Three Giant Groups Enhance Cooperation for National Energy Security

5:15:41 PM | 5/27/2014

At the conference to review one year of implementing the Strategic Cooperation Partnership between the Vietnam Electricity Group (EVN), the Vietnam National Gas and Oil Group (PVN) and the Vietnam National Coal and Mineral Industries Holding Corporation Limited (Vinacomin), Minister of Industry and Trade Vu Huy Hoang said: “Vietnam’s three groups need to develop their key roles in energy development and national energy security”.
In 2013, three groups EVN, PVN and Vinacomin enhanced six areas of strategic cooperation to provide a basis for combining their strength for mutual development. These groups have significantly contributed to national energy supply as they closely connect with each other (the coal and oil and gas sectors provide fuel for the electricity sector, while the electricity sector provides power for production of coal, oil and gas).
In the short run, the three groups would agree with each other on coal supply for thermal power plants and communicate their problems to Prime Minister Nguyen Tan Dung and the Ministry of Industry and Trade for timely resolution. EVN, PVN and Vinacomin need to get together to ensure national energy security in facilitating socio-economic development.
Specifically, regarding power source projects, these groups cooperated in the Nhon Trach 2 Thermal Power Plant, Hua Na Hydropower Plant, Dakdrinh Hydropower Plant, Phu Quy Island Wind Power Plant and Thai Binh 2 Thermal Power Plant. The EVN International Joint Stock Company, which was capitalized by the EVN and PV Power, and launched a series of projects such as Se San 1, Se San 2 and Se San 5 hydropower plants. The EVN National Power Transmission Corporation (EVN NPT) concluded agreements to invest in complete power network projects and connect them with the PVN’s Vung Ang 1 Thermal Power Plant, the PVN’s Dakdrinh Hydropower Plant and the Vinacomin’s Mao Khe Thermal Power Plant. The EVN NPT concluded an agreement to connect with the PVN’s Long Phu 1 and Thai Binh 2 thermal power plants and is considering connection with the PVN’s Song Hau 1 Thermal Power Plant and Vinacomin’s Dong Nai 5 Hydropower Plant.
Regarding domestic and international coal transportation for supply to power plants, Vinacomin would sign agreements and carry out negotiations on coal transport and supply to the PVN and EVN thermal power plants such as Thai Binh 2, Vung Ang 1, Quang Ninh 2, Hai Phong 2, Nghi Son 1, Mong Duong 1, Duyen Hai 1, Duyen Hai 3, Vinh Tan 2, Vinh Tan 4 and Thai Binh 1.
Regarding power plant operation, the National Power System Control Centre closely associated with PV Power and the Vinacomin Power Corporation to quickly resolve problems in order for power plants to work at full capacity and in a safe manner to facilitate the national power system and economic development.
In addition, these groups also prioritized each other’s insurance and financial services and cooperated in communications bringing about higher efficiency.
The coal sector must provide 55 million tonnes of coal for power production by 2015 and 76 million tonnes by 2020, compared with the current capacity of only 20 million tonnes per year. For this reason, Vietnam must import coal from 2015 to provide sufficient coal under Power Plan VII, while at the same time, reorganizing coal ports, roads and conveyor systems to facilitate thermal power plants. Planning coal powers to improve coal transportation is a great challenge which the coal sector alone cannot overcome. This requires cooperation between EVN and PVN to apply their combined strength.
Huong Giang