Building EVN into strong energy corporation, doing business effectively and sustainably

Building EVN into a strong corporation in the field of energy, doing business effectively and sustainably, meeting the power source for economic development and people's needs, and supporting people living in remote and disadvantaged areas - That was one of the instructions by Vice Prime Minister Le Minh Khai when chairing a meeting on the production and business situation and development of a project to restructure Vietnam Electricity (EVN) in the 2021-2025 period. The meeting took place on May 11.

Vice Prime Minister Le Minh Khai making speech

EVN's restructuring scheme aims to develop EVN into a strong economic group with sustainable, efficient and profitable business; preserving and developing state equity invested in EVN and capital invested by EVN in other enterprises; playing a central role in the development of Vietnam Electricity; having a high level of modern technology, management and specialization; electricity production and trading, electricity consulting are  the main business lines; closely linking production and business with science, technology, research and development, as well as training; maximizing the operational efficiency of the Group; acting as the core for Vietnam's electricity industry to develop quickly and sustainably, compete and integrate into the international economy effectively; continue to participate in completing and developing the electricity market according to the roadmap prescribed by the Government; successfully build the image of a business responsible to the community and society, serving customers with better service quality.

EVN proposes, for the parent company, EVN to continue to be a one-member limited liability company with 100% charter capital held by the State. For member units, it is proposed by EVN that some branches be kept unchanged in terms of the organization, and operating mechanism and be included in the structure of the parent company for some branches. At the same time, it also proposes a list of enterprises in which EVN holds 100% of charter capital, 50% of charter capital, less than 50% of charter capital, implements divestment, and so on.

Implementing EVN's development strategy, over the past time, the Group has developed a plan to implement specific tasks; review and amend business lines. EVN sets out targets to improve governance capacity and focuses on three groups of solutions: perfecting management institutions; improving management methods and tools; standardizing and improving the quality of human resources and remuneration policies for employees.

EVN has been developing and implementing solutions to ensure financial balance in the 2021-2025 period, including perfecting financial management; optimizing costs, increasing revenue in electricity production and supply; amending and supplementing various types of cost norms to save production costs in each stage of production and business; closely monitoring economic - technical indicators that affect the cost of power production, transmission, and distribution.

In addition, the group has also come up with solutions to review and consolidate the management apparatus organization, improve the efficiency of human resource use; promote digital transformation and research and apply science and technology; Research and implement energy transition strategies…

Mr. Dang Huy Cuong, Board Member, in charge of EVN's Member Board reporting at the meeting.

Vice Prime Minister Le Minh Khai highly appreciated the efforts made by EVN and the Commission for the Management of State Capital at Enterprises; noted: EVN is one of the big groups, its products have special properties for people's life and production and business activities of the economy, therefore, the formulation of the restructuring project in the next period shall closely evaluate reality, set appropriate goals and have feasible and effective implementation solutions.

The Vice Prime Minister requested the Commission for the Management of State Capital at Enterprises and EVN based on Decision No. 360/QD-TTg and the Government's resolutions to develop the objectives and contents of the project. The goal is to build EVN into a strong group in the energy field, to meet the power source for economic development and the needs of the people, and to support people living in remote and disadvantaged areas. The Group shall do business, and maintain and develop capital effectively and sustainably.

The Vice Prime Minister also requested the Commission and EVN fully to get comments at the meeting and complete the draft project. On the basis of objectives and actual operations, requirements set forth, as well as current legal regulations, it is required to design the EVN model in a way that suits the model of a large enterprise.

  • 11/05/2023 11:58
  • 132