The power shortage will be resolved.

Mr. Do Thang Hai acknowledged that some areas lack electricity for production and daily life, but stated that the situation would be resolved and hoped for understanding.

Many areas in Hanoi have experienced emergency power outages in recent days due to a surge in consumption. At a press conference on the afternoon of June 3rd, the risk of electricity shortages for production and business was raised with leaders of the Ministry of Industry and Trade .

"We talk about the risks, but the reality is that in some places there is a shortage of electricity for production and daily life," said Mr. Do Thang Hai, Deputy Minister of Industry and Trade, at a press conference.

Deputy Minister of Industry and Trade: Electricity shortage will be resolved.

Mr. Do Thang Hai, Deputy Minister of Industry and Trade, answers questions at a press conference on the afternoon of June 3rd. Photo: Nhat Bac

Leaders of the Ministry of Industry and Trade expressed their sympathy and shared understanding of the difficulties faced by businesses and the inconvenience and hardship experienced by people in their daily lives due to the power outage. However, Mr. Hai stated that the power outages in Hanoi and some other localities in recent days "only lasted for a certain period of time."

He stated that the power shortage stemmed from the record-breaking hot weather across the country, which has been unpredictable and prolonged since the beginning of May. The heat has increased the demand for electricity for households. Meanwhile, hydropower – one of the main sources of electricity supply for the North this year – has been operating at a low capacity due to very low water levels in reservoirs, affecting electricity supply during the dry season. Imported coal also arrived later than needed for electricity production at the end of May.

However, representatives from the Ministry of Industry and Trade still believe that, with a total power generation capacity of approximately 81,504 MW and a peak load demand of 44,000 MW, if thermal power plants operate without malfunctions and hydropower plants have sufficient water, the electricity shortage will be overcome.

In addition, Mr. Tran Van Son, Minister and Head of the Government Office, reiterated the Prime Minister's directive at numerous meetings to ensure there are no electricity shortages in May, June, and the coming months.

Along with solutions for supplying coal (domestic and imported), gas, oil, and increasing the mobilization of renewable energy, and with peak consumption reaching over 54.3% of the total installed power capacity, Mr. Son said, "we can rest assured that there is enough electricity; the remaining issue is the use and operation of the system."

In light of the aforementioned difficulties, authorities have proposed three solutions to ensure electricity supply. First, they aim to increase the operation of the power system, mobilize available power sources, and ensure the availability of fuel (coal, oil, gas) for supply.

For example, the Ministry of Industry and Trade allocated 300,000 tons of coal for power generation in May and 100,000 tons of coal in June and July. In addition, the amount of gas supplied for electricity production in the Southeast region was 18% and in the Southwest region was 8%.

The second solution is to accelerate the commissioning of transitional renewable energy power plants (wind and solar power) that do not yet have established tariffs. As of May 31st, seven projects with a total capacity of over 430 MW were generating electricity for the grid.

Finally, there's the issue of electricity conservation. Deputy Minister Do Thang Hai stated that this is a consistent policy implemented for many years, not something to be done only when there's a shortage. In the current context, conservation is even more necessary, and 53 localities have committed to intensifying efforts. The amount of electricity saved each day is approximately 20 million kWh, equivalent to 2.5% of consumption.

Regarding the resolution of wind and solar power projects not included in the plan, Deputy Minister Do Thang Hai stated that the Power Development Plan VIII, approved by the Prime Minister, does not list specific wind, solar, or offshore power projects, but only outlines the total capacity for the development of these power sources by 2030, with a vision to 2050. The Ministry of Industry and Trade is finalizing regulations and establishing a framework to serve as a basis for implementing these projects in the future.

For transitional projects, EVN is working with investors to expedite price negotiations according to the price framework issued by the Ministry. He noted that resolving difficulties for projects that did not benefit from the previous FIT price is necessary, but in addition to the electricity pricing mechanism, other regulations such as planning, investment, land, and environment must also be complied with.

"With goodwill, a balance of interests and risk sharing, and adherence to the law, we hope these projects will soon overcome obstacles, difficulties, and violations. Local authorities will also support these projects to quickly bring them into operation and ensure electricity supply," Mr. Hai said.

Currently, 59 out of 85 projects have submitted applications for interim price negotiations and power purchase agreements (PPAs). 40 projects have been approved by the Ministry of Industry and Trade with an interim price equal to 50% of the ceiling price within the price range, i.e., a maximum of 908 VND per kWh (excluding VAT). However, 26 power plants (1,346 MW) have yet to submit applications to EVN for electricity price negotiations.

According to Anh Minh/VNE

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