Announcement of EVN electricity production cost of 2014

In the afternoon of 2nd February, Ministry of Industry and Trade announced the 2014 electricity production cost of EVN. The cost in 2014 was 1,539.35 VND/kWh while the average energy sales price was 1,532.55 VND/kWh.

In 2014, the energy sales of EVN was 128.63 billion kWh; power loss of the whole system was 8.49%, reducing by 0.9% as compared to the target of 9.39% stated in the Decision No.1177/QD-BCT issued on 15 March 2012 by the MOIT on approving the Proposal of reducing power loss in the period of 2012- 2016, said Tran Tue Quang, Manager of Power Tariff and Fees, Electricity Regulatory Authority of Vietnam.

Total production cost in 2014 was 198,003.52 billion VND, equivalent to 1,539.35 VND/kWh.

The production cost in the off-grid island districts and communes were accounted in production cost in 2014, resulting in a reduction in EVN’s profit. Price subsidy for production cost in 2014 for such island districts as Phu Quoc (Kien Giang province), Phu Quy (Binh Thuan), Ly Son (Quang Ngai), Con Dao (Ba Ria- Vung Tau) and Thanh An (Ho Chi Minh City) accumulated at 142.76 billion VND as the actual selling prices in such areas were lower than the production costs.

EVN Deputy General Director Dinh Quang Tri answer questions on power production cost of 2014

Also announced by Mr. Tran Tue Quang, the revenue of 2014 was 197,128.89 billion VND, equivalent to 1,532.55 VND/kWh of the average selling price of energy sales.

Revenue of activities related to the production and trade of electricity in 2014 was 1,698.46 billion VND, including: income of reactive power sales: 444.25 billion VND, income of financial activities of parent company- EVN, National Power Transmission Corporation and other power corporations: 1,153.21 billion VND, income of investment in joint stock companies: 101 billion VND.

Thus, despite the fact that average selling price of energy sales was lower than production cost, EVN managed to earn profit in 2014 thanks to efficient financial performance related to power activities.

  • 02/02/2016 04:00