VINACHEM

Prime Minister Nguyen Xuan Phuc has approved the equitisation of electricity-generation corporations under the Electricity of Vietnam (EVN), the Vietnam National Oil and Gas Group (PetroVietnam) and the Vietnam National Coal and Mineral Industries Group (Vinacomin).

Until 2018, the corporations will still be controlledby the EVN, PetroVietnam and Vinacomin but the shareholding ratio of these holding companies will be below the controlling level.

They will be considered to separatefrom the holding companies once their operation outcomes are announced after two years from equitisation.

The PM assigned the Ministry of Industry and Trade (MoIT) to receive feedback to complete the project on restructuring the electricity sector during 2016-2020 with a vision to 2050.

The PM said building acompetitive electricity wholesale market and restructuring the power sector must ensure the goal of improvingthe business effectiveness of the sector while boosting transparency, equality, and healthy competitiveness amid the international integration.

Measures to be taken must ensure sufficient electricity supply to all socio-economic activities, he added.

Restructuring the electricity sector needs aroadmap suitable tothe progress of the competitive electricity wholesale market while preparations should be made for the development of an electricity retail market.

The sector must attractreasonable investment from society with the government keeping control over national electricity transmission and the construction and operation of large power plants.

The PM also entrusted the MoIT to work with the EVN to review the equitisation of electricity corporations and their affiliates as well as the State management for the operation of the power sector in order to improve the efficiency of the work. - VNA