To ensure enough electricity for the economy, if entrusted solely to Vietnam Electricity Group (EVN), it seems that this unit is beyond its capacity. Vietnam's economy has been growing rapidly in recent times, and many investors from many countries are wanting to build factories in Vietnam.

Of course, EVN is not the only power producer, there are also a number of power plants belonging to the Vietnam Oil and Gas Group (PVN) and private plants. However, EVN is the only unit that is entitled to buy electricity from these plants to distribute to the economy.

Ho Chi Minh City Electricity workers repair electricity on a 22 kV line at Tan Thuan Export Processing Zone (District 7, Ho Chi Minh City). Photo: Vnexpress

Many opinions say that if not given to EVN, who else can be given to ensure reliability, ensure sufficient electricity supply, and at a reasonable price. According to these opinions, private investors, in pursuit of profit, will tend to push up electricity prices, which is detrimental to the economy.

Such thinking is incomplete. And because it is incomplete, it is incorrect. That is because in a market economy, investors must seek profit. However, profit does not mean high prices. Rationalizing technology, human resources, and management efficiency can reduce prices and increase the competitiveness of goods and services.

The telecommunications industry is a clear example of this, with call and text rates going from very expensive to very cheap and now almost free with new technologies. Recently, electricity prices in Europe have even been negative at times during the day due to breakthroughs in renewable energy generation technology and supply far exceeding demand. Therefore, electricity prices do not always tend to increase but will tend to decrease if we know how to develop the electricity market properly.

Making prices cheaper, quality better, and efficiency higher is the creative power of the market economy. We need to find ways to unleash this creative power.

Socialist orientation in a market economy is very necessary. Regulatory tools are state-owned enterprises such as EVN that always ensure a part of production and supply, not letting the whole economy fall into an offside position in any situation. However, if only one unit supplies the whole economy with rapidly expanding demand, it certainly will not be guaranteed.

We talk a lot about the opportunity to welcome more international investment capital, attract international tourists, but businesses lack electricity, tourist areas lose power, people worry about power outages on hot days... will those opportunities become reality?

Therefore, it is necessary to accelerate the formation of a complete electricity market so that power plants can sell directly to consumers. The more producers and suppliers directly to consumers, the more monopoly is broken, the cheaper the price of goods and services will be. The operation of the market economy in the world as well as the socialist-oriented market economy in Vietnam in recent years has clearly shown that.

HO QUANG PHUONG