Prime Minister Pham Minh Chinh has just signed and issued Directive No. 05/CT-TTg dated February 14, 2024 on ensuring electricity supply, coal and gas supply for electricity production in the coming time.
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The Directive clearly states: Ensuring electricity supply and maintaining national energy security is the foundation and important premise for socio-economic development, deciding the success of the country's industrialization and modernization process.
Over the past years, the Party and the State have always paid attention to and focused on directing the assurance of energy security, in which electricity supply security plays a pivotal role. However, the implementation of electricity supply in the past has sometimes been inadequate and difficult due to many reasons, both objective and subjective; in which, there was a localized power shortage in the North at the end of the dry season in 2023.
To firmly ensure energy security, electricity supply security for production - business and people's consumption in the coming time, the Prime Minister directs:
The State Steering Committee for important national programs, works and projects, key energy sector focuses on directing, inspecting, coordinating and urging the implementation of tasks on investment and construction of important national programs, works and projects, key energy sector in accordance with resolutions of the National Assembly, the Government and decisions and directives of the Prime Minister;
Direct, inspect and urge investors of works, projects, consulting organizations and contractors to perform the tasks identified in the approved Planning, Plan, investment policy of works, projects or approval decisions of each component project to ensure construction progress and quality of works;
Direct and urge ministries, branches and People's Committees of provinces and centrally-run cities to resolve difficulties and problems related to site clearance for important national and key energy projects within their authority and immediately report to the Prime Minister on matters beyond their authority, and at the same time propose solutions to the Prime Minister for consideration and decision when problems arise for key and urgent projects.
Minister of Industry and Trade: Focus on leading and directing the implementation of a number of specific tasks, especially the plan to implement the National Power Development Plan for the 2021-2030 period, with a vision to 2050 (Power Plan VIII). In particular, focus on implementing the following tasks to ensure supply for the Northern power system in the coming years: i) Coordinate with the State Capital Management Committee at Enterprises, Ministries, branches and People's Committees of relevant provinces and centrally run cities to direct, guide and support Vietnam Electricity Group to deploy and accelerate the progress to complete as soon as possible the 500kV line 3, Quang Trach - Pho Noi, supplying power to the North (striving to complete and energize in June 2024); ii) Urgently complete and submit the dossier proposing the development of a Government Decree on mechanisms and policies to encourage the development of solar power, rooftop solar power installed in private homes, offices, and industrial parks; iii) Take the lead in coordinating with the Vietnam Oil and Gas Group and the Vietnam Electricity Group to develop a Decree related to the mechanism for buying and selling gas and wind power in a simplified form and must be completed in the second quarter of 2024 at the latest; iv) Urgently review power sources in the Northern region, report to the Prime Minister on solutions to promote the progress of power source projects under investment and construction, solutions to immediately deploy new power sources, specifically for each project in the Northern region;
Directing Vietnam Electricity Group and the National Power System Control Center to operate the power system to ensure power supply, develop a power supply plan and operate the national power system with the goal of ensuring power supply, ensuring supply backup and being able to respond to and control possible extreme operating scenarios;
Forecast and develop plans to direct the Vietnam Oil and Gas Group, Vietnam National Coal - Mineral Industries Group and Dong Bac Corporation to provide sufficient and continuous supply to ensure timely supply, sufficient volume, and correct type of coal for electricity production according to the signed Contract/Commitment; coordinate with relevant units to forecast the situation of fuel usage and supply, ensuring security of electricity supply;
Direct, inspect and supervise the Vietnam Oil and Gas Group to implement all solutions to ensure the progress of the Block B gas-power project chain according to the Power Plan VIII, focus on removing obstacles within its authority, and promptly report to the Prime Minister to resolve issues beyond its authority.
Monitor and supervise the progress of key energy projects, such as the Blue Whale and Thi Vai – Nhon Trach projects; preside over and coordinate with relevant ministries and branches to promptly handle issues within their authority, report to the Prime Minister on matters beyond their authority, and ensure project implementation according to the set plan.
Promote serious, substantive and effective implementation of the Prime Minister's Directive on enhancing electricity saving, the National Program on economical and efficient use of energy, the program on electricity demand management, and the conversion to green and clean energy; coordinate research to promote domestic production, apply technology, innovate, and increase labor productivity in the energy sector.
Strictly and seriously implement effective state management of electricity sources produced, traded and purchased outside the state sector. Review commitments and develop plans for electricity supply and electricity prices in accordance with legal regulations; Strictly prohibit all negative practices, corruption and group interests in the process of producing, trading and purchasing electricity outside the state sector.
