EVNCHP: 17 Years of Impressive Growth

After 17 years of development (2004 - 2021), Central Hydropower Joint Stock Company (EVNCHP) has convincingly demonstrated its solid progress with outstanding business performance and contributions to renewable energy sources for national industrialization and modernization.

Impressive steps

On November 30, 2004, EVNCHP was officially established by key shareholders: Southern Electricity Corporation, Central Power Corporation, Hanoi Power Corporation, Vietnam Electricity Group (now transferred to Power Generation Corporation 1). Shortly after this important milestone, the company embarked on the construction of 170-MW A Luoi Hydropower Plant (A Luoi district, Thua Thien Hue province), which cost VND3,500 billion for construction. On May 20, 2012, A Luoi Hydropower Plant officially started commercial production with an average annual output of 649 million kWh of electricity. At 5:00 p.m. on December 9, 2020, the facility had reached the milestone of 5 billion kWh of electricity generated for the national grid. Importantly, the shift from basic construction to electricity production and trading created a driving force to boost the development of local industries and services and helped create jobs and livelihoods for surrounding communities.

Following the success of A Luoi Hydropower Plant, EVNCHP continued to invest in 50-MWAC Cu Jut Solar Power Plant (Cu Jut district, Dak Nong province) with a total investment budget of VND1,367 billion. Built on an area of more than 62 ha, the facility installed 187,890 solar panels for an annual capacity of 94.71 million kWh of electricity on average. After 10 months of construction and equipment installation, on April 20, 2019, Cu Jut Solar Power Plant officially started commercial operation, 70 days earlier than planned. To date, the facility helps increase local power supply, stabilize the voltage and power grid of Dak Nong province in particular and the whole country, and facilitate local economic restructuring, employment and socio-economic development.

Despite facing many difficulties and challenges since its inception 17 years ago, EVNCHP has always strived to manage and operate A Luoi Hydropower Plant and Cu Jut Solar Power Plant to ensure safety and efficiency. Since its business shift, EVNCHP has always exceeded its output, revenue and profit targets. The company's commercial electricity output was only 269.71 million kWh in 2012, but it soared to 687.86 million kWh in 2020 and 399.23 million kWh in the first 10 months of 2021. Similarly, its revenue climbed from VND257.18 billion in 2012 to VND838.81 billion in 2020 and VND521.95 billion in the first 10 months of 2021, while its net profit was, respectively, negative VND6.96 billion, VND278.37 billion and VND91.95 billion. The accumulated commercial power output expanded from 269.71 million kWh in 2012 to 5,223.53 million kWh in 2020 and is expected to be 5,622.76 million kWh in 2021.

The current success of EVNCHP came from the efforts of all employees who are very energetic and enthusiastic to master technology and lift the EVNCHP brand name. In addition to strengthening human resources, EVNCHP has actively studied and promoted initiatives, improved techniques, applied advanced information technology and digitization to work. As a result, in the past time, the company has effectively managed and operated A Luoi Hydropower Plant and Cu Jut Solar Power Plant, successfully completed all business plans, and confidently affirmed its position and brand in the Vietnamese renewable energy industry.

Besides strong business performance, EVNCHP always takes the lead in meaningful social security activities that bring a better life for people in the project area and actively assists disaster prevention, search and rescue, showing the highest responsibility to the community and society.

Ready for a new journey

As one itinerary closes, a new one will open with more breakthrough opportunities. For EVNCHP, the age of 17 marks an important milestone, demonstrating the maturity and stability of the Board of Directors in arousing great resilience and devotion of employees. Looking at the steady progress in the past 17 years, partners, customers and especially shareholders can completely believe that EVNCHP will rise to reap more achievements, confidently conquer new highs and support the cause of industrialization and modernization of the country.

In response to this belief, in the 2022 - 2025 period, EVNCHP will focus on the stable, continuous and safe operation of A Luoi Hydropower Plant, expected to achieve an average annual output of over 615 million kWh of electricity in the next five years, and Cu Jut Solar Power Plant, expected to produce over 90 million kWh of electricity a year. At the same time, the company will well prepare resources to participate in the wholesale and retail market effectively right from the first year according to the Government's electricity market roadmap.

General Director Truong Cong Gioi said hydropower and solar power are clean, renewable, environmentally friendly and inexhaustible energy sources. It is important that the development of these renewable energy sources hugely benefit the economy, energy and environment. Thus, in the coming time, EVNCHP will further invest and develop renewable energy and clean energy projects towards sustainable development, responsibility to the community and society, and environmental friendliness, and effectively support the cause of national industrialization and modernization. Specifically, the company will review the plan to scale up the generating capacity of Cu Jut Solar Power Plant by 20Mwac and study investment in 50-MW wind power projects in the Central Coast and the Central Highlands.

Last but not least, EVNCHP will focus on increasing labor productivity, strengthen training, improve professional qualifications for staff, actively access new technologies, accelerate information technology application to administration and operation, and keep its power plants working properly and stably to ensure power supply for the national power system.

By Thanh Tung, Vietnam Business Forum