The ceiling prices for power generation of thermal electricity and hydroelectricity unchanged in the year of 2017 (Photo: VNA)

Hanoi (VNA) - The Ministry of Industry and Trade has decided to keep thermal and hydroelectric power price ceilings unchanged in 2017.

According to a decision stipulating new electricity tariffs, the ceiling price for power generation of thermal electricity plants excluding value-added tax (VAT) will be 1,568 VND per kWh (about 7 US cent).

The power price for the thermal electricity plants was calculated based on the coal price (including losses, management cost, insurance and excluding transport cost) of 1.3 million VND per tonne.

The hydroelectricity plant price ceiling will be 1,070 VND per kWh, excluding tax on water resources, environment fee and VAT.

The decision took effect January 1st, 2017. The ministry required the Electricity of Vietnam (EVN) to report difficulties to the Electricity Regulatory Authority of Vietnam during the decision implementation.

Based on electricity tariff ceilings, EVN and power generation units negotiate selling prices to follow the current legal regulations.

In 2015, the ceiling prices for power generation of thermal electricity and hydroelectricity were 1,060 VND and 1,383 VND per kWh.

During a recent conference to review EVN’s 2017 business operation plans, Dang Hoang An, the group’s general director, said its electricity production costs this year will increase by 5 trillion VND (225 million USD), as coal prices sold to electricity rose by 7 percent from the end of last year.-VNA