Import more than 26 million tons of coal for electricity production in 2024

Coal demand for electricity production in 2024 is more than 74.3 million tons, but domestic sources can only meet 65%, the rest must be imported.

According to the coal plan for electricity production in 2024 just approved by the Ministry of Industry and Trade , investors of power plants must arrange more than 74.3 million tons of coal for electricity production next year, of which the amount of coal to be imported is over 26 million tons.

That means domestic coal supply from Vietnam National Coal and Mineral Industries Group (TKV) and Dong Bac Coal Corporation can only supply more than 48.2 million tons of coal for electricity production next year.

To have enough coal for electricity production next year, the Ministry of Industry and Trade assigned investors to diversify imported coal sources, buying to compensate for the amount of coal that TKV and Dong Bac Coal Corporation cannot supply, except for BOT power plants using domestic coal with coal supply contracts guaranteed by the Government . Every month, enterprises report to the management agency on coal supply and reserves for electricity.

Factories are also fully responsible for arranging legal coal sources with technical specifications suitable to the factory's technology (except for BOT factories). This is to ensure sufficient and stable supply of coal for the factory's operations at competitive prices.

"In all cases, there must be no disruption in coal supply or shortage of coal for electricity production," the Ministry of Industry and Trade requested.

In addition to Australia and Indonesia - the main coal import markets of Vietnam, coal imports from Laos are also taken into account. According to the memorandum of understanding on cooperation in the coal sector between Vietnam and Laos signed in July, each year Vietnam will import about 20 million tons of coal from Laos, depending on actual market conditions and the needs of each side.

However, in order to have competitive prices for coal imported from Laos, at the conference on promoting cooperation in coal trading from Laos on December 9, Minister of Industry and Trade Nguyen Hong Dien requested the Lao Ministry of Energy and Mines and businesses to propose to the Lao Government to reduce coal export tax and related fees. This is to reduce the cost of Lao coal imported to Vietnam.

At the same time, Minister Dien asked Laos to speed up investment, upgrade or support businesses in infrastructure systems, warehouses, and coal transportation to Vietnam.

The leaders of the Ministry of Industry and Trade also assigned TKV and the Northeast Coal Corporation to propose a mechanism for importing (buying and selling prices) coal from Laos to Vietnam, to report to the Prime Minister . This includes solutions to improve coal receiving capacity and sign a contract in principle with Lao partners on import volume.

To have enough coal for electricity production next year, other corporations such as EVN and PVN will review and adjust their coal supply plans every quarter and report in the last month of the quarter. Enterprises need to build a monthly coal supply and reserve chart and send it to the Ministry.

TKV and Dong Bac Corporation restructure corporate finance and innovate technology to maximize the capacity to exploit, produce and process domestic coal for power generation.

Mr. Minh

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