Investing in power transmission projects still faces many difficulties.

With the miracle in constructing the 500 kV Line 3, EVNNPT has also gained a lot of experience because the number of power transmission projects in which this unit is the investor is very large and still has many challenges.

With the miracle in constructing the 500 kV Line 3, EVNNPT has also gained a lot of experience because the number of power transmission projects in which this unit is the investor is very large and still has many challenges.

According to the Report at the 2024 Year-end Conference and 2025 Plan Implementation of the National Power Transmission Corporation, the number of projects started in 2024 was low, only 27/40 projects started, equal to 67.5% of the plan assigned by EVN and equal to 79% of Resolution No. 181-NQ/DU of the Party Committee (34 projects).

At the same time, the number of energized projects in 2024 only reached 49/76 projects, equal to 64.5% of the plan assigned by EVN in 2024, equal to 77.8% of the Resolution (63 projects).

The objective reason summarized by EVNNPT leaders is that the implementation of EVNNPT's investment policy for power grid projects is currently facing many difficulties and obstacles in terms of policies and mechanisms.

The 500 kV line circuit 3 has created a new miracle in the implementation of power transmission projects. Photo: NPT.

Specifically, 220 kV and 500 kV power grid projects are included in the national planning (Power Planning VIII), however, the Planning does not accurately determine the construction location and land use area, so when provinces include them in the planning, they only include the list or determine the location, which may not be suitable for the scale and route requirements of the project's power lines.

“Currently, the People's Committees of the provinces do not agree to approve the investment policies of many projects because the projects are not in accordance with the provincial planning (the construction location of the station and the pole location have not been colored with energy land); not in accordance with the general planning, zoning planning, urban planning and district-level land use planning... In addition, for 220 kV and 500 kV transmission line projects passing through two or more provinces, the authority to approve the investment policy is the Prime Minister , so it is necessary to submit to many ministries, branches and localities to get opinions, leading to a prolongation of the time to approve the investment policy", commented Mr. Pham Le Phu, General Director of EVNNPT.

EVNNPT has been approved to increase EVNNPT's charter capital by the end of 2025 to VND 29,826 billion. 2024 is the 5th consecutive year that Fitch Ratings has assessed and continued to announce EVNNPT's credit rating as BB+, equal to the national credit rating and parent company EVN. EVNNPT meets the criteria to be classified as a type A enterprise.
In 2024, the electricity transmission price will be VND 83.07/kwh, with a pre-tax profit margin on equity of 2% (equivalent to pre-tax profit of VND 506 billion).

In addition, many regimes and policies related to land management, conversion of forest use purposes, conversion of rice-growing land use purposes, etc. have been amended and issued and come into legal effect, such as the 2024 Land Law, effective from August 1, 2024. However, the issuance of detailed regulations and instructions for the implementation of the Land Law by local departments and branches is still slow, causing many difficulties and problems in compensation and site clearance work.

Construction of column foundation of 500 kV line circuit 3. Photo NPT.

There are also situations where, when implementing some projects, contractors encounter financial difficulties, leading to failure to meet the required progress. Or for power lines that intersect with medium and high voltage lines supplying power to important loads or power sources, there are many difficulties when the Dispatching Department requires an agreement with the customer.

Regarding subjective causes, EVNNPT leaders also admitted that, in the investment preparation work, there were times when they were not resolute in urging consulting contractors to regularly contact ministries, branches, and localities to promptly explain the remaining issues in the process of appraising and approving investment policies for projects.

Power and transmission construction workers eat on the top of electric poles to save time. Photo: NPT.

For example, in 2024, to implement the 500 kV circuit 3 transmission line projects, EVNNPT must mobilize the maximum human resources to do compensation and site clearance work currently stationed at the Front Offices from the time of commencement until energization, thus not closely following up to resolve existing problems and obstacles, and promoting progress in other projects.

In addition, the coordination between relevant departments in handling bidding situations is sometimes not timely, so some bidding packages take a long time to process.

In 2024, despite many difficulties and obstacles in investment and construction, EVNNPT and its units have made great efforts to overcome difficulties to start construction and energize and put into operation important projects to serve the release of source capacity and ensure power supply such as: 220 kV lines circuit 2 Quang Ngai - Quy Nhon, Nha Trang - Thap Cham, phase 1, Nhon Trach 3 connection line; 220 kV Pho Cao transformer station, M2 220 kV Thai Thuy and Yen Hung transformer stations; installation of compensation capacitors for the power transmission grid in the Northern region...

In particular, EVNNPT was assigned to invest in the construction of the 500 kV line 3 projects with a very large scale with a total investment of over VND 22,356 billion, a huge amount of work, a scope spanning over 9 provinces and cities, and a very urgent progress requirement while similar projects in the past had to be implemented for 3-4 years.

EVNNPT has also selected contractors for 1,174 bid packages of all kinds with a total winning bid value of VND 25,468,085 billion, a savings rate of 4.37%.

Organized open bidding for 1,053 packages, reaching 100% in number of packages and accounting for 100% in value of the total open bidding packages.

In particular, the investment volume was very high, exceeding the target set by the Party Committee's Resolution and the assigned plan. The total construction investment value for the whole year is estimated at VND 30,045 billion, equal to 147.8% of the target set by the Party Committee's Resolution and the 2024 plan, of which net investment is VND 23,681 billion, equal to 165.6% of the target set by the Party Committee's Resolution and the 2024 plan.

EVNNPT has also deployed full and timely capital arrangements for construction investment projects with a total loan value of about 43,466 billion VND. In particular, it has signed loan contracts with 5 banks with a total amount of 15,644 billion VND, disbursed promptly and fully, contributing to ensuring the completion of the 3rd circuit project on schedule.

Regarding foreign commercial loans, EVNNPT has submitted to the Group for approval an AFD loan without a Government guarantee with a loan amount of 67 million EUR.

Also in 2024, EVNNPT's transmission output reached 246.66 billion kWh, up 10.76% over the same period in 2023 and up 5.46% over the 2024 plan.

The transmission output has a good growth rate, creating favorable conditions for the implementation of EVNNPT's main targets on revenue and contracted costs. The transmission grid operates safely and stably, especially for the 500 kV North - Central Line under extremely stressful operating conditions during the peak hot months to contribute to ensuring power supply in 2024.

The power grid managed by EVNNPT has reduced 11 incidents compared to 2023; EVNNPT also achieved 6/6 incident rate targets according to the plan assigned by EVN.

In 2025, EVNNPT's target is to start 34 projects; complete and energize 74 projects. The total estimated construction investment value is VND 20,670,913 billion, of which net investment is about VND 14,746,252 billion.
EVNNPT also committed to competing with EVN to speed up the energization of the following projects: Nghia Lo Transformer Station and Nghia Lo - Viet Tri 220 kV Line; Vinh Yen 500 kV Station and connecting line; Vung Ang 220 kV Station and connecting line.

Source: https://baodautu.vn/dau-tu-cac-du-an-truyen-tai-dien-con-nhieu-kho-khan-d239661.html