Vietnam to examine potential issues with recent power price hike

By Anh Minh   May 4, 2019 | 09:29 am GMT+7
Vietnam to examine potential issues with recent power price hike
An electrician checks electric cables in Hanoi. Photo by VnExpress/Thu Ngan

Government inspectors will study the latest power price adjustment that saw electricity bills go up by 8.36 percent from March 20.

Prime Minister Nguyen Xuan Phuc has asked the Government Inspectorate to work with the ministries of industry and trade, and finance to study the latest electricity price adjustment, including the method used to calculate the price and the collection of electricity bill payments.

The inspectorate and the two ministries should clarify whether the electricity price increase was right or wrong and report to the PM by next month.

A document issued by the Government Office says the prime minister's decision follows many households complaining about sudden and significant increases in their electricity bills for April.

However, the electricity sector has said that the surge in bills is only partially due to the increase in electricity prices. It has said that unusually hot weather conditions and the resultant increase in households' electricity consumption are other contributing factors.

Speaking to VnExpress Thursday, Minister of Industry and Trade Tran Tuan Anh said his ministry would set up inspection teams at electricity companies to ensure strict compliance with the ministry's decision to increase electricity price by 8.36 percent.

Vietnam, one of Asia’s fastest-growing economies, has been struggling to develop its energy industry.

World Bank country director for Vietnam Ousmane Dione said at a recent forum that Vietnam would need to raise up to $150 billion by 2030 to develop its energy sector.

Dione added that electricity demand in the country is set to grow by about 8 percent a year for the next decade.

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