The Ministry of Finance has just commented on the draft decision to replace Prime Minister's Decision 24 on the mechanism for adjusting average retail electricity prices.
The Ministry of Finance believes that, according to the provisions of the current Law on Prices, ministries and branches within the scope of their duties and powers will be responsible for performing the function of state management of prices in the fields prescribed by law. Meanwhile, the Electricity Law clearly states that the Ministry of Industry and Trade is responsible for state management of electricity activities.
On that basis, in the mechanism for adjusting electricity prices, the Ministry of Finance proposed that the Ministry of Industry and Trade not stipulate the responsibility for coordinating review when adjusting the average retail electricity price.
Specifically, at the increase of 3-5% under the authority of Vietnam Electricity Group (EVN), this ministry proposed not to stipulate the responsibility of the Ministry of Finance in conducting inspection and supervision of price reduction reports and price increase reports of 3-5% of EVN.
At the same time, the Ministry of Finance also proposed that the Ministry of Industry and Trade not stipulate the responsibility of coordinating the review of the Ministry of Finance in case of adjusting the average retail electricity price from 5% to less than 10%.
With this increase, the Ministry of Industry and Trade needs to proactively review and comment on the average retail electricity price plan submitted by EVN.
In case the average retail electricity price increases by 10% or more compared to the current price or is outside the price range, affecting the macroeconomic situation, the Ministry of Finance proposes to regulate in the direction that the Ministry of Industry and Trade receives, reviews the price plan and sends it to the Ministry of Finance and relevant agencies for comments.
With the above principles, the Ministry proposes not to stipulate the responsibility of the Ministry of Finance in reviewing and checking EVN's reports and calculations.
At the same time, the Ministry of Finance believes that the draft should not specify details of technical content such as attending meetings, reporting, and proactively providing opinions to the presiding agency on the annual average retail electricity price plan.
Regarding this issue, the Ministry of Finance continues to affirm that because the Ministry of Industry and Trade is the agency in charge of specialized management of electricity products, this ministry only has opinions based on the proposal of the Ministry of Industry and Trade on the results of reviewing the plan to adjust the average retail electricity price.
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