Don't let people and businesses worry about electricity

Prime Minister Pham Minh Chinh chaired a meeting of the Government Standing Committee on ensuring electricity supply in 2024. Photo: VGP

Electricity supply for 2024 will be basically guaranteed.

According to forecasts, electricity consumption demand during this year's dry season (May to July) is expected to grow very strongly (up to 13%, much higher than the planned 9.6%), with the North alone projected to see a record increase of 17% compared to the same period in 2023.

Given the unfavorable hydrological conditions in the first three months of the year, in order to achieve the goal of maximizing water conservation in hydropower reservoirs, thermal power sources, especially coal-fired power plants, have been heavily utilized to meet load demand; at the same time, electricity transmission from the South and Central regions to the North has been strengthened.

The Ministry of Industry and Trade stated that, despite higher-than-expected electricity demand, the national power system met actual electricity needs during the first three months of the year, especially during the New Year and Lunar New Year holidays. In the first quarter of 2024, cumulative electricity production reached 69.34 billion kWh, an increase of 11.77% compared to the same period in 2023; average daily electricity production reached 762 million kWh, an increase of 10.4% compared to the same period in 2023.

To ensure electricity supply in 2024, especially during the peak dry season, starting in November 2023, the Ministry of Industry and Trade, in coordination with the Vietnam Electricity Group (EVN) and relevant ministries, agencies, and units, developed an electricity supply plan for 2024; developed electricity distribution plans; scenarios for balancing electricity production; balancing the capacity of power plants; implemented solutions for operating power plants; and promoted investment projects for the construction of power projects.

In addition, closely monitor the supply of coal and gas for power generation; organize working groups to review the preparation for electricity supply during the dry season at power generation, transmission, and distribution units; and accelerate the progress of the 500 kV Quang Trach – Pho Noi transmission line project to ensure timely electricity supply during peak months.

Based on that, the Ministry of Industry and Trade affirms that electricity supply for 2024 will be basically guaranteed.

Electricity prices must be fair, subject to healthy competition, and regulated by the State.

In his concluding remarks, Prime Minister Pham Minh Chinh requested that ministries, localities, businesses, and relevant entities, based on their functions, duties, and powers, develop response plans for all situations, including the worst-case scenario; demonstrate the highest level of responsibility, maintain composure and calmness in the face of difficulties and challenges; accurately forecast and assess the situation and response capabilities, review data to ensure accuracy; and propose flexible, reasonable, timely, and effective tasks and solutions.

To prevent people and businesses from worrying about electricity, the Prime Minister emphasized and clearly outlined the tasks and solutions for each stage in ensuring electricity supply.

Regarding power sources, it is necessary to calculate and ensure electricity supply for all regions, paying attention to peak months in the North (May, June, July, especially with the projected load increase in June of approximately 2,500 MW). Diversify power sources, review all available sources, and promote large-scale power generation.

To ensure fuel (coal, water, oil, gas) for electricity production, coal-fired power plants should purchase as much domestically produced coal as possible, minimizing imports (this both promotes domestic production and business, creates livelihoods and jobs for the people, saves foreign currency in the current context, and prevents corruption). Coal corporations and companies should maximize their mining operations. The Ministry of Agriculture and Rural Development should coordinate with agencies operating hydropower reservoirs to conserve water and maintain the highest possible water levels to meet demand during peak months. The Vietnam Oil and Gas Group should ensure the supply of gas and oil for electricity production.

The Ministry of Industry and Trade develops monthly electricity supply plans; directs the operation of power plants to ensure overall balance, overall benefits, and to guarantee the minimum capacity of power plants.

Regarding mechanisms and policies for electricity trading, the Ministry of Industry and Trade and related agencies are urgently finalizing and submitting to competent authorities for promulgation mechanisms and policies for direct electricity trading between power generation units and large electricity consumers; mechanisms to encourage the development of rooftop solar power installed in residential houses, offices, and industrial zones for self-production and self-consumption; mechanisms and policies for the development of gas-fired and offshore wind power; and policies for waste-to-energy and biomass power…

Regarding power transmission, the Prime Minister requested that the 500 kV circuit 3 be completed immediately, with each stage reviewed to ensure progress and definitively completed before June 30th; he also requested that provincial leaders strengthen inspection, supervision, and encouragement of officials and workers on the construction site to work through holidays and weekends.

Regarding electricity prices, the Prime Minister requested that agencies and units implement them according to regulations and authority, with a suitable roadmap, avoiding abrupt changes; the electricity sector should promote cost savings, strengthen the application of digital transformation, increase competitiveness, and reduce compliance costs for people and businesses. Electricity prices must be appropriate, have healthy competition, and be regulated by the State.

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