Information on electricity price policy for workers, students and house-renting labourers

On May 20th 2018, the meeting between Prime Minister Nguyen Xuan Phuc and workers in industrial zones in the Red River Delta in Ha Nam province was organized by Vietnam General Confederation of Labour in collaboration with Labour Federations of localities in the Red River Delta.

At the meeting, Ms. Nguyen Thi Thanh Huyen from NMS Vietnam Co., Ltd, Ha Nam province reported to the Prime Minister: “Currently, migrant workers have to bear higher electricity and water prices than the local households. Responding to this information, the Prime Minister requested the leaders of Ha Nam province, Ministry of Industry and Trade, Electricity of Vietnam as well as other localities to jointly inspect the boarding houses to find out the reality as complained by the workers. If it is true, the landlord has committed violation of the law.

To help the public understand more about this matter, EVN would like to provide more information of electricity price policy for workers, students and house-renting labourers as follows:

Article 10 of Circular No. 16/2014/TT-BCT dated  May 29th 2014 by Ministry of Industry and Trade on guiding the implementation of electricity price specifies as follows:

1. Landlord signs power purchase agreement (PPA):

i. To be applied a certain power amount or a retail electricity price at level 3 (if the households cannot be quantified), specifically:

- Document comprises a temporary residence book or a temporary residence confirmation record by local public security. When there is a change in tenants, the landlords shall be responsible to inform the power suppliers to adjust the calculated power calculation rate.

- Every 4 persons are regarded as a household using electricity to calculate the standard amount applicable to retail electricity prices. Specifically, 1 person is applied to 1/4 of standard amount, 2 persons applied to 1/2, 3 persons applied to 3/4, 4 persons applied to 1 standard amount;

- In case people using electricity cannot be quantified, the retail electricity price at level 3 (from 101 - 200 kWh: 1,858 VND/kWh excluding VAT) shall be applied to the whole power output.

ii. Calculating and collecting method by landlord

- The landlord is responsible for collecting electricity payments from tenants with the same retail electricity price as stated in monthly electricity bill issued by Power Company plus 10% for power loss, lighting and water pump expenses.

2. Students and house-renting labourers registering for temporary residence from at least 12 months shall enter into a power purchase agreement (PPA):

- Representative of labourers or students signs PPA (with commitments to pay electricity bills for the landlord). Power Company directly issues invoice to the tenants.

3. Conducting inspection and supervision, sanction of administrative violations of landlords who charge electricity price higher than that of regulations:

- Article 16, Clause 2, section b of Circular No. 16/2014/TT-BCT, dated 29th May 2014 stipulating on the implementation of electricity prices, the Department of Industry and Trade is responsible for: “Implementing the calculation of standard power amount used by households and the retail electricity prices at house-leasing addresses, in order to ensure that the regulations on retail electricity prices stipulated in the Circular will be applied rationally to tenants”.

- Article 12, Clause 6 of Decree No. 134/2013/ND-CP dated October 17th, 2013 by the Government on sanctioning the administrative violations in the field of electricity, hydroelectric dam safety, energy efficiency and saving: A fine of 7,000,000 - 10,000,000 VND shall be imposed on landlords who charge electricity bill higher than the stipulated price when purchasing power at retail prices for daily life.

Implementing Circular No. 16/2014/TT-BCT, in the past time, Power Companies coordinated with Departments of Industry and Trade of provinces and cities to periodically organize missions to inspect the electricity prices of tenants and have taken many measures to deal with violations of electricity prices under regulations.

Pursuant to the instruction of the Prime Minister at the meeting with workers in industrial zones in the Red River Delta  on May 20th, 2018 in Ha Nam province, EVN has directed the Power Corporations, Power Companies in provinces and cities to promptly to implement the following measures:

- Power Companies shall coordinate with local authorities to disseminate and guide on house tenants on electricity price implementation. Publicly announcing electricity price tables at boarding houses, residence centers and people’s committees of districts, wards, communes and towns; Management board of living quarters, Export Processing Zones and Industrial Zones.

- Regularly coordinate with the State management agencies and the Department of Industry and Trade to ensure that tenants are applied the retail electricity prices following regulations; make plan, implement inspection and handle cases of violating the regulations on electricity prices by the landlords in the localities so as to limit landlords in making use of pricing policy to gain profits from the tenants.

- Pro-actively coordinate with localities to manage, review, compare and agree on the data of the number of boarding houses, rooms and tenants to timely report to the Corporation and the People’s Committee of the province or city.

CONTACT:

Electricity of Vietnam

Public Relations Department

Tel: 04.66946411

Address: No. 11 Cua Bac Street, Truc Bach Ward, Ba Dinh District, Hanoi;

Website: www.evn.com.vn, www.tietkiemnangluong.vn


  • 22/05/2018 10:02
  • evn.com.vn