The Deputy Prime Minister requested the Ministry of Industry and Trade to determine a revenue generation mechanism for A0 when separating from EVN to regulate and operate the power system without interruption.
The National Power System Dispatch Center (A0) will separate from Vietnam Electricity Group (EVN) and transfer to the Ministry of Industry and Trade in two steps. First, after A0 leaves EVN, it will establish the National Power System and Electricity Market Operation Company Limited (NSMO). Then, the State ownership representative at this enterprise will be transferred to the Ministry of Industry and Trade.
In the conclusion announcement of Deputy Prime Minister Tran Luu Quang announced by the Government Office on August 26, the Ministry of Industry and Trade was assigned the main responsibility for preparing the necessary conditions to receive A0, ensuring stable and continuous operation after the transfer.
"The Ministry of Industry and Trade needs to clearly define the financial mechanism to generate revenue for A0 from the time of separation from EVN and the deadline for completing the revision and supplementation of relevant Circulars," the Deputy Prime Minister's conclusion stated.
In addition, the project to separate A0 from EVN to establish NSMO needs to clarify the conditions for separation and establishment of a new enterprise, as well as mechanisms to ensure that this unit operates stably, effectively and continuously. "A0's operations must not be interrupted, affecting the investment projects of this unit," the Deputy Prime Minister noted.
The timing of separation, establishment of NSMO, and transfer to the Ministry of Industry and Trade also needs to be clearly defined. In case of arising beyond authority, related to the feasibility of the A0 separation project, it is necessary to propose and report to the Prime Minister for handling.
The financial mechanism for A0 to operate stably has also been commented on by many ministries and branches. In the appraisal report of the project to establish NSMO under the State Capital Management Committee at Enterprises, the Ministry of Planning and Investment stated that separating A0 from EVN to establish a one-member LLC should only be considered and decided when there are financial mechanisms to ensure stable operation and management.
To resolve this problem, the Ministry of Industry and Trade proposed that NSMO recover the costs of dispatching and operating electricity market transactions through signing a service contract with EVN, starting from the date of separation from this group. Next, when applying dispatch prices and operating electricity market transactions, according to the project, NSMO signs unit price contracts with electricity buyers and sellers. The Ministry of Industry and Trade recommends that this company should only sign unit price contracts based on the electricity output bought and sold, exchanged on the system and electricity market.
A0 was established in 1994, operating the transmission and distribution of electricity to ensure the safe and stable operation of the power system. This unit is also responsible for operating power plants; exploiting and regulating reservoirs; and handling incidents in the 500 kV power system.
The transfer of A0 to the Ministry of Industry and Trade was carried out at the request of the Prime Minister, in order to facilitate the operation of the market mechanism in the relationship between the national power system dispatching unit and the generation, transmission and distribution units according to the provisions of the Electricity Law.
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