Electricity price increased by 4.8%, businesses seek to adapt, Royal Vietnam Investment Joint Stock Company,

From May 10, 2025, the average retail electricity price has officially increased from VND 2,103.11 to VND 2,204.07/kWh (excluding VAT), equivalent to an increase of 4.8% according to the decision of Vietnam Electricity Group (EVN). This is the fourth electricity price adjustment since 2023, creating significant pressure on many production and business enterprises...

Khoai Chau Power Company staff inspect the transformer station at Royal Vietnam Investment Joint Stock Company, Tan Dan commune (Khoai Chau).

Royal Vietnam Investment Joint Stock Company, which specializes in manufacturing ceramic tiles in Tan Dan Commune (Khoai Chau), is clearly affected by the adjustment of electricity prices. As the unit with the largest electricity consumption in Khoai Chau District, the company has to pay about 2 billion VND per month for electricity costs. According to Mr. Nguyen Anh Vu, the company's director, electricity costs previously accounted for about 8% of the total product cost, but after the electricity price increase, this rate increased to 12%.

“Raw material prices and labor costs have both increased, and now the increased electricity prices have put a lot of pressure on businesses. However, we decided not to increase product prices because this would affect our competitiveness. Instead, we focus on improving technology and optimizing costs to maintain production and retain customers,” Mr. Vu shared.

One of the solutions applied by the company is to adjust production hours, prioritizing machine operation during off-peak and mid-peak hours, when electricity prices are cheaper. Along with that, the company has increased investment in modern machinery systems, using inverter technology to save energy, replacing old equipment that consumes a lot of electricity.

In particular, the ball mill, which accounts for 65% of total electricity consumption, is operated at maximum during off-peak hours to limit the impact of rising electricity prices. Currently, the company produces about 270,000 - 300,000m² of tiles each month, with a huge demand for electricity, so controlling electricity costs is a top priority.

In addition, in 2024, the company also invested in installing a 1.5MW solar power system. However, this system only meets about 10-15% of the actual electricity demand and the price of solar power is not really competitive.

Not only Royal Vietnam Investment Joint Stock Company, many other businesses are also having to flexibly adapt to the situation of increasing electricity prices in many ways, such as: Increasing labor productivity, automating production, controlling losses, saving operating costs...

For the steel industry, electricity is considered one of the main energy consumption indicators in the production process. Therefore, every time electricity prices increase, businesses in the industry face pressure to increase production costs.

On average, Minh Ngoc Steel Pipe Company Limited (Van Lam) uses 3 - 4 million kWh of electricity per month. Therefore, the company has identified energy saving as a very important solution to reduce the pressure of price increases. Mr. Dong Anh Tuan, Deputy Director of the Company, said that since the construction of the factory, the company has divided the electricity usage system from the main transformer station to the factories. The factories have different times of electricity usage, so they can proactively cut down on electricity without affecting other production lines. Priority is given to using improved equipment and motors to increase productivity. The lighting and cooling systems are all used with energy-saving devices. At the production workshops, instead of using high-power light bulbs, the company installs corrugated iron roof panels to get natural light during the day. The company proactively implements load adjustment programs according to the advice of Hung Yen Electricity. Establish a specialized department responsible for closely monitoring the practice of energy saving...

Hoa Phat Animal Feed Company (Van Lam) hired an energy auditor to evaluate and propose effective electricity saving solutions.

Hoa Phat Animal Feed Company (Van Lam), the enterprise has invited units with high capacity and qualifications to audit electricity, thereby evaluating and proposing energy saving solutions for the unit. At the same time, the enterprise also upgraded and renovated production lines, increased productivity as well as equipment efficiency, applied technology and science, changed equipment with better energy saving capabilities to thereby increase the economic growth of the enterprise, but still maintain product quality.

Faced with the pressure of increasing electricity prices, businesses are looking for ways to save electricity. Hung Yen Electricity Company recommends that customers using electricity for production should invest in modern, high-performance and energy-saving equipment such as "Energy Star" standard equipment; replace incandescent lamps with LED lamps; utilize renewable energy by installing solar power systems to reduce electricity costs and take advantage of free energy sources; manage electricity usage during off-peak hours...

Huong Giang - Duong Mien

Source: https://baohungyen.vn/gia-dien-tang-4-8-doanh-nghiep-tim-cach-thich-ung-cong-ty-co-phan-dau-tu-royal-viet-nam-3181143.html