EVN has invested in over 5,200 projects in 5 years

Thứ tư, 13/10/2010 | 15:37 GMT+7
Electricity Vietnam (EVN) has invested in 5,238 projects with each capital of at least 1 billion VND since 2006, of which 75 projects have been invested directly by the group, 22 by joint stock companies in which EVN holds controlling stakes, and the rest by EVN’s affiliates.

Of the 5,238 projects, 3,647 have been completed, 1,403 underway, and 188 pending for implementation.

Over the past 5 years, EVN has put into operation 21 power plants and 445,000 transmission lines with voltages from 110 to 500kV. It is implementing 15 power generation projects, including 6 that started in 2010, and hundreds of transmission line projects.

EVN is preparing for investment in 11 power plants, and completing investment procedures for 4 plants so that they will be built in 2011 and become operational after 2015.
According to EVN, power generation projects are not attractive because electricity plans require many new plants, while their investment is huge, electricity prices are not allowed to increase, and prices of inputs such as equipment, materials and fuels surge.

After investing in Phu My 3 Power Plant, foreign investors have not invested in any other power plants in the mode of Build-Operate-Transfer (BOT). Many power plants lack funds to reinvest. Some domestic non-EVN investors have limited capital and management capability, so their power generation projects run behind schedule.
According to EVN, sluggish project implementation is also attributed to prolonged survey, design, and procedure completion. Obstacles in mechanisms and compensation levels prolong site clearance time, affecting the construction progress.

Although many projects have run behind schedule, since 2006, EVN has paid back loans and interests on due course. Its debts have never become overdue debts.

In September, EVN disbursed 6,155 billion VND for investment projects in September. In the first nine months of this year, the group disbursed some 36,800 billion VND, including over 17,700 billion VND for power plant projects, 9,913 billion VND for transmission line projects, and 1,721 billion VND for projects relating to telecommunications, engineering and other fields. Meanwhile, it contributed capital and paid back loans to the tune of 7,409 billion VND.

Authour: Minh Long