also discuss with electricity customers how to implement non-commercial load shifting programs. In case the power system has difficulty with maximum capacity, we can reduce capacity during the hours required by the power system to ensure the power system is operated continuously, safely and stably. We are also working actively with customers to make better use of the existing distributed power grid system such as: rooftop solar power system, on-site diesel generator system, in case of feasible needs, we can join hands and join forces to ensure our power grid operates more reliably and stably. In the past 3 months, with the efforts of the Group, its member units and the active and close coordination of the Department of Industry and Trade of provinces and cities, and of customers using electricity, we have ensured safe and stable power supply in the context of increased demand for electricity due to changes in the weather, as well as economic sectors in the recovery phase. Today's discussion is an opportunity for the Group's member units to listen to the opinions of experts, representatives of the Ministry of Industry and Trade, local Departments of Industry and Trade and readers of VietNamNet Newspaper to share the current situation of power system operation, as well as the potential and capabilities that we can join hands and efforts to make our Vietnam's power system operate more safely, more effectively and especially ensure the socio-economic development needs of the country, as well as the lives of the people.
Dear delegates and readers, to better understand the current hot weather and high demand for electricity, especially in the northern provinces, we will now listen to a representative of the National Power System Control Center share some forecast information about the electricity supply situation in the dry season of 2024, especially in the northern region? 
Mr. Nguyen Quoc Trung
For the National Power System Dispatch Center, we have the function assigned by the Government, the Ministry of Industry and Trade, and the Vietnam Electricity Group to operate the national power system. We would like to contribute some information to our readers: 2024 is a year of relatively strong development in the demand for electricity of the whole country, as well as the North. Facing the risk of heat waves, we have seen it since 2023, also recognizing that the economy is recovering after the Covid pandemic, the Ministry of Industry and Trade has also recognized these difficulties and issued Regulation 3110 on the plan to operate the national power system in 2024, in which it is determined that the growth rate of electricity demand for the whole economy in 2024 will reach 9.6%/year, this growth rate has been from 2018 until now that we have seen such a growth rate. In the first months of the year, we saw that the demand for electricity of the national and northern power systems increased by about 11%, which is the months that are not yet hot. For the hotter months of May, June, and July, the growth rate can be up to 13%. To make it easier for us to imagine, the demand for electricity in the northern region, including both domestic and industrial use, is about 25 thousand MW, 10%/year means 2,500 MW. Every year, we need another Son La hydropower plant to come into operation to meet the growth rate and load demand for electricity in the northern region. This is also a challenge for the electricity industry. Faced with such difficulties, the National Power System Control Center has received close guidance from competent authorities such as the Ministry of Industry and Trade, Vietnam Electricity Group, especially other units, we have promptly and synchronously deployed many solutions. There are many solutions, we have listed some of the main solutions that have been and are being implemented. For hydropower, we have a strategy of storing water in reservoirs, reserving water in hydropower reservoirs for use when needed. That is during the hottest months, May, June, July. Specifically, as of today, we have stored water in hydropower reservoirs of about 11 billion kWh of electricity. At the same time last year, we stored only 7 billion kWh, which means 4 billion kWh higher in the reservoirs. For example, Lai Chau reservoir is kept 20m higher than last year, Son La is 10m higher, Hoa Binh is 4m higher. That is the source we proactively store to meet the hot season. Currently, we do not see much of a problem, but around May, June, July, people's needs increase objectively, we must respond appropriately. Besides keeping water in hydroelectric reservoirs, we work with localities as well as with the support of the Ministry of Industry and Trade, Vietnam Electricity Group works with localities to maximize the water for downstream areas. How to maximize the use of water for downstream areas while ensuring water for electricity generation, this is a difficult task, we also recognize that in the North we are doing very well in this, especially through the recent winter-spring flood, Vietnam Electricity Group has received great support from localities, as well as the Ministry of Agriculture and Rural Development. We saved about 1 billion m3 of water compared to the original plan. This is a very valuable resource for Vietnam Electricity Group, for the socio-economic development of the North. We retain energy in hydroelectric reservoirs. For other fuels, we have developed a scenario for the most expensive power source, which is a FO oil plant. We have developed a scenario for the most expensive plant, such as FO and DO oil. This year, Vietnam Electricity Group directed units, including the National Power System Control Center, to put into operation a new energy source, which is LNG. EVN is currently negotiating and signing a contract with a gas supplier to be able to run LNG at the Southeast factory on April 15. For the first time, we will run LNG to generate electricity in 2024. As one of the solutions of Vietnam Electricity Group, I consider this an effective solution, we will have an additional source of electricity for the country. For coal-fired thermal power and gas turbines, EVN itself as well as non-industry units, with the close direction of the Ministry of Industry and Trade and the