EVN required to come up with solutions to accelerate progress of the projects to ensure power supply for the economy. (Source: evntelecom.com.vn)
Hanoi (VNA) – Prime Minister Nguyen Xuan Phuc has asked the Electricity of Vietnam (EVN) to clarify the results of its restructure, electricity production and distribution while ensuring its growth rate of 11.5 percent per year.

The message was conveyed on June 21 by a working group led by the Government Office’s Vice Chairman Nguyen Cao Luc.

Luc said that in May, the PM requested the working group to implement check-ups on some State-owned groups, including the EVN, on carrying out their assigned tasks. In addition, the working group will review the implementation of the PM’s Directive No.24 on key solutions to achieve the growth rate target of 6.7 percent this year.

EVN was urged to ensure electricity supply for the economy in general and the southern region in particular to avoid power shortages, and needed to report measures undertaken to achieve the set targets.

“Ensuring power supply has been one of solutions put forward to meet the economy’s growth rate target. However, there has been some overloading of the power supply in 2017, causing instability for the system’s operation. In the four days of extremely hot weather at the beginning of last month, there were up to 12,632 calls to EVN’s call centre relating to power outages. EVN should have solutions to prevent such a situation,” he added.

The PM’s message also noted that the group should review its operations at hydropower plants and flood spillways to avoid adverse effects on people downstream.

In addition, the group’s  investment in some projects that are part of the Vietnam Power Development Master Plan VII have been delayed due to difficulties in arranging capital and construction administration.

EVN was required to come up with solutions to accelerate progress of the projects to ensure power supply for the economy.

Figures from EVN’s integrated financial report in 2015 showed that the group held the leading position in term of debts in comparison with other State-owned groups and corporations. Its loans have been mostly guaranteed by the Government. A report from the Ministry of Finance revealed that EVN in 2015 borrowed an additional 2 billion USD, increasing the Government guarantee level for the group to 49.7 billion USD so far.

“EVN should enhance capital utilisation effectiveness while diversifying loans in foreign currencies to reduce exchange rate risks. The group should report on solutions to reduce direct and indirect spending,” the vice chairman said.

EVN was assigned 153 tasks from the Government and the PM from October 1, 2016 to June 10, 2017. Of which, 129 tasks were completed while 24 are still to be implemented.

The group therefore should put forward measures to ensure the progress of the assigned tasks.

Deputy Minister of Home Affairs Nguyen Trong Thua said that the production and business efficiency of the group is not high; therefore, it has to apply high technology to reduce its costs for production and business.

EVN should also have more measures to attract high-quality human resources, Thua added.

EVN Chairman Duong Quang Thanh said the group pledges to supply enough power for socio-economic development in the remaining months of 2017 with the growth rate of at least 13.4 percent to reach the yearly target of 11.5 percent.-VNA