Workers of EVN check a power grid. — VNA/VNS Photo

The Electricity of Vietnam (EVN) has recently increased the average electricity retail price from VNĐ2,006.79 per kWh to VNĐ2,103.1159 per kWh (excluding VAT), effective from October 11, 2024.

This adjustment represents a 4.8 per cent increase from the previous rate. This decision follows a report from the Ministry of Industry and Trade on EVN's production and business costs in 2023.

According to the report, EVN's total cost of electricity production and business amounted to VNĐ528.6 trillion (about US$21.3 billion). The cost components included power generation, transmission, distribution, and management, which together totalled VNĐ35.34 trillion. This marks a 7.16 per cent increase compared to 2022.

In 2023, the cost of electricity production for the EVN rose to VNĐ2,088.90 per kWh, reflecting a 2.79 per cent increase from 2022.

In 2023, the electricity generation cost for Việt Nam amounted to VNĐ441.36 trillion, averaging VNĐ1,744.12 per kWh. This represented an increase of VNĐ29.11 trillion compared to 2022.

Due to the rising electricity production costs in 2023, the EVN reported a loss of VNĐ34.2 trillion from its core operations.

Despite generating revenues of VNĐ12.4 trillion from electricity-related activities in 2023, the EVN still reported a net loss of more than VNĐ21.8 trillion after accounting for financial activities and reactive power sales.

in 2023, Việt Nam experienced two electricity price adjustments. The first increase occurred on May 4, when the average retail electricity price rose by 3 per cent.

Later in the year, on November 9, prices were further adjusted with an additional 4.5 per cent increase. - VNS