Electricity Regulatory Authority, have reviewed and prepared spare materials to make the most of both coal fuel and the available tasks of the generators. Currently, coal accounts for 50% of output, if there is any problem, it will be very affected. The Electricity Regulatory Authority has sent many delegations to work with localities and power plants to review technical management work to make this possible. For A0, we have some solutions. We coordinate with the Northern Power Corporation to review small hydropower plants. Although the capacity is small, the total capacity of small hydropower plants is up to 5,000 MWh in this Northern region. With a total of nearly 300 small hydropower plants, we also work with the Northern Power Corporation to shift peak hours to generate electricity at the time when customers use the most electricity, as Mr. Lam sent to readers at the beginning of the meeting. For May, June, and July, we have another clearly visible customer demand from 9:00 p.m. to 11:00 p.m., which is very high during the day. We will adjust nearly 300 small hydropower plants to generate electricity at that time. This is a huge amount of work but I think we can do it. We have this experience, we also coordinate with the Northern Power Corporation, we will do this. For other tasks, we coordinate with VNPT, Division A to transmit the maximum amount of electricity from the Central region to the North, in the context that we have 2 500 KV lines. We make the most of these 2 circuits to transmit capacity and output to the North, meeting the load of the North. This is a difficult task, we have to monitor 24/24, set alarms to be able to warn ourselves when the transmission capacity reaches its threshold, advise your units that there is absolutely no need to repair the generators in May, June, July, including the Central and Southern regions, ready to do our best, if there is any problem we can also respond, any repairs will be transferred to another time, during the rainy season, we will repair the water. We coordinate with the Northern Power Corporation to calculate the load demand, give signals to save electricity, from there our colleagues go to work with customers so that we use electricity at the right time, right place, save electricity, at what time, at what time to bring the best efficiency for the economy. That is one of the very important solutions that we hope readers will join hands to overcome difficulties in ensuring electricity supply for the country.
As a locality that is forecast to face many challenges in providing electricity during the peak dry season this year, the Northern Power Company has recently proposed many solutions to ensure electricity supply for the dry season and the whole year 2024. Next, we would like to invite the representative of the Northern Power Company to share more specifically about the solutions that have been and will be applied to cope with the scenario of high electricity demand, sir? 
Mr. Tran Minh Dung
As shared by Mr. Lam and Mr. Trung, the Northern Power Corporation has also identified difficulties in electricity supply that will occur in the summer of 2024 in the Northern region, the area under the management and operation of the corporation. Therefore, since the end of 2023, the corporation has directed and supervised its member units to implement many solutions to ensure comprehensive electricity supply in the fields of construction investment, operation management, customer service business, and electricity saving. - In investment work, the Steering Committee for key projects of the corporation was established early and has always proactively monitored, supervised and focused on accelerating key projects to ensure power supply for new loads, prevent overload, and improve voltage for the EVNNPC grid. The Steering Committee held a meeting to closely monitor the progress of the projects, work directly with the leaders of the provinces/cities to remove obstacles, speed up the progress of the projects to promptly put them into operation to improve the capacity of the power system in the corporation. - In the work of technical management and grid operation, 100% of the units in the corporation must arrange and implement testing, repair equipment, lines, ... deploy maintenance work, implement projects to improve reliability, reduce incidents on the grid, especially before the hot season to ensure maximum limitation of equipment incidents in the harsh hot working conditions of the summer in the North. - Identifying key tasks in load management when the supply situation is warned to have many difficulties in hot weather, especially when extreme weather can cause local power shortages at some peak hours on days with very high temperatures, as electricity demand increases sharply, our power companies have "sticked" to the local Department of Industry and Trade to "finalize" the list of important loads to ensure power supply according to the regulations of the Ministry of Industry and Trade, from which to develop operating plans in case the power system lacks power, and submit them to the Provincial People's Committee for approval. Sticking to the department, sticking to the local government, sticking to customers, sticking to the people to understand, share and deploy synchronous solutions to ensure power supply in difficult conditions has been resolutely implemented by us early and continuously. Joining hands and sharing in electricity supply between Electricity and Customers has been carried out in the past few years. By the end of 2023, about 4,000 business customers had signed a memorandum of agreement to participate in DR with the Northern Power Corporation. Using electricity economically, wisely and responsibly are the messages that we hope every individual, every family, every business, every unit, agency and organization will implement as a habit, regularly and continuously, which will be a lifeline solution to help EVN reduce difficulties in electricity supply. - We have also set a target to strive for: The Corporation ensures a minimum saving target of 2% (striving to reach 2.2%) of total electricity consumption; signs a memorandum of commitment to save electricity for 100% of customer groups before April 30 this year.
