Vietnam hikes electricity prices by 8.36 percent

10:17 | 21/03/2019 Industry

The average price of electricity in Vietnam has increased by 8.36% to over VND1,864 per kWh, the Ministry of Industry and Trade (MoIT) confirmed at a press conference on March 20.

At the press conference - Photo: congthuong

Those consuming 50kWh or less a month will pay VND1,403 per kWh, while a price of VND2,323 per kWh will be charged from the 401st kWh.

The rise is less than the estimate of nearly 10% made by MoIT Deputy Minister Hoang Quoc Vuong in early March, if all input costs are factored into the prices.

Director of MoIT’s Electricity Regulatory Authority of Vietnam Nguyen Anh Tuan speaks at the conference

The ministry said the 8.36% increase was worked out so that the socio-economic development targets set by the National Assembly could still be met.

According to calculations by the General Statistics Office, the 8.36% rise in electricity prices will make GDP decrease by 0.11% and the consumer price index increase by 0.29%.

The most recent hike was in 2017 when electricity prices went up by 6.8%.

Theo NDO