Hanoi (VNA) – Fitch Ratings upgraded the Standalone Credit Profile (SCP) of Northern Power Corporation (EVNNPC), a unit of Electricity of Vietnam (EVN), to "bb+" from "bb" while affirming its Long-Term Foreign-Currency Issuer Default Rating at "BB+", with a stable outlook.
The SCP upgrade was the main change in this year's review. Fitch pointed to EVNNPC's continued improvement and a more effective electricity tariff adjustment mechanism in Vietnam. It also cited the close ties between EVNNPC and its parent, with the unit's SCP now at the same level with EVN's.
Fitch said EVNNPC holds a strong market position as the electricity distributor for northern Vietnam, backed by a diversified customer base. Both support operational stability and credit quality. The scale of the business and steady demand growth reinforce its role within EVN's distribution system.
EVNNPC's commercial electricity output reached 106.54 billion kWh in 2025, or 37.11% of EVN's total, keeping it the largest of EVN's power distribution corporations.
In the first eight months of 2026, output rose 12.04% from a year earlier to 79.16 billion kWh, a sign that demand in northern Vietnam is still growing strongly.
Fitch expects demand in EVNNPC's service area to keep climbing over the medium term, but flagged the heavy investment needed to expand and modernise the grid. The company is responding by strengthening operations, improving supply quality and management efficiency, and speeding up digital transformation, aiming for a modern, flexible distribution network that can keep pace with northern Vietnam's economic growth./.
