20220415 Vietnam PDP8 will be approved Apr 2022?

A good Friday..

Today (April 15), Deputy Prime Minister Le Van Thanh chaired an online conference with localities on finalizing the national electricity development plan for the period 2021-2030, with a vision to 2045 (PDP8)

Concluding the meeting, the Deputy Prime Minister highly appreciated the comments of the localities, "The comrades all shared and highly agreed, assessing the urgent need to promulgate the Power Plan VIII, evaluating the Electricity Master Plan VIII. The program this time has been carefully and meticulously researched, on the basis of practice, ensuring its scientificity, especially innovating thinking and approaches". On that basis, this Electricity Master Plan VIII has overcome some shortcomings of the revised Power Plan VII, Power VII and Power Plan VIII submitted in March 2021. Up to now, the basic calculation options have been optimized. The total capacity of power sources expected to be developed by 2030 is expected to be about 146,000 MW, down about 35,000 MW compared to the draft submitted on March 26, 2021. The expected peak capacity in 2030 is about 93,000 MW. Reducing the investment scale as planned by nearly 2 million billion VND, of which the investment in source capacity is reduced by about 35,000 MW, the transmission system investment is reduced by nearly 300 trillion VND. The power source is arranged in harmony, ensuring the promotion of advantages of each region, saving maximum transmission. The master plan also sets out a roadmap to drastically cut coal power to convert and replace it with clean energy sources, especially wind power and gas power. By 2045, the whole system will only have 9.6% coal power, while wind power and solar power will account for 50.7%, ensuring commitments on energy conversion and environmental protection. Noting that keeping solar power at an appropriate rate compared to other power sources, the Deputy Prime Minister said that the economy's electricity demand is highest not at the time of the sun but around 6am-10pm, so if Without other power sources such as hydroelectricity and thermal power, then it would not be possible to meet the electricity demand for production and daily life. While generating solar power during the day, other power sources must reduce their capacity. If storing solar energy to generate electricity at night, the cost will increase 3-4 times. The localities have argued that they have potentials and advantages, the local development speed in the coming time is very high, so it is proposed to increase the electricity planning for the localities. Noting local opinions, Deputy Prime Minister Le Van Thanh affirmed that "putting national interests first and foremost" is the point of view throughout in directing the completion of the Government's Electricity Master Plan VIII. , Prime Minister. Over the past time, the Government has directed the Ministry of Industry and Trade to review the planning in a comprehensive, fair, scientific and objective manner. According to the Deputy Prime Minister, each locality must determine that development for the locality must at the same time develop for the country, for the benefit of the people. high, then, people have to bear this high price." Deputy Prime Minister Le Van Thanh requested the Ministry of Industry and Trade to urgently absorb opinions based on general principles, complete the Draft Power Master Plan 8 for approval by the National Appraisal Council, before submitting to the Prime Minister. Government for consideration and approval in April 2022.

Power planning VIII is a particularly important and complex national sector planning and is of particular interest to many agencies, units, experts, scientists as well as localities throughout the country. This is the first national sector planning to be implemented in accordance with the provisions of the Planning Law in 2017, according to the Planning Task approved by the Prime Minister in Decision No. 1264/QD-TTg dated October 1, 2019. . Due to its specific nature, the process of elaborating and completing Power Planning 8 has gone through many steps and takes a lot of time, ensuring careful calculation and consideration of all factors. In March 2021, the Ministry of Industry and Trade reported to the Appraisal Council and submitted to the Prime Minister the Power Planning Project VIII. However, the draft Master Plan still has some shortcomings and shortcomings that need to be further reviewed and improved. Firstly, the draft submitted has not fully assessed the shortcomings, problems and limitations of the Power Master Plan VII and the revised Power Master Plan VII, especially inadequacies that are happening in practice. This is a very important content to take measures and solutions to overcome the shortcomings and weaknesses, in order to develop sustainably and transparently the electricity industry, putting the interests of the nation and nation first and foremost. Second, the scale of power source development according to the list of power sources expected to develop by 2030 is very large (about 181,000 MW), about 1.94 times higher than the maximum capacity demand (Pmax about 93,300 MW); especially, there is no agreement between the scale of the list of power sources to be developed and the expected structure of the high power capacity in the report (167,000 MW). Third, the structure of the power source is not reasonable; coal-fired power sources are expected to grow too large (about 47,000 MW in 2030, about 54,000 MW in 2045); LNG gas power source expected to develop is also very large (about 41,000 MW in 2030 and about 83,000 MW in 2045). Fourth, the regional balance is still unreasonable, leading to a huge requirement for investment in the inter-regional transmission grid. In the period of 2021-2030, invest about 14,000 km of 500 kV transmission lines, 73,000 MVA of 500 kV substation capacity, 17,500 km of 220 kV transmission lines and about 72,000 MVA of 220 kV substation capacity. Investment capital for the power grid in the period of 2021 - 2030 is about 33 billion USD. Fifth, about the mechanisms, policies and solutions to manage and organize the implementation of Power Plan VIII are still unclear, and the relationship with related plans in the national planning system has not been clarified. Following the direction of the Prime Minister, the Ministry of Industry and Trade continues to review, supplement and complete the Draft, and send it to ministries, agencies, corporations and corporations in the field of energy for comments. On October 8, 2021, the Ministry of Industry and Trade submitted Report 6277/TTr-BCT to the Prime Minister for Electricity Planning VIII. With this version, the Prime Minister continued to request the Ministry of Industry and Trade to review and update Vietnam's commitments on emission reduction at COP26. This is a new issue that the Power Master Plan VIII must make an important contribution to the implementation of this commitment, as well as the requirements set forth on the development of a green economy and a circular economy. Over the past 1 year since it was submitted to the Prime Minister, the Master Plan has continued to be reviewed, revised, supplemented, updated and the current draft has undergone many changes. Deputy Prime Minister Le Van Thanh had nearly 30 meetings, worked with the Ministry of Industry and Trade, relevant ministries, branches, agencies, experts and scientists to lead and direct the completion of the Power Planning VIII in accordance with relevant resolutions and conclusions of the Party, National Assembly, Government and international commitments of Vietnam. Recently, the Government Standing Committee listened to the report of the Ministry of Industry and Trade on the completion of the Power Plan VIII and concluded in Notice No. 92/TB-VPCP dated March 31, 2022 of the Government Office. The Ministry of Industry and Trade has issued Document No. 69/BC-BCT dated April 8, 2022 to report to the Prime Minister on the completion of Power Planning VIII according to the conclusions of the Standing Government.