1. Establishment of Vietnam Electricity Corporation
On January 1, 1995, Vietnam Electricity Corporation (EVN) was officially launched, operating nationwide in the power production and business.

The corporation was established under Decision No. 562/QD-TTg dated October 10, 1994, by the Prime Minister, based on the restructuring of units under the Ministry of Energy; organized and operated under the Charter issued with Decree No. 14/CP dated January 27, 1995, by the Government. From April 1, 1995, EVN took full responsibility for the power sector, including power generation, transmission, distribution, and investment, based on approved power development master plans. The establishment of EVN marked a turning point in the reform process, transitioning to a market-oriented mechanism under State management. As a large enterprise, the power sector achieved financial autonomy, economic accounting, capital preservation and growth, while fostering regional and international integration.

2. Successful manufacture of 220kV transformer with 250MVA capacity

In 1995, Vietnam’s power engineering industry marked a milestone by successfully researching and engineering a 110kV - 25,000kVA transformer. In 2003, a 220kV - 125MVA transformer was successfully manufactured. By 2005, the power engineering industry had achieved self-repair capability for 500kV transformers and manufactured a 220kV transformer with 250MVA capacity. This breakthrough affirmed Vietnam’s technical strength, reducing reliance on imported equipment and foreign specialists.

3. Application of special mechanisms and policies for urgent power projects

To accelerate urgent power projects addressing rising demand, the Government authorized EVN to apply special mechanisms and policies for power projects. Specifically, hydropower projects under construction or to be commenced in 2006-2010 were implemented under Government documents No. 797/CP-CN (June 17, 2003) and No. 400/CP-CN (March 26, 2004). Furthermore, 14 urgent projects in 2006-2010 and beyond were covered by Decision No. 1195/QD-TTg dated November 9, 2005, by the Government. After a short period of implementation, these mechanisms have demonstrated their superiority and proven highly effective in both ongoing and newly initiated power projects.

4. Official enactment of electricity law On December 3, 2004, at the 6th Session of the 11th National Assembly, the Electricity Law was approved and took effect on July 1, 2005. Its enactment created a legal framework for electricity activities, enhancing transparency and fairness for all stakeholders, while strengthening power supply capacity for the national economy.

5. Inauguration of Phu My Power Center

On April 10, 2005, Phu My Power Center was inaugurated with six power plants totaling 3,859MW, twice the capacity of Hoa Binh Hydropower Plant. Among these, EVN invested in Phu My 1, Phu My 2.1, Phu My 2.1 Expansion, and Phu My 4 power plants; while Phu My 3 and Phu My 2.2 were BOT projects by foreign investors. This is a landmark project that attests to the remarkable advancement of Vietnam’s power industry. At the same time, through its participation in the project, the sector’s power construction consulting teams have, for the first time, gained exposure to modern technology and taken the initiative in providing consultancy and engineering services for gas-fired power plants.

6. Establishment of Electricity Regulatory Authority of Vietnam (ERAV)
On October 19, 2005, Prime Minister Phan Van Khai signed Decision No. 258/2005/QD-TTg to establish the Electricity Regulatory Authority of Vietnam (ERAV) under the Ministry of Industry (now Ministry of Industry and Trade). ERAV is tasked with assisting the Minister of Industry and Trade in regulating electricity operations and the electricity market, contributing to the provision of safe, stable, and high-quality electricity, promoting the efficient and economical use of electricity, and ensuring fairness, transparency, and compliance with legal regulations.

7. Formation and operation of competitive power market

On January 26, 2006, the Prime Minister signed Decision No. 26/2006/TTg approving the roadmap and conditions for the establishment and development of the electricity market in Vietnam. To achieve the goal of gradually developing a competitive electricity market, attracting investment capital, and improving business efficiency, the electricity market in Vietnam will be formed and developed through three stages: Stage 1 (2005 - 2014): Competitive generation market; Stage 2 (2015 - 2022): Competitive wholesale electricity market; Stage 3 (from 2022 onwards): Competitive retail electricity market.

Since July 1, 2012, the competitive generation market has been officially put into operation. In the first phase, 32 power plants (with a total capacity of 8,965MW) directly participated in bidding on the market, while another 26 power plants participated indirectly in the competitive generation market. The establishment and development of the electricity market is a long-term process, requiring consistent direction from the Government and close coordination among relevant entities. In this process, Vietnam Electricity (EVN) plays a crucial and leading role.

8. Establishment of Vietnam Electricity

Photo: Vu Lam

On June 22, 2006, the Prime Minister issued Decision No. 147/QD-TTg approving the pilot scheme for the establishment of Vietnam Electricity (EVN), with three main business sectors: electricity, mechanics, and telecommunications. On the same day, Decision No. 148/2006/QD-TTg was issued on the establishment of the parent company - Vietnam Electricity. On December 17, 2006, Vietnam Electricity was officially launched, marking a significant milestone that rapidly transformed the power sector into a strong economic group with diversified business lines and ownership structures, advanced technology and management, high specialization, and effective international integration.

