Ministry of Industry and Trade proposes electric vehicle charging stations to be paid for at business electricity prices

In the draft decision on the new retail electricity price structure, replacing Decision 28/2014 sent to the Ministry of Justice for appraisal, the Ministry of Industry and Trade proposed 3 options on electricity prices for electric vehicle charging activities.

Option 1: The retail electricity price structure for electric vehicle charging stations and poles is built on the basis of electricity prices reflecting the electricity production costs that electric vehicle charging stations/poles cause to the power system.

The Ministry of Industry and Trade believes that the advantage of this plan is that the retail electricity price structure is built on the basis of electricity prices reflecting the cost of electricity production that electric vehicle charging stations/posts cause to the electricity system, thus ensuring cost allocation to electricity customers.

Many proposals related to electricity prices at charging stations for electric vehicles

However, this plan must add a new customer group to the retail electricity price structure. Meanwhile, other customer groups are still implemented according to the roadmap so that electricity prices reflect costs (prices for production are still lower than the allocated price reflecting costs; prices for business are still higher than the allocated price reflecting costs).

Option 2 is to apply the electricity price for electric vehicle charging activities at the business price. The Ministry of Industry and Trade assesses the advantage of this option as it does not require adding a new subject to the current retail price structure. However, the disadvantage is that it may impact the electric vehicle development policy by increasing the cost of charging electricity.

Option 3 is based on the electricity production price. This option also does not require adding a new subject to the current retail price structure and may impact the electric vehicle development policy by increasing the cost of charging.

Previously, when giving comments on this draft decision, Vietnam Electricity Group and Hanoi Electricity Corporation also proposed that the electricity price at electric vehicle charging stations should be calculated at the same price as business electricity; Vietnam Association for Consumer Protection proposed to consider regulating the retail electricity price ratio for electric vehicle charging stations/posts to be equal to the retail electricity price ratio for other businesses; The Ministry of Transport proposed to apply the retail electricity price for electric vehicle charging stations to be similar to the retail electricity price for the manufacturing industry to promote the green energy transition and reduce emissions...

Commenting on the draft, Vinfast Trading and Service Company Limited stated that the Government has issued a number of policies to promote the development of electric vehicles in Vietnam. Electric vehicles are a necessary solution to contribute to reducing greenhouse gas emissions and improving air quality, aiming towards the commitment of net zero emissions by 2050 at the COP26 conference. And charging station infrastructure is a prerequisite in this electric vehicle development strategy. Issuing a reasonable electricity price for electric vehicle charging stations/posts will directly reduce operating costs for vehicle users, increase the competitiveness of electric vehicles with gasoline/diesel vehicles to encourage vehicle users to gradually switch to this vehicle. From there, Vinfast proposed that the Ministry study and consider adjusting the retail electricity price list for electric vehicle charging stations/posts to be equivalent to the retail price for manufacturing industries.

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