Deputy Minister of Industry and Trade: 'There will be no power shortage this year'

Deputy Minister Nguyen Sinh Nhat Tan said this year there will not be a repeat of last year's power shortage in the North.

Last year, the power shortage that occurred in the North in the second half of May and early June had many impacts on the production and business of enterprises. Some industrial zones at that time cut off power with advance notice, with a frequency of 1-2 times a week. Meeting the Prime Minister on March 19, some foreign business representatives called this incident serious and asked the Government to have a plan to ensure power supply.

At the regular press conference of the Ministry of Industry and Trade on the afternoon of March 29, Deputy Minister Nguyen Sinh Nhat Tan said "this year there will be no power shortage like in 2023 and the supply will be guaranteed in the coming years".

Learning from last year’s experience, the Ministry of Industry and Trade and the Vietnam Electricity Group (EVN) have innovated their electricity management plans. The Ministry has also developed plans for the supply of raw materials and fuel for electricity production, including a separate plan for the peak months of the dry season, to ensure supply.

Deputy Minister of Industry and Trade Nguyen Sinh Nhat Tan. Photo: VGP — Deputy Minister of Industry and Trade Nguyen Sinh Nhat Tan. Photo: *VGP*

Previously, at a discussion on March 19, EVN leaders said that the group will increase the mobilization of high-priced electricity sources and renewable energy so that there will be no power shortage this year. Specifically, EVN will increase the purchase of coal power by about 145%, wind power by 25% and solar power by 19% compared to last year.

According to the Ministry of Industry and Trade, electricity production and distribution grew by 11.97% in the first quarter of the year, higher than forecast. However, widespread severe heat caused by El Nino may put pressure on adequate electricity supply in the coming months.

To ensure supply, the Ministry of Industry and Trade said the electricity sector will focus resources on completing power source and grid projects, especially ensuring the progress of the 500kV line 3 Quang Trach - Pho Noi project to bring electricity to the North.

The Ministry also monitors electricity demand, weather and hydrological developments to respond to scenarios for each quarter and month of 2024. In addition, the agency is speeding up the completion of mechanisms to remove difficulties, promote investment in renewable energy, or the direct power purchase mechanism (DPPA). This is to ensure electricity supply in all situations, avoiding power shortages.

Hanoi Electricity workers repair a problem during a power shortage in the North, June 2023. Photo: EVNHANOI — Hanoi Electricity workers repair a problem during a power shortage in the North, June 2023. Photo: *EVNHANOI*

Regarding the proposal to allow businesses to decide on their own retail gasoline prices in the new draft decree of the Ministry of Industry and Trade, Ms. Nguyen Thuy Hien, Deputy Director of the Domestic Market Department, said that this regulation aims to bring domestic fuel prices "closer to the market".

"The State will provide a general price calculation formula, from which key enterprises will set their own maximum selling prices. The retail price to consumers will not be higher than this ceiling," said Ms. Hien.

Regarding the Petroleum Price Stabilization Fund, a representative of the Ministry of Industry and Trade admitted that recently this fund has revealed many shortcomings, so it is necessary to change the management and operation regulations.

Deputy Minister Nguyen Sinh Nhat Tan added that the Ministry of Industry and Trade will seek opinions on whether to abolish or maintain the Petroleum Stabilization Fund before submitting it to the Government for decision.

Phuong Dung

Source link