EVN ALLOWED RISING FROM 3% TO BELOW 5%
The Decision No. 24/2017/QD-TTg on mechanism for adjustment of average retail electricity price issued by the Prime Minister on June 30, 2017.
The most important content in this Decision is that if the average electricity price needs to rise from 3% to below 5% in comparison with the current average electricity price and is in the prescribed bracket of electricity price, EVN shall make decision on increase of the average electricity price to the corresponding level. EVN shall prepare and send reports on increase of electricity price to the Ministry of Industry and Trade and the Ministry of Finance for inspection. If the average electricity price needs to rise from 5% to below 10% in comparison with the current average electricity price and is in the prescribed bracket of electricity price, EVN is allowed to rise the average electricity price to the corresponding level after submitting report and obtaining approval thereof from the Ministry of Industry and Trade (in previous regulations, the level is from 7% to below 10%).
If the average electricity price needs to rise 10% or above in comparison with the current average electricity price or is
out of prescribed bracket of electricity price or may influence on the macroeconomic status after rising, the Ministry of Industry and Trade shall take charge and cooperate with the Ministry of Finance in examining, reviewing and submitting reports thereof to the Prime Minister for consideration according to EVN’s plan for electricity price. The Ministry of Industry and Trade may cooperate with the Ministry of Finance to submit reports the Price Administration Steering Committee before submitting reports to the Prime Minister, where necessary.
Besides, in case there in a decrease in the average electricity price in comparison with the current average electricity price and in the prescribed bracket of electricity price, EVN is responsible for reducing the average electricity price to the corresponding level and reporting to the Ministry of Industry and Trade and the Ministry of Finance for inspection.
This Decision takes effect on August 15, 2017 and supersedes the Decision No. 69/2013/QD-TTg dated November 19, 2013.