Dear representative of Thanh Hoa Department of Industry and Trade, can you provide some information related to ensuring safe and stable electricity supply and increasing electricity saving in 2024 and the following years of Thanh Hoa province? Mr. Pham Ba Oai
Thanh Hoa is aware of the Prime Minister's direction in the two telegrams No. 20 dated May 7, 2020 and No. 20 dated June 8, 2023. We are a unit of the specialized agency advising the provincial Party Committee. In 2023, we advised the provincial People's Committee on the plan and policy of the Prime Minister's Directive 20, and at the same time advised the provincial Party Committee office on strengthening electrical equipment. From the beginning of the year, we advised the provincial Party Committee on developing a plan for a list, we have been very proactive in using electricity economically throughout the system. In 2023, the maximum capacity will reach 1370 per day, the maximum is still more than 700, but we still ensure normal production. In addition to the Prime Minister's direction, Thanh Hoa has 209 customers in the top electricity users. The electricity company and we will convey the Prime Minister's messages as well as share the difficulties so that businesses can have production plans. For Thanh Hoa province, the response capacity is very timely, businesses must share with the state soon, share with the electricity industry, then the infrastructure is guaranteed. But for the electricity industry, we also share with businesses, ensuring continuity. The second issue, according to the Prime Minister's request, in state management agencies, we must save at least 10%, businesses, hospitals and schools at least 5%. I really agree with Mr. Vo Quang Lam's opinion that our energy consumption is very large, even double that of many countries, 4 times that of Japan, so saving is also a method of business growth or another solution I think there needs to be a communication campaign, exchange between businesses to people, to business customers. Let's join hands with the electricity industry, seriously implement the Prime Minister's directive and what we have done in 2023 and we set a goal for 2024, along with local solutions, hoping to ensure better.
Today, the discussion was also attended by representatives of the Electricity Regulatory Authority of the Ministry of Industry and Trade. Recently, the Electricity Regulatory Authority has coordinated with many working groups to review the contents of preparations to ensure electricity supply in the 2024 dry season. Mr. Nguyen The Huu, through the reviews and inspections, how do you assess the ability to supply electricity in the 2024 dry season? In addition, currently, power plants outside EVN account for 63% of the source capacity. How has the Electricity Regulatory Authority inspected and evaluated the operational capacity of power plants of these investors outside EVN? 
Mr. Nguyen The Huu
According to Mr. Nguyen Quoc Trung - Deputy Director of the National Power System Dispatch Center - or Mr. Tran Minh Dung, Deputy General Director of the Northern Power Corporation, the electricity supply situation in 2024, especially in the dry season in the North, is forecasted to face many difficulties due to the lack of additional power sources, severe weather developments, while the load growth is quite high. To meet the electricity demand in 2024, since the end of 2023, the Prime Minister as well as the leaders of the Ministry of Industry and Trade have directed agencies to deploy many solutions to ensure electricity supply. In particular, based on EVN's proposal, the Ministry of Industry and Trade has also approved the electricity supply and operation plan for the 2024 power system, the plan to supply coal and gas for production. As for the dry season in 2024, there was none in previous years, but this year the Ministry has approved a separate electricity supply plan for the peak months of the dry season. In the above plans, the Ministry of Industry and Trade has directed relevant agencies to deploy many solutions to ensure electricity supply. In the past, not only the Electricity Regulatory Authority, but also leaders of relevant departments and agencies have directly led delegations to inspect the dry season electricity supply situation at power generation, transmission and distribution units both inside and outside the EVN Group. In addition, we also noted that EVN itself has organized delegations to work with its affiliated units. We have participated in those delegations. We have also inspected units outside of EVN. Through working with power units, we have seen that the units have actively deployed solutions under the direction of the Ministry of Industry and Trade. Some of the results that Mr. Trung has discussed are that most of the hydroelectric reservoirs, especially the large hydroelectric reservoirs in the North, have been filled with water since the end of 2023 and are continuing to maintain high water levels in preparation for the peak dry season months of May, June, and July. Ensuring coal for power plants inside and outside EVN has been well implemented. Power generation, transmission, and distribution units have also actively reviewed machinery and equipment, proactively fixed defects when they arise, and increased inspection of power line corridors to minimize incidents. Power units have made many efforts to put power grid projects into operation on schedule. Importantly, companies and corporations have proactively reported to the People's Committees of provinces and central cities, and the Departments of Industry and Trade that have contact with customers to implement electricity saving programs according to Directive No. 20 of the Prime Minister on electricity saving in the period of 2023-2025. On March 28, based on the investigation report, the Minister of Industry and Trade issued Directive No. 05 on ensuring