The Ministry of Industry and Trade has just submitted to the Government a draft Decree of the Government amending and supplementing a number of articles of Decree No. 96/2022/ND-CP stipulating the functions, tasks, powers and organizational structure of the Ministry of Industry and Trade and Decree No. 26/2018/ND-CP on the charter of organization and operation of Vietnam Electricity Group.
According to the Ministry of Industry and Trade, the results of the implementation of the Project to transfer the National Power System Control Center to the Ministry of Industry and Trade in the form of a single-member LLC according to the provisions of law will change the function of "commanding and operating the production, transmission, distribution and allocation of electricity in the national power system" of Vietnam Electricity Group (EVN) as prescribed in Decree No. 26/2018/ND-CP.
When separating A0 from EVN, becoming an independent enterprise under the management of the Ministry of Industry and Trade, it is necessary to adjust the functions of EVN (as stipulated in Decree No. 26/2018/ND-CP). At the same time, according to this agency, some contents in Decree No. 96/2022/ND-CP need to be amended and supplemented appropriately. The purpose is to clarify the state management function of the Ministry of Industry and Trade over the command and operation of the power system and the electricity market of the Power System Operation Control Unit and the electricity market transaction operation unit when separated from EVN.
Accordingly, the draft further clarifies the state management function of the Ministry of Industry and Trade related to the task of regulating the operation of the power system, operating the electricity market transactions of A0 after separating from EVN and updating according to the provisions of the Electricity Law and the Price Law 2023.
Specifically, the Ministry of Industry and Trade has a new task of developing regulations on the operation of the electricity system and competitive electricity market and directing their implementation.
The Ministry will also have to perform state management of the command and operation of the production, transmission, distribution and allocation of electricity in the national power system, and operate electricity market transactions.
EVN's functions and duties in Decree 26 will also change significantly after A0 separates from this group.
Accordingly, EVN no longer has the function of commanding and operating the production, transmission, distribution and allocation of electricity in the national power system. Instead, EVN only has the function of "producing, transmitting, distributing, regulating the electricity distribution system and trading in electricity".
EVN also no longer has to "shoulder" the responsibility of organizing the implementation of measures to ensure security and safety of the national power system; managing the national power system, internal information systems and information technology systems serving electricity production, business and the electricity market.
Instead, EVN only has to "Organize and implement measures to manage and operate the power system under its management scope according to the provisions of law to ensure the security and safety of the national power system; manage the power system, internal information system and information technology system serving the production, trading of electricity and the electricity market under its management scope".
However, EVN still has a very important task. That is the obligation to pay for electricity. Although A0 is separated from EVN, and the Ministry of Industry and Trade must manage the electricity market, the draft Decree still adds a clause to EVN's functions and tasks. That is, EVN must still "make payments for electricity and other obligations according to the provisions of the Power Purchase Agreement".
According to experts, the reason EVN still has to "shoulder" this function is because it is still the only unit buying and selling electricity on the market.
In addition, the draft Decree abolishes the National Power System Control Center in the Appendix of the list of units under the parent company - Vietnam Electricity Group issued with Decree No. 26/2018/ND-CP.
The draft also adds transitional provisions on the content of the price of power system operation and the price of electricity market transaction operation and ensuring the operating costs of the new A0 after separating from EVN during the transition period.
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