Giá điện tăng, Tại sao EVN báo lỗ triền miên?

Summary

The Electricity of Vietnam (EVN) has faced persistent financial losses, reporting over 26,000 billion VND in losses for 2022. Despite being the main electricity provider in Vietnam, EVN struggles with high operational costs, including purchasing expensive electricity from the market. Factors such as rising prices for raw materials like coal and gas, along with low hydroelectric output, have compounded these challenges. The government has been urged to approve electricity price hikes to balance the financial situation, but EVN's losses raise questions about management efficiency and the viability of the country’s energy market structure.

Takeaways

• 😀 EVN (Electricity of Vietnam) reported losses exceeding 26,000 billion VND for the year 2022, continuing to face financial difficulties in early 2023.
• 😀 Despite being a monopoly in the electricity market, EVN has been facing continuous losses, raising questions about its financial management and operational efficiency.
• 😀 One of the key reasons for EVN's financial struggles is the increasing costs of electricity production, particularly due to rising prices of coal, gas, and oil.
• 😀 EVN's electricity pricing is government-regulated, which means that the company must sell electricity at lower prices than the actual cost of production, leading to sustained losses.
• 😀 In 2022, EVN's subsidiaries, such as the power generation companies, reported significant profits, which raises questions about the discrepancies in financial performance between EVN and its subsidiaries.
• 😀 EVN is the sole purchaser of electricity from other sources, including renewable energy and fossil fuels, meaning that price differences are directly impacting its finances.
• 😀 The increasing reliance on higher-cost sources, such as thermal power and oil-based generation, has exacerbated EVN's financial challenges, especially as the hydroelectric power output remains low due to water shortages.
• 😀 Despite investing in renewable energy sources like wind and solar power, EVN struggles to integrate these into the grid, resulting in waste and inefficiency, while the country continues to import electricity from neighboring countries.
• 😀 Lawmakers are questioning why EVN continues to import electricity when domestic renewable energy sources remain underutilized, leading to wasted potential in energy resources.
• 😀 Calls for reform include creating a more competitive electricity market, optimizing the energy mix to reduce costs, and involving the private sector to improve efficiency and ensure energy security in the long term.

Q & A

Why is EVN continuously incurring losses despite being the sole electricity provider in Vietnam?

EVN's continuous losses stem from the disparity between the high costs of purchasing electricity at market rates and the lower, government-regulated retail price. Additionally, during periods of low water levels in hydropower plants, the cost of generating electricity increases as EVN has to rely on more expensive energy sources like thermal power and imported electricity.

How did EVN report a loss of over 26,000 billion VND in 2022?

EVN reported a loss of over 26,000 billion VND in 2022 due to rising production costs, particularly the sharp increase in the prices of coal, gas, and oil. The costs associated with electricity generation outpaced the revenues from electricity sales, which were kept low by government regulations.

What are the main causes of EVN's financial difficulties in 2022?

The primary causes of EVN's financial troubles in 2022 were increased input costs for fuel sources like coal and oil, the lack of sufficient hydropower generation due to low water levels, and the inability to increase electricity prices in line with market rates due to government control.

How did EVN's subsidiary companies perform financially in 2022 despite the group's overall loss?

Several of EVN's subsidiaries, such as the Electricity Generation Corporations 2 and 3, reported profits in 2022. This discrepancy highlights a potential issue in how EVN manages its operations, especially since the subsidiaries' profitability contrasts with the parent company's overall financial struggles.

Why is EVN the only entity that cannot increase electricity prices in line with production costs?

EVN is the only entity unable to raise electricity prices in line with production costs because the government regulates the retail price to protect consumers. As EVN is still the sole buyer of electricity in Vietnam, it is forced to absorb high production costs, which leads to ongoing financial losses.

What are the government’s responses to EVN’s financial situation and proposed price adjustments?

The government has recognized the need to adjust electricity prices in response to increased production costs. EVN has presented its proposals to the Ministry of Industry and Trade and the Ministry of Finance for review, but any price changes require government approval and thorough assessments to ensure fairness and market stability.

Why is EVN importing electricity from neighboring countries like Laos and China?

EVN imports electricity from neighboring countries because Vietnam's domestic power generation is insufficient, particularly due to low output from hydropower plants. These imports help ensure a stable supply, but they also contribute to higher electricity costs, which further exacerbate EVN's financial struggles.

What role do renewable energy sources like wind and solar play in Vietnam’s electricity supply?

Renewable energy sources like wind and solar are part of Vietnam's long-term strategy to diversify its electricity supply. However, despite having several projects approved, the integration of these renewable sources into the national grid is still problematic, with many projects unable to connect due to system constraints, leading to inefficiencies and wasted resources.

What is EVN’s stance on the development and integration of renewable energy into the grid?

EVN has expressed concerns about the challenges of integrating renewable energy into the grid, particularly the issues with balancing supply and demand. Although renewable projects have been approved, EVN has struggled with connecting them to the grid due to technical limitations and lack of proper infrastructure.

What steps are being considered to address EVN’s financial and operational challenges?

To address its challenges, EVN is pushing for adjustments to electricity prices to better reflect the rising costs of energy production. Additionally, there is an emphasis on improving grid infrastructure and optimizing the use of renewable energy sources to reduce dependency on expensive imported power and ensure energy security in the long term.