Vietnam energy sector management and pricing reforms

Vietnam is addressing structural and regulatory challenges within its energy sector to ensure future supply stability. In September 2026, the Ministry of Industry and Trade proposed transferring Vietnam Electricity (EVN) to its direct management to streamline the implementation of the revised Power Development Plan 8 (PDP8). Further restructuring proposals submitted to the Government by mid-September suggest separating the National Power Transmission Corporation (EVNNPT) from EVN. This move aims to foster a competitive market by distinguishing natural monopolies, such as transmission and distribution, from competitive segments like generation. The Ministry of Industry and Trade is developing a scheme to restructure the industry for market competition, while the Ministry of Finance is developing a scheme to restructure EVN itself. Additional considerations include promoting equitization and state divestment in EVN’s power generation subsidiaries, and potentially establishing a national strategic power generation corporation to manage key hydroelectric and future nuclear projects. However, disagreements have emerged between ministries regarding the implementation of these reforms. The Ministry of Industry and Trade advocates for separating EVNNPT to ensure independence between transmission, generation, and trading to guarantee energy security. Conversely, the Ministry of Finance proposes maintaining EVNNPT as a 100% state-owned subsidiary of EVN for the time being, citing the need to manage capital mobilization, transmission projects, and existing financial obligations. As of October 2026, this division persists, with the Ministry of Finance advising against immediate separation to avoid financial risks and operational complexities. The broader plan aims to clarify ownership and management across the power generation, transmission, distribution, and retail sectors through 2030. Concurrently, the Electricity Trading Company (EPTC), a subsidiary of EVN, has requested that renewable energy investors renegotiate power purchase agreements. This follows the implementation of Government Resolution 233/2024.