EVN comments on the draft Power Plan VIII by Institute of Energy

On 13 October, 2020, Vietnam Electricity and the Institute of Energy (Ministry of Industry and Trade - MOIT) held a working session on the draft National power development plan  period 2021-2030, with a vision to 2045 (Power Plan VIII). The conference was televised online to EVN's units nationwide.

The Institute of Energy presented reports on the general methodology for Power Plan VIII implementation; power load forecast; power generation and power grid development program; regional power grid connection, rural electricity, dispatching systems, investment capital and economic efficiency, environmental impact assessment, and so on.

According to Mr. Duong Quang Thanh - Chairman of EVN's Board of Members, EVN will continue to play a key role in ensuring power supply in the coming period.

The Institute of Energy reported on mechanisms and solutions to implement Power Plan VIII such as: formulating bidding mechanisms to select investors for power projects; support mechanisms for projects with high localization rate to promote equipment localization, attract supply chains of equipment to Vietnam, facilitate reducing power generation costs, and so on.

In addition, the Institute of Energy proposed building a direct electricity trading mechanism between renewable energy (RE) generating units and power users (Direct Power Purchase Agreement - DPPA); perfecting ancillary service mechanism in the electricity market to ensure flexibility in large scale integrated systems of wind and solar power sources; encouraging RE resources to participate in the electricity market; completing a legal framework to allow economic sectors to invest in transmission infrastructure; developing a charge and price mechanism for shared energy infrastructure to promote socialization of investment in power projects, and so on.

An open Power  Plan VIII would create space to mobilize and promote resources from society in the development of the power industry. Therefore, the Institute of Energy petitioned the Government to soon consider submitting the Electricity Law to the National Assembly for amendment in line with the development requirements of the power industry in the coming period; to assign MOIT to work out a plan to implement Power Plan VIII in short, medium and long terms. This would be the basis for the functional agencies to organize bidding to select investors for  electrical works.

The Institute of Energy petitioned the Government to assign responsibility in site clearance to localities with electrical works in their area, especially 220-500kV substations and power lines, to create favorable conditions for investors in implementing their projects on schedule.

At the working session, EVN exchanged and contributed many practical contents to the report of the Institute of Energy. A matter that was commented by the majority of EVN's units was the installed capacity of the power system in the coming period as calculated by the Institute of Energy, which seemed too large. Although it would ensure a high backup source, but recalculation should be needed to optimize the cost of the whole system. In addition, the development of power sources are strongly focused on RE and LNG. Hence, it should be necessary to calculate RE resource storage capacity, the feasibility of LNG to ensure energy security. Priority should be given to balancing the energy for regions to avoid building too many transmission grids, and so on.

EVN proposed the Institute of Energy to further clarify the issue of electricity import; a flexible mechanism to change and supplement the planning of power grid projects; the need to build a competitive primary energy market for the purpose of ensuring economic aspects of the system; consider incorporating capital mobilization mechanisms; compliance, binding responsibility of the investors, and so on.

According to the leaders of Vietnam Electricity, in the coming period, EVN will still play a key role in ensuring power supply to the country. Power plan VIII will be closely related to EVN's as well as its member units activities. Therefore, a timely grasping of the information on Electricity Plan VIII will help EVN better implement the leadership, management and administration. 


  • 13/10/2020 10:16
  • evn.com.vn
  • 817