Mr. Duong Quang Thanh - Chairman of EVN’s Member Council answering interview on some issues related to implementing electricity retail price and market.

After the information revealed on mass media that the Ministry of Industry and Trade (MOIT) has reported to the Prime Minister on implementing electricity price option in accordance with the Government’s Resolution as well as reported results of inspecting the implementation of Decision No. 648/QD-BCT on adjusting electricity retail prices from 20th March 2019, Mr. Duong Quang Thanh – Chairman of EVN’s Member Council answered the interview on a number of issues related to implementing electricity retail prices and the electricity market.

Chairman of EVN’s Member Council - Mr. Duong Quang Thanh

Reporter: For the contents as proposed in the report by the MOIT on adjusting electricity price list, information on electricity bills or installing electronic meters, etc., how is the implementation planned by EVN, Sir?

Mr. Duong Quang Thanh: With the direction from the MOIT, EVN firstly sent documents to request its Power Corporations to closely review and inspect the calculation of bills and timely settle complaints and inquiries from customers, strengthen customer service, and timely provide information in a transparent manner to press agencies and their relevant agencies.

The Group will provide adequate information on its customers’ monthly power consumption to the MOIT and the Ministry of Planning and Investment for assessing indirect impact by the increase in electricity prices since 20th March 2019, including the comparison of monthly power consumption with the same period in 2018, before the electricity price increase and other relevant information as required.

The Group will summarize data on customers’ power consumption by levels, assess the actual consumption situation in combination with studying about experiences from other countries and make a report to the MOIT on its option for adjusting levels of domestic electricity price and price schedule, widely consulted with people, then submit it to the Prime Minister for consideration and approval.

 Currently, all power users can search for information about their power consumption, electricity bill and calculating method for electricity bills in the month, however, the Group will timely study to adjust the Form of electricity bills monthly issued for easier understanding, timely correct errors, if any, in the process of meter reading and paying electricity bills, promote the installation of remote meters for customers for easily updating information, monitoring their power consumption, especially, the two big cities of Hanoi and Ho Chi Minh,  striving to basically complete in 2020.

Particularly, the Group always strengthens the information dissemination of its activities: power supply, costs and information in accordance with Decree No. 81/ND-CP of the Government on disclosing information by state-owned enterprises to timely and transparently provide related information to people.

Reporter: In the report submitted to the Prime Minister, the MOIT has emphasized on the continuation of promoting preparatory work to put the competitive retail market into operation in 2021; in restructuring and preparing EVN’s infrastructure, how has the Group prepared for this roadmap?

Mr. Duong Quang Thanh: In restructuring, the Group has strictly implemented Decision No. 168/QD-TTg dated 7th February 2017 by the Prime Minister. Based on this decision, the Group has conducted the equitization of 3 Power Generation Corporations and transferred the National Load Dispatch Center to independent accounting unit in the Group and equitized the retail service to implement the retail electricity market from 2021.

Currently, the Group has completed the equitization of Power Generation Corporation 3, approved the equitization plan of Power Generation Corporation 2 and is submitting the equitization plan to the Prime Minister for Power Generation Corporation 1. It is expected to complete the equitization procedures for Power Generation Corporations 1 and 2 in 2019 - 2020. After 2 years of operation under the model of Joint stock company, the Group will prepare plan of divesting all the capital at the Corporations, then report its performance to the Prime Minister for consideration and approval.

The Group completed the scheme to transform the National Load Dispatch Center into a one-member limited liability company and submitted it to the Commission for the Management of State Capital at Enterprises by the end of 2018. Currently, the Commission is reviewing and submitting the scheme to the Prime Minister for approval. After obtaining approval from the Prime Minister, the Group is going to urgently implement it.

The Group will complete the Scheme of separating the distribution and the retailing organization in 2019 and all the above-mentioned restructure is aimed at forming a competitive electricity retail market.

Regarding the competitive electricity retail market, implementing the direction from the MOIT, the Group is developing a pilot option and going to submit it to the MOIT for approval in July 2019; at the same time, carrying out investment in electricity market infrastructure, completing a draft on and submitting legal regulations to the MOIT for promulgation to speed up the implementation of the competitive electricity retail market, separating retail units in order to conduct equitization specified in the roadmap under Decision No. 168/QD-TTg of the Prime Minister.

Reporter: Thank you very much, Sir.

  • 20/05/2019 04:17