9. Establishment of EVN Party Committee
On October 8, 2007, the Party Committee of the Central Business Bloc issued Decision No. 299 QD/DUK on the establishment of the Party Committee of the parent company - Vietnam Electricity, under the name of the Vietnam Electricity Party Committee. The establishment of the Vietnam Electricity Party Committee, along with the consolidation and reorganization of its subordinate Party organizations, will further enhance the role and effectiveness of the Party’s leadership within enterprises of the power sector.

10. Establishment of Electricity Power Trading Company (EPTC)

On December 31, 2007, the Board of Directors of Vietnam Electricity (EVN) issued Decision No. 1182/QD-EVN-HDQT on the establishment of the Electricity Power Trading Company (EPTC), with main responsibilities including: preparing plans, negotiating and implementing power purchase agreements; negotiating and signing technical design contracts; managing electricity metering systems for trading purposes; and participating in the operation of the internal and competitive electricity markets. EPTC has been continuously improving itself, conducting research, innovation, training, and preparing optimal conditions to be ready for the next stages of the electricity market and future business activities.

11. Establishment of National Power Transmission Corporation (NPT)

On July 4, 2008, the National Power Transmission Corporation (NPT) was established as a one-member limited liability company wholly owned by EVN. It consists of four transmission companies (Nos. 1, 2, 3, and 4) and three power project management boards in the North, Central, and South regions. NPT is responsible for the investment, operation, and management of the national power transmission system from 220kV to 500kV. Its primary objectives are to provide a safe, continuous, stable, and reliable transmission service; ensure power supply for the country’s economic, political, social, security, and defense activities; conduct efficient business operations; and preserve and develop the entrusted capital.

12. Recognition of Vietnam Power Sector’s Traditional Day

On October 12, 2009, the Prime Minister signed Decision No. 1594/QD-TTg officially recognizing December 21 each year as the 'Traditional Day of Vietnam’s Power Sector.' The Prime Minister requested that the organization of this day must be economical, promote the education of traditions within the Power sector, and encourage emulation movements in production and labor for the development of the sector and the nation. To date, after more than half a century, generations of officials and employees in the Power sector have remained faithful to Uncle Ho’s advice given 55 years ago during his visit to the Yen Phu and Bo Ho power plants on December 21, 1954, preserving and building upon the achievements of their predecessors, continuously developing production, ensuring effective management and safe operation of the national power system, and making worthy contributions to the cause of national construction and defense.

13. The 6th session - 12th National Assembly approves investment policy for construction of Ninh Thuan Nuclear Power Plant

On November 25, 2009, with 77.48% of deputies voting in favor, the investment policy for the construction of the Ninh Thuan Nuclear Power Plant (the first nuclear power plant in Vietnam) was approved by the 12th National Assembly at its 6th session. Accordingly, the Ninh Thuan Nuclear Power Project includes two plants with a total capacity of 4,000MW. Ninh Thuan Nuclear Power Plant 1, to be built in Phuoc Dinh commune, Thuan Nam district, was scheduled to commence in 2014 and put its first unit into operation in 2020. Ninh Thuan Nuclear Power Plant 2 will be located in Vinh Hai commune, Ninh Hai district. This marks an important step in the development of nuclear power for peaceful purposes in Vietnam. Earlier, in September 2007, EVN had established the Nuclear Power and Renewable Energy Project Preparation Board (NRPB) to carry out preparatory work for this project.

14. Launch of five Power Corporations

In April 2010, five Power Corporations officially commenced operations: Northern Power Corporation (EVN NPC), Southern Power Corporation (EVN SPC), Central Power Corporation (EVN CPC), Hanoi Power Corporation (EVN HANOI), and Ho Chi Minh City Power Corporation (EVN HCMC). This is a new milestone that helps to improve the organizational structure, management model, and corporate governance, creating momentum for the development of production and business activities of power sector units.

15. Conversion of parent company – Vietnam Electricity (EVN) into a One-Member Limited Liability Company

On June 25, 2010, the Prime Minister issued Decision No. 975/QD-TTg on converting the parent company - Vietnam Electricity (EVN) - into a one-member limited liability company wholly owned by the State. The new name after the conversion remains: Vietnam Electricity (EVN), organized and operating in accordance with the Law on Enterprises, relevant legal provisions, and the Charter of organization and operation approved by the Prime Minister. At the time of conversion, EVN’s charter capital was VND 110 trillion. Its main business sectors include: generation, dispatching, wholesale power purchase and sale; power import and export; and investment in and management of capital for power projects. This was an important transformation in line with Vietnam’s commitments to the WTO roadmap.