electricity in the dry season of 2024. Thus, through inspection, it was found that electricity units have been proactive in implementing solutions to ensure electricity supply for the dry season and for the whole year of 2024. With the synchronous implementation of the above solutions, we assess that the electricity supply for customers' daily life in the dry season of 2024 is guaranteed. However, this guarantee is based on the scenario that everything goes normally, without any unexpected events. However, due to the high load, the water flow in the peak months of the dry season shows signs of being lower than the average of many years. Therefore, balancing electricity supply in the peak months of the dry season this year is expected to face many challenges, especially when there is continuous heat and incidents at many thermal power plants at the same time. In such conditions, to proactively deal with these dangers, in addition to the efforts of the electricity industry, we look forward to the cooperation of electricity customers in participating in electricity saving programs, participating in electricity load adjustment programs, proactively shifting non-urgent electricity needs out of peak hours to reduce the pressure on electricity supply during those peak hours.
Mr. Nguyen The Huu, on March 28, Minister of Industry and Trade Nguyen Hong Dien issued Directive No. 05/CT-BCT on ensuring electricity supply during the peak dry season months of 2024. In particular, local electricity agencies are required to coordinate with the Departments of Industry and Trade of provinces nationwide to promote propaganda about the 2024 electricity supply plan and difficulties in supplying electricity to the national power system, especially for the North. Sir, how do you evaluate the role of the Departments of Industry and Trade in this issue? Mr. Nguyen The Huu
The purpose of implementing energy saving and efficiency is to reduce costs for society, for electricity customers, and at the same time improve energy efficiency in particular as Mr. Vo Quang Lam mentioned, thereby improving the efficiency of the economy in general. In the long term, using electricity economically and efficiently is also a solution to reduce the use of fossil energy sources, contributing to environmental protection. In the current conditions, implementing energy saving and using electricity effectively and reasonably also contributes positively to reducing the pressure on electricity supply in conditions of limited power sources. The Departments of Industry and Trade play a very important role in advising on local electricity supply. In addition to advising the leaders of the People's Committees of provinces and cities to direct the work of energy saving, they also supervise the implementation of the work in the locality in accordance with the law, because the Departments of Industry and Trade have the closest grasp of the situation of electricity supply and use in the locality. Personally, I think the role of the Department of Industry and Trade in this issue is extremely important.
Dear Mr. Nguyen Tien Thoa, we have just discussed many stories about electricity supply from the SUPPLY side. As for the demand side, VietNamNet readers sent a question to expert Nguyen Tien Thoa. At the beginning of the year, the Ministry of Industry and Trade sent a document to EVN requesting the urgent development of a 2-component electricity price mechanism, including capacity price and electricity price, and at the same time, develop a roadmap and propose customers to apply this 2-component electricity price. Can the expert tell us the difference between the proposed 2-component electricity price and the 1-component electricity price that Vietnam has been applying for a long time? 
Mr. Nguyen Tien Thoa
Regarding the two-component electricity price, we have studied that many countries in the world have applied it, mainly for production and business customers, and some places have applied it for household electricity. The two-component electricity price includes electricity price based on capacity and electricity. Currently, we are applying the one-component electricity price list, which is the electricity price list calculated based on electricity. Regarding the electricity price based on capacity, we already know that the price is determined to pay the electricity supplier. The electricity price based on electricity is the price of a unit of electricity determined to pay the electricity supplier. The difference is that the one-component electricity price list based on electricity mainly covers the variable cost of raw materials. The two-component electricity price also includes fixed costs such as asset depreciation costs, repair costs, salary costs, etc. The one-component electricity price list does not fully reflect the impact on electricity production, but the two-component electricity price list is the opposite when it fully reflects investment costs and operating costs, on the basis of which electricity consumption is paid to ensure that investment. Along with that, it also has the effect of sending signals so that electricity users know how they use electricity to adjust their electricity usage behavior for efficiency. I know that the Ministry of Industry and Trade has assigned EVN to study the two-component electricity price list. I also had the opportunity to study in Thailand and China. When people adjust electricity prices, customers almost never complain because the fixed costs remain the same and are transparent. Currently, we are conducting a pilot study to assess its impact and demonstrate the difference between the two options. Especially for consumers, there will be an opportunity to evaluate and compare the two options in terms of price difference when using electricity. I think we need such a pilot period to evaluate, summarize and widely replicate if it is really effective.
