HÀ NỘI — Việt Nam should strengthen market mechanisms and improve the regulatory framework to support fair competition, transparency and higher efficiency across all segments of the electricity sector, officials and industry insiders said at a workshop in Hà Nội today, as they discussed the development of a competitive, transparent and efficient domestic market.

Participants also reviewed a report titled Vietnam Electricity Sector Development 2024–2025 (FEV3), presented by the Electricity Regulatory Authority of Việt Nam (ERAV) under the Ministry of Industry and Trade and the Australian side under the Memorandum of Understanding (MoU) on Promoting the Development of a Competitive Electricity Market.

Phạm Nguyên Hùng, Director General of ERAV, said recent years have seen major shifts in the energy landscape and that after more than two decades of reforms, the sector has achieved important milestones. 

Phase 3 of the FE-V Programme aims to provide a comprehensive and up-to-date overview of Việt Nam’s electricity sector, including the progress of power generation and grid projects, electricity market operations and broader regional and global trends. The report serves as a technical foundation for Việt Nam’s ongoing efforts to build a modern, competitive power market.

Hùng highlighted four main tasks for the sector in the coming period. First is to complete institutions and market mechanisms to support the formation of a competitive, transparent electricity market. Second is to attract investment for power generation and grid development to meet economic growth and consumer demand. Third is to accelerate the application of science, technology and digital transformation across generation, transmission, distribution, system operation and electricity trading. Finally, he emphasised the need to ensure safe and sustainable development that balances the interests of the State, enterprises and consumers.

He encouraged participants to engage in practical, solutions-oriented discussions and affirmed the Ministry of Industry and Trade’s commitment to studying workshop recommendations when advising the Government on future policies and regulations.

Australian Ambassador to Việt Nam Gillian Bird PSM reaffirmed Australia’s strong commitment to supporting Việt Nam’s energy transition and electricity market reforms. She highlighted the depth of cooperation between the two sides through expert exchanges, technical assistance and capacity-building activities under the MoU.

“Australia is proud to work alongside Việt Nam in its goal of building a sustainable and competitive energy system. This cooperation reflects the strength of our Comprehensive Strategic Partnership and our shared commitment to sustainable growth and climate action,” she said.

She praised the progress achieved since the MoU was signed and noted that the launch of the FEV3 report marks an important milestone in bilateral electricity cooperation.

Since late 2022, the Future Electricity Vietnam initiative has generated momentum through thematic reports and high-level conferences. In 2024, Australia continued to support ERAV in assessing Việt Nam’s electricity transition for the 2024–2025 period. The report offers an objective, evidence-based assessment and identifies opportunities to accelerate reform, attract investment and foster innovation.

The year 2024 marked a significant step in Việt Nam–Australia relations as the two countries upgraded their partnership to a Comprehensive Strategic Partnership, with energy cooperation identified as a priority. Within this framework, the Future Electricity Vietnam (FEV) initiative has become an important platform for research, policy dialogue and technical support for market development. — VNS