On the afternoon of October 7, the National Assembly discussed in the hall the draft revised Electricity Law, in which the issue of electricity prices was of interest to many delegates.
Cannot let this customer charge high price to compensate for lower charging group
Delegate Thach Phuoc Binh (Tra Vinh delegation) said that the draft law needs to supplement and clarify regulations on electricity price mechanisms, especially prices for different types of energy and for each region.
At the same time, build a flexible electricity pricing mechanism based on factors such as peak and off-peak times, geographical conditions and energy supply.
“This will encourage efficient and economical use of electricity during off-peak hours, ensuring consumers’ rights in accessing information about electricity prices and the electricity price adjustment process,” Mr. Binh analyzed.
In addition, electricity price adjustment should be public, transparent and subject to supervision by state management agencies.
Delegate Pham Van Hoa (Dong Thap delegation) proposed clarifying and supplementing specific regulations on ensuring the two-component electricity price structure and having a clear roadmap for eliminating cross-subsidy between customer groups. This is to ensure equality, market-based electricity prices, and encourage energy saving for production.
Mr. Hoa also agreed to implement two-component electricity prices (capacity and electricity price) to be clear, transparent and to end cross-subsidy between customer groups.
“We cannot let one customer pay a high price to compensate for another group paying a lower price. This will not encourage economical use and is unfair. Market-based electricity prices will avoid the Vietnam Electricity Group reporting annual losses due to having to compensate for the price difference. If you buy high, you have to sell high. You cannot buy high and sell low,” Mr. Hoa emphasized.
Not knowing when to get out of the "giant shadow" of EVN
Delegate Tran Huu Hau (Tay Ninh delegation) raised a series of controversial issues related to the electricity industry such as: Electricity prices, electricity trading, electricity generation and grid connection of factories outside EVN; cross-subsidy...
According to Mr. Hau, this situation has many reasons, but one fundamental reason is that "we do not have a competitive electricity market".
Delegates from Tay Ninh province cited the current Electricity Law, which stipulates that the competitive electricity market has 3 levels: Level 1 is the competitive electricity generation market; Level 2 is the competitive electricity wholesale market; Level 3 is the competitive electricity retail market.
According to Mr. Hau, these three levels are just the surface of the competitive electricity market. To have a truly competitive electricity market, there must be radical changes in the direction of truly separating the three key stages of the electricity industry. These are electricity generation, electricity transmission and national electricity system dispatch.
Along with that, clearly separate business from state management, business from implementing social security policies.
Mr. Hau expressed his impatience that after 20 years since the Electricity Law was enacted, the "heart" of the national power system, the national power dispatch center, has officially separated from EVN and transferred to the Ministry of Industry and Trade from August 2024.
Currently, this center is still worrying about stabilizing its organization and personnel and it is not known when it will truly be able to get out of the "giant shadow" of EVN.
Meanwhile, the lifeblood of the national power system, that is, the power transmission system, is still under the control of the National Power Transmission Corporation (EVN).
Delegates are concerned that the amendments in this draft law still do not have strong enough legal provisions for decisive changes, helping the competitive electricity market operate in a truly competitive, open, transparent and fair manner.
No policy, no investment, no electricity
Explaining later, Minister of Industry and Trade Nguyen Hong Dien said that Vietnam has now completed the competitive electricity generation market, with more than 52% of electricity sources belonging to corporations other than EVN, such as Vietnam Oil and Gas Group (PVN), Vietnam National Coal and Mineral Industries Group (TKV) and private investors. EVN also only accounts for over 37% of electricity sources.
The direct power purchase agreement (DPPA) policy between large electricity users has just been issued.
Affirming that this is the basis for operating the wholesale market, Mr. Dien said that the Ministry of Industry and Trade is studying to amend the structure of retail electricity prices, two-component electricity prices... factors for the retail electricity market.
Mr. Dien also promised to fully absorb the opinions of National Assembly deputies to complete the bill and submit it for approval at the end of this session.
“Because there is no policy, no investment, there is no electricity. Therefore, if this law is passed one day late, we will be many years behind in attracting investment and having enough electricity for development,” the Minister of Industry and Trade explained.
Comment (0)