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EVN to tackle Ho Chi Minh City power shortage

14 May 2003 – Electricity of Vietnam (EVN) said it would invest VND10tn ($665m) to increase the electricity supply in Ho Chi Minh City from the current 25.5m kWh a day to 64.6m kWh a day by 2010.

Blackouts have occurred frequently in HCM City over the past four months as it has been hit by extreme temperatures as well as a rise in power consumption of 15 to 20 per cent. The company has admitted to 110 power outages as a result of
overloaded substations.

The money will be used to improve the quality of service to ensure sufficient and stable supply during peak times in the dry season. The company expects demand in the delta region to grow by 13 per cent annually towards the year 2010.

The Phu Lam and Hoc Mon transformer stations, two of the city’s four major substations, have been operating at 15-30 per cent over capacity, resulting in many hours of blackouts across several parts of the city.

The Cuu Long (Mekong) Delta is also being hit by unstable and insufficient supply.

Company officials said the delta region needs VND2000bn ($140m) to upgrade the electricity distribution network across 1000 rural communes. The company expects demand in the region to grow by 13 per cent annually towards the year 2010.

Two gas-fired power stations in Can Tho Province’s O Mon District and Ca Mau Province which are due for completion between 2001-2005 should help satisfy this rising demand, according to the company.

In March this year, the Japanese Bank for International Co-operation approved loans to help Vietnam build more power plants and improve supply infrastructure.

The loans will be used to fund the O Mon power station as well as upgrade the distribution network across the delta region.