Delegates participating in the discussion
In the Draft Proposal of the National Power Development Plan for the period of 2021-2030, with a vision to 2045 (Power Plan VIII), the Ministry of Industry and Trade assessed: The trend of shifting from fossil fuels to uncertain renewable sources of wind and solar requires system regulation techniques as well as the power transmission grid system to be upgraded and applied with new technology. The energy transition has been and will continue to take place to ensure energy security because fossil fuel resources have been exhausted (Vietnam has had to import coal since 2015) and the related cost is too high compared to the capacity of the Vietnamese economy and the costs are too high compared to its capacity (oil and gas prices are unstable and mainly subject to wars and geopolitics). Wind and solar power sources have developed rapidly in a short time, concentrated in the central and southern regions, making the construction of the power grid to release capacity unable to keep up the expectation. Therefore, in order to promote investment efficiency to adapt to the trend of the energy transition, it is necessary to focus on developing a balanced distributed power system in the region and reducing inter-regional power transmission.
Mr. Le Quoc Minh – Editor-in-Chief of Nhan Dan Newspaper speaking at the talk show
Sharing at the talk show, a representative of EVNNPT noted: Currently, most of the power transmission system infrastructure is managed and operated by EVNNPT. Specifically, there are 178 220-500kV substations with a total capacity of nearly 112,000MVA, more than 28,600 km of transmission lines. Regarding key grid projects, despite facing many obstacles, EVNNPT has also put into operation many projects such as: Vung Ang - Quang Trach - Doc Soi - Pleiku 2500kV transmission line, circuit 3, capacity release works for Lai Chau Hydropower Plant, Vinh Tan, Duyen Hai, Nghi Son, Hai Duong and Song Hau Thermal Power Plants. In particular, EVNNPT has made great efforts to put into operation projects to release the capacity of renewable energy sources. Along with that, there are projects to ensure power supply for big cities, load centers, and key economic zones.
With investment needs up to 2030 and a vision to 2045, according to the draft Power Plan VIII, if allowed by the Prime Minister, the investment volume in the transmission grid is very large to serve the socio-economic development of the country. Accordingly, in the 10 years from 2021-2030, the total investment capital demand for the power grid system is more than VND 335,000 billion, equivalent to about VND 35,000 billion/year.
The representative of EVNNPT said that the policy of the Party and the State has now allowed attracting resources to invest in the transmission grid, contributing to sharing resources for investment in the construction of the power grids. However, a number of legal documents, regulations and guidelines are not so specific on the scope of investment between state investors and non-state investors; There is no pricing mechanism with investors, so there are still problems in implementing the socialization of power transmission investment.
Speaking at the talk show, Mr. Dang Huy Cuong - Member of the Member Board of EVN and Mr. Nguyen Tai Anh - Deputy General Director of EVN said: For many years, in the role of investors, EVN and EVNNPT have always ensured to perform well the tasks assigned by the Government in terms of investment, construction and operation of power transmission works. The current main problems for the transmission network are not capital sources, but issues related to the project sites, a number of related mechanisms and policies, especially the conversion of forest land use purposes. EVN has been assigned by the Government to perform a political task in the investment and operation of the power grids, including the goal of macroeconomic stability, so the current transmission rates/fees shall also meet that goal, not merely be considered a profitable business. In terms of policy, EVN is also very supportive of non-EVN investors participating in the socialization of transmission network investment, but what conditions and boundaries allow such socialization to ensure national defense and energy security should be specifically guided by competent state agencies. In addition, the coordination by local authorities at all levels also plays a very important role in the project implementation process, especially in terms of the construction sites and construction services, including the investment and operation phases of the power transmission grids.
From right side: Mr. Dang Huy Cuong - Member of the Member Board of EVN, Mr. Nguyen Tai Anh - Deputy General Director of EVN, Mr. Truong Huu Thanh - Deputy General Director of EVNNPT attending the talk show.
In respect of Trung Nam Company's opinion that EVN has not fully mobilized wind and solar power sources, Mr. Nguyen Tai Anh said: EVN always created conditions to make the most of renewable energy sources such as wind and solar. The mobilization of power shall first ensure compliance with the provisions of the law. Therefore, the part of power capacity that has not been regulated by the competent authorities on the purchase price of electricity is not allowed to be mobilized. In addition, the capacity mobilization of various types of power generation in the system shall still ensure fairness, transparency and suitability with the power consumption needs of the system.
In the past, there were also a number of power grid projects built by power non-EVN investors to be connected to the national power system. After completing the construction, the investors will continue to manage and operate these lines and stations or hire a power transmission unit (under EVNNPT) to operate them. The 500kV transmission lines and substations invested recently by Trung Nam Company bear similar characteristics. However, for the proposal of Trung Nam Company about considering handing over 500kV transmission line and substation projects invested by the Company into EVNs, it is necessary to receive specific guidance from competent authorities on the basis of ensuring compliance with the law.
Mr. Nguyen Duc Kien - Head of the Prime Minister's Economic Advisory Group speaking at the talk show
According to Mr. Nguyen Duc Kien - Head of the Prime Minister’s Economic Advisory Group, in the past period, EVN/EVNNPT has met relatively well the goal of power transmission to release power. Currently, electricity prices are calculated in detail and submitted by EVN to all levels of state management agencies for appraisal and approval in accordance with regulations. Vietnam's electricity prices currently still have to be managed by the State, cannot float according to the market, but shall first meet the goal of stabilizing the macro-economy of the whole country. The operating principle of enterprises in the market economy is to get profit, pricing is the most important motivation to mobilize other economic resources to participate in the market, but in Vietnam, electricity prices have to harmonize the interests of the people, enterprises and the state.
At the talk show, some experts said that in order to attract resources to invest in the transmission network, it is also necessary to have an attractive price policy. However, most of the comments also stated that the power transmission grids are directly related to national security - defense, energy security, and at the same time, it is a field with high technology content, so giving specific instructions from state management agencies will need to be carefully and carefully studied.