Can you elaborate further because corporate clients are very interested in this? Mr. Nguyen Tien Thoa
First of all, we understand the two-component electricity price like that. I think the two-component electricity price has three effects: First, the two-component electricity price will send signals to the manufacturer to ensure compensation for material costs and operating costs. In addition, electricity users know their electricity usage costs to adjust their electricity usage behavior to be most effective and economical. Second, it contributes to encouraging customers to use electricity effectively, thereby improving the load factor, saving electricity consumption. Third, like the current one-component electricity price, high registered capacity but low usage is also not good. The two-component electricity price helps balance the load for the system. This mechanism helps households using electricity to use more stably, and the loads are also more stable at all times.
Also related to the two-component electricity price, it is known that VCCI once suggested applying a two-component electricity price mechanism. Mr. Nguyen Minh Duc, can you tell us why it is necessary to apply a two-component electricity price mechanism? 
Mr. Nguyen Minh Duc
The two-component electricity price includes the capacity price and the electricity price. It is quite similar to the fixed telephone price, that is, a fixed amount called the monthly subscription fee, even if there is no call, called the capacity price. The second part is calculated based on the amount of electricity consumed, called the electricity price. Currently, the electricity price is calculated by including both of these components, but is only multiplied by the electricity consumed. This mechanism is fairer, because it accurately reflects the cost to serve each customer, which is the cost of the power line, transformer station and electricity cost. For example, two customers using electricity are a restaurant and a factory. The factory operates 24/7, and the electricity consumption is stable. The restaurant only uses a lot of electricity during lunch and dinner. If the electricity output of both sides is the same, then the maximum capacity of the restaurant is larger, so the power line and transformer station must be prepared with a larger capacity, and the cost is greater. Its impact, first, will reduce cross-subsidy between customers. Cross-subsidy is an issue that many people are concerned about. Resolution 55 also says that cross-subsidy needs to be reduced. Reduce the situation where one customer has to subsidize another. Second, it is to avoid customers who register large capacity and then do not use it. For example, a factory registers large capacity, requires the electricity company to prepare power lines and transformer stations, but the project is behind schedule, and does not consume electricity for many years. The cost of power lines and transformer stations in these years is wasted. This cost is then passed on to other customers. In addition, price adjustments will be more flexible, because electricity prices fluctuate greatly, while investment costs fluctuate more slowly.
In the context of Vietnam's electricity industry, how should the roadmap for applying the two-component electricity price mechanism be carried out? Mr. Nguyen Minh Duc
The two-component electricity price is not a new proposal. Since 2013, the Government has requested the application of a two-component electricity price mechanism and assigned the Ministry of Industry and Trade to prepare a roadmap for application for the Prime Minister's approval. The Ministry of Industry and Trade has also studied this issue, although it has taken a long time. The Ministry is currently revising the Prime Minister's Decision 28/2014 on the electricity price structure table. During the revision process, the issue of two-component electricity prices has also received great attention from ministries and branches. The Ministry of Industry and Trade has also explained that it is urgently preparing for this and has a plan to comprehensively and fundamentally revise Decision 28. This revision will temporarily handle issues that are of public concern. In the immediate future, if there are any changes, they will be made to non-residential customers first. Household customers will probably be in the next stage. But even if it only affects non-residential customers, it is still a major change that can affect millions of customers. Perhaps it is necessary to pilot the new customer mechanism in a few places for a period of time to record customer feedback.
