Mirae Asset expects the review process of the draft Energy Plan VIII to be completed in 2023.
Mirae Asset expects the review process of the draft Energy Plan VIII to be completed in 2023.
In its 2023 strategic report, Mirae Asset Securities JSC said that it is likely that electricity prices retail sales will be revised upwards in 2023, based on 4 factors.
1) There is room for inflation control The guidance for 2023 will be stricter if the cap is raised from 4% to 4.5%.
2) According to Decision No. 24, the Prime Minister authorizes EVN to periodically review the input parameters for the calculation of electricity prices every 6 months.
3) From 2019 to present, Vietnam has not adjusted retail electricity prices, while input costs have increased.
4) EVN's average electricity purchase price in the first 10 months of 2022 reached 1,730 VND/kWh, up 21% compared to the same period and 20% compared to the average price in 2019-2021.
Mirae Asset expects the review process of the draft National Energy Development Plan VIII to be completed in 2023.
According to the draft Energy Plan VIII submitted by the Ministry of Industry and Trade in August 2022, Vietnam's electricity consumption will maintain a compound growth rate of 8.8% over the next 10 years.
Almost 90% of electricity demand from the industrial, construction and civil engineering sectors will continue to drive electricity demand, especially in key economic regions
The draft Energy Plan VIII has been under evaluation since March 2021.
The government plans to harmonize three main issues: ensuring the supply of electricity for economic development; implement the commitments made by Vietnam at the United Nations Climate Change Conference (COP26) with the goal of net-zero CO2 emissions by 2050; and provide electricity at reasonable prices.
Via Vietnambiz