PM ticks electricity price flexibility

Thứ ba, 19/4/2011 | 11:07 GMT+7
<p style="text-align: justify;"><span style="font-size: small;">Prime Minister Nguyen Tan Dung has approved a decision to allow electricity prices to be adjusted under market mechanisms from June 1.<br /> <br /> </span></p>
<p style="text-align: justify;"><span style="font-size: small;">Decision 24/2011/QD-TTg allows electricity prices to be adjusted when there is a change in fuel prices or foreign exchange rates. The electricity price cannot be adjusted more than once in three months.<br /> <br /> When costs decline, causing the power price to fall more than 5 per cent, EVN can reduce the price accordingly.<br /> <br /> If EVN wants to increase the price by 5 per cent, it has to present a proposal to the Industry and Trade Ministry for approval within five days. If there is no response, EVN can increase the price automatically.<br /> <br /> If the price needs to be increased by more than 5 per cent, EVN has to send report to two ministries of Industry and Trade and Finance who will then recommend appropriate adjustment to the Government for approval. If there is no response within 15 working days, EVN can raise the price 5 per cent.<br /> <br /> If necessary, the State can use the stabilisation fund to minimise impacts on the macro economy and social welfare.<br /> </span></p> Source: Vietnam News