A question to the representative of Northern Electricity. Sir, how can Northern Electricity customers join hands with the Northern electricity industry to reduce the pressure on electricity supply during the upcoming peak heat waves? Mr. Tran Minh Dung
As I shared above, certainly without the cooperation of customers, people, businesses, and the government, it would be difficult for us to "get through this year's heat wave". Certainly in the extremely difficult situation as the delegates shared, the slogan must be translated into practical action, that is: saving and saving, "tightening the belt", "eating sparingly", then the pressure on electricity supply during the peak heat wave in the North will be relieved. Through this forum, the Northern Power Corporation respectfully hopes that local authorities will be the bridge between the electricity industry and customers, focusing on directing and propagating individuals, organizations, local departments and branches in the work of saving electricity, managing load demand according to the Prime Minister's instructions. The joint support of customers and businesses in reducing load during peak hours plays a very important role in ensuring electricity supply in the summer of 2024 in particular and the period 2024-2030 in general.
Also related to the question of electricity customers, VietNamNet Newspaper received many questions about why the electricity industry always mentions the proper use of air conditioners when promoting electricity saving. Mr. Nguyen Quoc Dung, Head of EVN Business Department, how much electricity does air conditioner consume and how much does it increase the electricity bill? What does it mean to use air conditioners properly, can you explain more clearly? 
Mr. Nguyen Quoc Dung
As we know, during peak hot weather, the demand for cooling devices often increases, of which the most popular is air conditioners (ACs), used by many agencies, organizations, businesses and people. At this time, ACs often consume 50-70% of the total electricity demand in households. For example, if a household uses an AC with a capacity of 1,200BTU equivalent to 1.2kW, and the household uses it for 6 hours a day, it will consume 216 kWh of electricity per month, corresponding to an electricity bill of 540,000 VND (approximately 2,500 VND/kWh). Each household uses an average of 2 ACs (12,000BTU type), so the monthly electricity bill has increased by 1,080,000 VND for cooling purposes. Thus, during the hot season, the electricity bill is often higher than the rest of the time (can be double, triple or even quadruple) due to the increased demand for electricity for air conditioning, depending on the number of air conditioners, capacity and time of use... the more air conditioners are used, the more electricity is consumed and the electricity bill will increase. Thus, using air conditioners properly will help us save a lot of money and increase the life of the equipment. To use air conditioners properly, effectively and economically, we should note some of the following ways of use: 1. Choose air conditioners with inverters and comparable energy efficiency (the more stars, the more economical) or energy star labels (can be 15-30% more economical than normal air conditioners). 2. Choose the air conditioner capacity suitable for the room area, for example; Area less than 15m2, we install 9,000BTU, from 15-20m2 install 12,000BTU; 20-30m2 install 18,000BTU,... 3. Install the hot block in a cool place, with shade/sunshade to increase the working efficiency of the DHKK machine. 4. Periodically clean every 3 or 6 months, especially before the hot season, to help the air conditioner work better (save 10-15%). 5. Set the air conditioner temperature from 26 degrees Celsius during the day and from 27 degrees Celsius at night (increasing by 1 degree Celsius will save 3% of power consumption). 6. Use additional directional fans to increase the diffusion of cool air in the room faster, helping the air conditioner save more electricity. 7. Regularly close the room doors and windows to avoid heat loss. You can turn off the air conditioner 30 minutes to 1 hour before not using it, the room will still have enough cool air, but save electricity.
Next, I would like to mention another story related to electricity usage during the hot season that is mentioned every year at this time. That is the story of encouraging business customers to limit the use of electricity during peak hours and switch to off-peak hours. Mr. Nguyen The Huu, what is your assessment of this solution and what issues need to be improved in the implementation over the past time? Mr. Nguyen The Huu
Encouraging customers to shift their load demand from peak hours to other hours is implemented through load adjustment programs. This is one of the load management programs. Load management programs help enhance the role of electricity users in ensuring electricity supply. By providing customers with information about the current electricity supply, customers will proactively adjust their load or shift their demand from non-urgent to other times, thereby ensuring better electricity supply. The Ministry of Industry and Trade also issued a Circular guiding units to implement this load adjustment program. Recently, the electricity load center has also made certain adjustments. First of all, electricity customers have initially understood the importance of themselves in balancing supply and demand, and understanding the differences in electricity loads at different time frames. Many customers have proactively participated in load adjustment programs. We appreciate such contributions. On the side of the power units, there has been communication and support with customers. On the side of state agencies, reducing peak hour capacity will benefit many parties, from customers to society in general. The implementation of electricity load adjustment also needs to be improved and supplemented to best promote the role and potential of this solution. In the coming time, we will continue to research and coordinate with related sectors to build and perfect electricity load adjustment.
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