EVN told to handle loss-making projects
Deputy Prime Minister Vuong Dinh Hue has requested the Electricity of Vietnam (EVN) to review loss-making projects to ensure investment flows for its production and business.
He also asked the national power company to propose tariffs based on true production costs this year. The move aims to ensure EVN’s profits and create favourable conditions to attract investment in renewable energies, and at the same time to curb inflation.
However, EVN says it has set a range of plans to knock off costs of about VND3 trillion from the projected increase. Last year, its total revenue reached VND278 trillion, posting a 14% year-on-year rise. All units reported profits in 2016.
The deputy PM asked the group to focus on balancing capital every year in the 2017-20 period to save at least 10% a year.
The ministry, EVN and relevant agencies plan to complete the privatisation process of Power Generation Corporations in the third quarter of the year.
Duong Quang Thanh, EVN Chairman, said it would apply automation at all units, especially power transmission and distribution.
The Central Power Corporation has cut about 1,000 people from its payroll by installing two million electronic metres.