The Chairman of the State Capital Management Committee at Enterprises promptly approves, in accordance with the law, the management and use of state capital for investment and production and business at enterprises for key investment projects in the energy sector of the Vietnam Electricity Group, the Vietnam Oil and Gas Group and the Vietnam National Coal and Mineral Industries Group. Directs and urges the Board of Members of the Vietnam Electricity Group, the Vietnam Oil and Gas Group and the Vietnam National Coal and Mineral Industries Group to focus on implementing key energy projects, review difficulties and obstacles, resolve them within their authority and only report to competent state agencies if there are issues beyond their authority.
The Minister of Finance shall preside over and coordinate with relevant agencies to continue reviewing, providing guidance and annually having a specific plan to inspect the implementation of legal regulations on prices for coal, gas, oil production and trading activities and the supply of coal, gas, and oil for electricity production; closely coordinate with the Ministry of Industry and Trade in implementing the electricity retail mechanism according to regulations.
Preside over and coordinate with the Ministry of Industry and Trade, Vietnam National Coal and Mineral Industries Group, Vietnam Electricity Group, Vietnam Oil and Gas Group, Dong Bac Corporation and relevant agencies to research and develop reference prices for imported coal products so that they can be applied immediately when the Price Law No. 16/2023/QH15 comes into effect.
The Minister of Planning and Investment advises and reports to the Prime Minister on issues related to expertise, functions and tasks to implement investment in power projects in the VIII Power Plan (on investment forms, investment implementation procedures, specific responsibilities of each relevant agency to implement investment in power projects, identification and selection of investors, bidding work, etc.); at the same time, send it to the Ministry of Industry and Trade for research, synthesis and reporting to the Prime Minister on the implementation of the plan to implement the VIII Power Plan.
Review and speed up the appraisal of investment policies for power projects according to authority, absolutely do not allow delays that affect the progress of power projects.
The Minister of Natural Resources and Environment urgently directs and guides thermal power plants in the Northeast region (especially thermal power plants in Quang Ninh province) to have solutions related to cooling water temperature to ensure the available capacity of power plants during the annual dry season.
Based on the flexible operation plan of reservoirs in the Inter-reservoir Operation Procedures proposed by Vietnam Electricity Group in coordination with relevant agencies and units, review the Inter-reservoir Operation Procedures to ensure safety for works and downstream areas, and use water resources effectively for purposes of use to optimize the benefits of socio-economic development and environmental protection brought about by water resources.
Guide the People's Committees of provinces and centrally run cities on issues of planning and land use plans for energy and electricity projects under Power Plan VIII.
The Minister of Agriculture and Rural Development shall promptly review, handle within his authority and report to the Prime Minister any issues beyond his authority regarding the conversion of forest use purposes related to energy and electricity projects; ensure that there are no delays in the process of resolving work that affect the implementation of energy and electricity projects.
Heads of ministries, ministerial-level agencies, government agencies, People's Committees of provinces and centrally run cities
Heads of ministries, ministerial-level agencies, and government agencies, based on their functions and tasks, closely follow the situation, and proactively propose solutions to resolve existing problems and difficulties within their management sectors and fields related to electricity activities.
The Chairmen of the People's Committees of provinces and centrally run cities shall direct: (i) Review the progress of investment and construction of power source and grid projects in the planning and power development plans under their management; (ii) Direct relevant functional units to resolve difficulties and problems in handling procedures for investment and construction, site clearance to speed up the progress of power source and grid projects; (iii) Coordinate with the Minister of Industry and Trade, the Minister of Planning and Investment and relevant agencies to promptly perform tasks within their authority to identify and select investors, promptly implement power source and grid projects according to the approved planning schedule; (iv) For provinces whose provincial planning for the 2021-2030 period, with a vision to 2050, has been approved by the Prime Minister; It is recommended to focus on completing the submission of the 5-year land use plan (2021 - 2025) at the provincial level to the Ministry of Natural Resources and Environment for appraisal and submission to the Prime Minister for approval. The People's Committees of the provinces shall periodically report annually and promptly report on the land use situation of energy projects for energy and electricity projects under the plan to implement the VIII Power Plan under local management.
The Chairman of Vietnam Electricity Group directed the coordination with the National Power System Control Center to develop a plan and method of operating the national power system with the goal of ensuring power supply, paying special attention to reserve supply, available hydropower, and fully preparing fuel for thermal power to supply peak power during the annual dry season.
Focus on leading and directing the acceleration of investment, construction and operation of power source and grid projects assigned as investors, especially key power source and grid projects serving the power supply for the North such as the 500kV line 3 (striving to complete and energize in June 2024), Hoa Binh Hydropower Plant expansion, Quang Trach I Thermal Power Plant.
