EVN Urges PetroVietnam to Raise Gas Supply for Power Production

EVN Urges PetroVietnam to Raise Gas Supply for Power Production

The State-run Electricity of Vietnam (EVN) has asked the Vietnam Oil and Gas Corporation (PetroVietnam) to increase gas supply for its gas-fired power plants to offset the country's electricity shortage.

Each day, EVN requires 13.2 million cubic meters of gas for electricity production but PetroVietnam is only capable of supplying 10 million cubic meters of gas.

To balance the shortage of 5 million kWh, EVN has to use 3 million tons of diesel oil for power production per day, causing daily losses of VND5 billion ($318,471).

In addition, EVN has also worked closely with PetroVietnam to reach a consensus on gas supply increases.

On March 26, the two corporations plan to trial a schedule to raise gas production capacity to feed power production and local consumption.

At present, PetroVietnam supplies gas extracted from the Bach Ho oil field and Lan Tay-Lan Do gas fields, off Vietnam's southern coast.

It plans to raise gas output this year to between 6.3-6.5 billion cubic meters from 6.27 billion cubic meters last year.

Vietnam is likely to lack 976.1 million kWh of electricity in this year's dry season due to prolonged dry climate, according to the National Center for Controlling Electricity System. It also estimates a shortage of 400-980 MW in 2005-2007 and 719-1,117 MW in 2005-2008.

EVN has projected total electricity output of 53.4 billion kWh this year. Of the total output, some 8.25 billion kWh will be purchased from private power enterprises, up 46.9% against 2004.

Vietnam & World Economy