16. Successful manufacture of Vietnam’s first 500kV transformer

Photo: Ngoc Canh

On October 7, 2010, Dong Anh Electrical Equipment Manufacturing Joint Stock Company held the 'Signboard Affixing Ceremony for the 1000th Anniversary of Thang Long - Hanoi' for a 500kV transformer. The successful manufacturing of the 500kV 'made in Vietnam' transformer represents another historic milestone for the nation’s electrical engineering industry, enhancing self-reliance in investment and construction, saving costs, and reducing dependence on imported equipment.

17. Construction and inauguration of Son La Hydropower Plant - Largest in Vietnam and Southeast Asia

On December 2, 2005, construction began on the Son La Hydropower Plant - the largest hydropower project in Vietnam and Southeast Asia - with a total designed capacity of 2,400MW and an average annual electricity output of 10.2 billion kWh. The total investment was VND 36,933 billion. The main dam of the Son La Hydropower Plant is 138.1 meters high and 961 meters long. On December 17, 2010, Unit No. 1 of the plant was successfully connected to the national power grid.

On December 23, 2012, EVN held the Inauguration Ceremony of the Son La Hydropower Plant, which was completed three years ahead of the National Assembly’s Resolution schedule, bringing tens of thousands of VND billions in benefits to the country. This is a multi-purpose project of special significance in the cause of national industrialization and modernization.

18. National Assembly approves amended and supplemented Law on Electricity

On November 20, 2012, at the 4th session of the 13th National Assembly, the National Assembly voted to approve the Law amending and supplementing a number of articles of the Law on Electricity. A notable highlight of this amendment is the incorporation into law of the principle of electricity pricing based on market mechanisms. The Law took effect on July 1, 2013.

19. Establishment of three Generation Corporations (EVN GENCO 1, 2, 3)

As part of the roadmap for restructuring the power sector and promoting the establishment of a competitive generation market, on February 3, 2012, the Prime Minister approved the establishment of three generation corporations under EVN.

On June 1, 2012, the Minister of Industry and Trade issued a decision to establish the generation corporations (GENCO 1, 2, and 3), operating under the Parent Company – Subsidiary model, under EVN. EVN GENCO 1, 2, and 3 were officially launched and commenced operations on January 1, 2013.

20. Prime Minister approves two major schemes providing strategic direction for EVN

On July 10, 2012, the Prime Minister issued Decision No. 854/QD-TTg approving the 2011 - 2015 business and investment development plan of Vietnam Electricity (EVN). Accordingly, during the 5 years (2011 - 2015), EVN would focus on seven main tasks and six synchronous solutions to achieve its objectives, developing into a strong economic group playing a key role in ensuring national energy security. Achieve the target of rural electrification, ensuring that by 2015, 100% of communes and 98% of rural households have access to electricity and benefit from the regulated electricity tariff.

The Prime Minister also issued Decision No. 1782/QD-TTg on November 23, 2012, approving the 'Restructuring Scheme of Vietnam Electricity for the 2012 - 2015 period.' Under this scheme, EVN would restructure its corporate governance, concentrate on its core business sectors, with charter capital revalued at VND 143,404 billion.

These are the two major schemes approved and promulgated by the Prime Minister in 2012, serving as an important orientation for EVN’s restructuring and sustainable development.

21. Commencement of submarine cable projects to bring national power grid to island districts

On November 4, 2012, Northern Power Corporation (EVN NPC) officially commenced the project to extend the national power grid to Co To Island and five island communes of Van Don district, Quang Ninh province. The project had a total investment of VND 1,106 billion, with a transmission line length of 58.3km, including 25km of submarine cable. It was completed on October 16, 2013, supplying electricity to residents and contributing to national security and defense in the Northeast region of the country.

The Ha Tien - Phu Quoc 110kV submarine cable project was launched on November 17, 2013, to supply power for the Phu Quoc island district (Kien Giang). The project had a total investment of VND 2,336 billion, with a submarine cable section of 55.8km. Southern Power Corporation (EVN SPC) has been actively implementing the project, which is expected to be completed in January 2014.

On October 10, 2013, the Ministry of Industry and Trade issued Decision No. 7609/QD-BCT approving the investment project 'Supplying electricity from national grid to Ly Son island district via submarine cable.' The project has a total investment of VND 652.5 billion, including 26.219km of submarine cable, with Central Power Corporation (EVN CPC) as the investor. EVN CPC is urgently carrying out the project to ensure completion by the end of Q3 2014.

From now until 2020, EVN will continue efforts to implement programs to provide electricity to villages and islands across the country.

Translator: Thu Hường