Actively coordinate closely with Vietnam Oil and Gas Group in implementing the Block B gas-power project chain, ensuring the overall progress of the project chain.
Direct the updating and review of the balance of electricity supply and demand, the capacity of the national power system, especially for the Northern region until 2025 and until 2030, including solutions to ensure electricity supply, handling according to authority; report to competent authorities on issues beyond authority.
Direct the implementation of electricity saving in the whole industry, coordinate with the People's Committees of provinces and centrally-run cities and electricity customers to implement electricity saving solutions; promote extensive, effective and substantive propaganda on economical and efficient electricity use to each group and component of electricity customers to raise awareness and electricity use behavior of people and businesses; at the same time, promote the implementation of electricity demand management programs and electricity load adjustment.
The Chairman of the Vietnam Oil and Gas Group directed to focus on and urgently accelerate the progress of the Block B gas-power project, immediately report issues beyond his authority (if any), take full responsibility for any delays in issues within his authority, have the Final Investment Decision (FID) as soon as possible, and ensure the first gas flow in the fourth quarter of 2026.
Focus on directing the implementation and removing obstacles of power source projects assigned as investors, reporting to the State Capital Management Committee at enterprises and relevant agencies on issues beyond authority.
Closely coordinate with gas mine owners, investors of gas power plants and the Chairman of Vietnam Electricity Group to deploy solutions during the implementation of the supply plan, prioritizing gas mobilization for electricity production to meet electricity consumption needs, ensuring optimal efficiency of the gas - electricity chain and national interests.
Urgently direct research and propose solutions to restructure the gas market and gas industry infrastructure in accordance with the Competitive Energy Market Project.
The Chairman of Vietnam National Coal - Mineral Industries Group and Dong Bac Corporation directed to thoroughly and effectively implement the tasks assigned by the Prime Minister in Directive No. 29/CT-TTg dated December 2, 2019 on continuing to strengthen state management of coal production and trading activities and coal supply for electricity production; tasks and solutions to develop the coal market according to the Project on developing a competitive energy market.
Implement synchronously, drastically and effectively measures to direct, manage and organize production to improve capacity, productivity and output of domestic coal mining; closely monitor and follow weather developments to arrange and plan appropriate coal mining operations; import coal for blending to supply electricity production in a reasonable and effective manner; mainly promote domestic coal production and business.
Proactively review and balance the supply and demand of domestically produced coal in the direction of prioritizing sufficient coal supply for electricity production according to the signed Contract; develop plans for coal production, transit warehouses, coal reserves, means of transport, response and control of possible extreme scenarios, etc. to ensure sufficient and stable supply for coal-fired thermal power plants, contributing to ensuring national energy security; absolutely must not let there be a shortage of coal for power plants.
Investors of thermal power plants must strictly and effectively implement the tasks assigned by the Prime Minister in Directive No. 29/CT-TTg dated December 2, 2019 on continuing to strengthen coal production and business activities and coal supply for electricity production according to market mechanisms.
Responsible for arranging sufficient primary fuel to provide stable and continuous supply according to the mobilization requirements of the power system throughout the life of the plant; in particular, it is necessary to accurately calculate the amount of coal that must be self-arranged for power generation in addition to the amount of coal that the Vietnam National Coal - Mineral Industries Group and Dong Bac Corporation commit to provide to fully and promptly prepare for power production according to the market mechanism.
Regularly review, update, and calculate the demand for primary fuel for electricity production to ensure that it closely follows the actual situation and the demand for electricity load by season and region to prepare enough fuel according to the mobilization requirements of the power system and maintain reasonable reserves for the operation of the power plant. Absolutely do not let the situation happen where the generator is ready to generate electricity but lacks fuel, leading to insufficient capacity or having to stop the generator.
Strengthening the management of input coal quality to ensure technical parameters to improve the efficiency of generators, minimizing incidents caused by coal quality; proactively operating generators stably and reliably to meet the mobilization requirements of the power system.
Complete the calculation of coal demand for electricity production and sign the annual coal purchase and sale contract for electricity production before December 1 of the previous year, report the implementation results to the Ministry of Industry and Trade before December 10 of each year (with coal demand and coal purchase and sale contracts signed with all suppliers) to serve the construction of the Coal Supply Chart for electricity. Strictly implement the commitments in the signed coal purchase and sale contract.
Requesting Ministers, Heads of ministerial-level agencies, Heads of Government agencies, Chairmen of People's Committees of provinces and centrally-run cities, Chairmen of the Board of Members and General Directors of the following Corporations: Vietnam Electricity Group, Vietnam National Coal - Mineral Industries Group, Vietnam Oil and Gas Group, Dong Bac Corporation and related organizations and individuals to strictly implement this Directive./.
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