A heatwave in parts of Vietnam has boosted electricity consumption in the country, prompting coal-fired utilities to raise power generation.
Vietnam's national power consumption reached 44.95GW on 11 July, up from 43.34GW on 10 July, state-controlled power utility EVN said. Demand from the northern regions accounted for roughly half of the peak power demand, with electricity consumption reaching 22.25GW on 11 July, up from 21.52GW the previous day. Temperatures in some regions will continue to hover around 37-39°C in the coming days, EVN said. Temperatures even rose to a high of above 44°C in early May in north Vietnam.
The sharp increase in power demand has buoyed coal-fired generation — which accounts for around 45pc of the country's electricity mix. Hydropower generation continues to be under pressure as hot weather conditions lowered water levels in hydropower reservoirs, putting more pressure on coal-power utilities to meet the surge in power demand.
The uptick in power consumption and coal burn has fuelled demand for seaborne coal amid tight domestic coal supplies, supporting the outlook for thermal coal imports. The country's overall coal imports during January-May rose to around 17mn t from about 12.2mn t in the same period a year earlier.
Coal-fired generation likely remained firm in May and June after rising to 11.89TWh in April from 11.6TWh in March, according to Argus calculations based on data from Vietnamese state-owned utility EVN. Vietnam's overall power generation was estimated at 24.1TWh in May and June, according to data from Vietnam's General Statistics Office (GSO). It was up from 23.1TWh in May last year and broadly unchanged from June 2022.
Power, coal supply order
Vietnamese authorities have directed power generators, coal suppliers, the national load dispatch center, and the electricity power trading company to ensure steady power supply this year.
The Prime Minister's Office and the Ministry of Industry and Trade have asked EVN to ensure stable coal supplies. The authorities also directed coal producers Vietnam National Coal and Mineral Industries (Vinacomin) and the Northeast Corporation to meet EVN's coal demand. Investors of coal-fired utilities should also ensure ample coal availability at utilities and make arrangements for any additional volume that exceeds supplies from the two domestic coal companies.
The ministry has also called for the development of a "proactive response" system that could help in better planning to cope with the surge in power demand. The system would involve closely monitoring the weather, the hydrology of hydropower reservoirs and the sources to flexibly adjust and regulate the water level of hydropower reservoirs to support hydro-power generation.
Electricity-saving measures
EVN has advised local authorities, businesses, commercial and residential consumers to ensure economical and efficient use of electricity.
The utility has asked industrial units and large electricity consumers to implement voluntary load adjustment to reduce electricity consumption. It has asked households to reduce consumption and advised them to not set air-conditioner temperatures below 26-27°C.
