Vietnam's electricity consumption reached 1 billion kWh. (Photo: EVN)
The power shortage crisis in northern Vietnam last year is still vivid. With the expectation of electricity demand surge, Vietnam Electricity (EVN) has implemented various measures to manage power distribution and alleviate the pressure on supply.
While summer is approaching, electricity consumption across the country has hit record highs one after another, even have not yet reached the peak season, the total electricity consumption reached 1 billion kWh on May 28, and concerns about power shortages have resurfaced. Reuters reported the other day that local power companies had asked large FDI enterprises in the northern region, such as Foxconn, to reduce electricity consumption by 30%. EVN the next day quickly denied these claims and highlighted the impressive results of the Demand Response (DR) of companies to dispel the rumors.
Why is Vietnam facing power shortages? What are foreign businesses worried about? Reccessary analyzes the reasons behind Vietnam's power supply shortage and the current countermeasures of government.
EVN encourages "Demand Response" (DR) to reduce peak-time electricity usage
Since the annual Vietnam Business Forum (VBF) in March, many business associations such as Kocham, JCCI, and AmCham have expressed concerns to the Vietnamese government about how electricity shortages are disrupting production planning. Vietnamese Prime Minister Pham Minh Chinh has pledged to prevent power shortages this year. He has required EVN to ensure that similar incidents do not recur and make voluntary power saving into a new slogan.
