Experts recommend that EVN adjust electricity prices more flexibly according to market signals.

According to experts, the core element of a competitive electricity market is the electricity pricing mechanism. Photo: Hai Nguyen

At the conference to collect opinions from experts, managers, businesses and units related to the energy sector on the implementation of the competitive electricity market organized by the Ministry of Industry and Trade , Mr. Pham Nguyen Hung, Director of the Electricity Department (Ministry of Industry and Trade) said that the Ministry has urgently summarized and developed the Government's Action Program to implement Resolution 70-NQ/TW, focusing on perfecting institutions, supervising energy planning and strategy, and ensuring national energy security.

In addition to the achievements of the electricity market after 13 years of implementation under Decision 63/2013/QD-TTg, many bottlenecks still exist. The Electricity Authority pointed out such as: the rate of electricity sources participating in the market is low (especially BOT, renewable energy); the competitive wholesale electricity market has not really opened up to many wholesale electricity buyers; the ancillary service market has not yet formed; the output contract mechanism has not yet been effective; PPA negotiations are prolonged; there is a lack of risk management tools; retail prices have not separated costs, and there is still cross-subsidy.

To resolve the issue, the Government issued Decree 72/2025/ND-CP on the mechanism for adjusting retail electricity prices, building a price framework for electricity generation, import, transmission and ancillary services; reforming the household price list to 6 levels; adding prices for tourism and electric vehicle charging; and preparing to pilot a two-component electricity price mechanism from the end of 2025.

To achieve the dual goal of both increasing market competitiveness and ensuring energy security, Mr. Nguyen Duc Ninh - General Director of NSMO proposed that the Ministry of Industry and Trade direct three groups of solutions.

"Promulgate early the roadmap for electricity market development to replace Decision 63/2013/QD-TTg, creating a synchronous legal foundation for the new phase; organize detailed implementation, clearly assign responsibilities between the Electricity Authority, NSMO, EVN and related units to ensure progress. Arrange urgent information technology infrastructure resources: approve and deploy the MMS electricity market system project and other infrastructures in 2025, serving operations and payments according to the requirements of the competitive electricity market" - Mr. Nguyen Duc Ninh proposed.

According to Mr. Nguyen Xuan Nam - Deputy General Director of EVN, the process of building a competitive electricity market must be placed in the specific context of Vietnam. Firstly, the proportion of renewable energy has accounted for 30% of the system capacity (nearly 30,000 MW), creating great pressure on dispatching and operation. Secondly, the demand for electricity growth of 12-15%/year is very "hot" compared to many developed countries, where the increase is only about 3%. If the market design is not suitable, Vietnam will find it difficult to attract new investment.

Mr. Bui Quoc Hoan - Deputy General Director of Southern Power Corporation (EVNSPC) affirmed: The core element of the competitive electricity market is the electricity price mechanism. Currently, there is still a situation of cross-subsidy between customer groups and between regions. To implement a competitive retail market, it is necessary to consider building a flexible electricity retail price mechanism, negotiated by electricity retailers and electricity customers according to electricity market regulations. Customers who do not participate in the market will apply a unified retail electricity price according to State regulations.

Regarding this issue, energy expert Ha Dang Son recommended that the Ministry of Industry and Trade soon study and switch to applying a more flexible electricity price mechanism, linked to actual consumption and new technology, allowing EVN to adjust retail electricity prices more flexibly according to market signals.

Regarding the above issues, Mr. Pham Nguyen Hung - Director of the Electricity Department affirmed: Ensuring national energy security is a consistent goal, covering planning, investment in power sources, transmission grids and electricity markets. This is the foundation for the national power system to operate safely, stably and sustainably.

“Resolution 70-NQ/TW not only sets the goal of electricity supply security, but also emphasizes the principle that people and businesses have the right to choose their electricity suppliers. This means that a competitive retail electricity market is the inevitable destination,” Mr. Hung emphasized.

Source: https://baoquangninh.vn/chuyen-gia-kien-nghi-cho-evn-dieu-chinh-gia-dien-linh-hoat-hon-theo-tin-hieu-thi-truong-3378232.html