The Vietnamese Prime Minister Pham Minh Chinh is of the view that the country’s power price should be maintained in a reasonable way given the energy demands.
He stated that the power price hike proposed by the national power utility should be in line with real Vietnamese incomes. He further urged to help Vietnam explore and gain benefits of the potential of wind and solar power.
"The price of electricity in Vietnam cannot be the same as that of developed countries. If the price is too high, people, businesses and the economy will not be able to bear it," Chinh said, according to the local reports.
He further stated that the Ministry of Industry and Trade should regulate prices in order to keep inflation under control. The ministry is reviewing the energy status and price.
The latest proposal comes after the national utility Vietnam Electricity (EVN) opted to increase retail prices. EVN made this decision as it had to lose VND31 trillion ($1.3 billion) last year, the report added.
To be noted, Vietnam’s retail electricity is lower than that of the Philippines, Indonesia and Thailand, however, more than Laos, Bangladesh, India and Turkey.
The country’s Power Development Plan 8, which maps out energy plans for the next decade, has not been finalized yet.