Thermal power plants face coal shortages
Vietnam Electricity (EVN) has sent a letter to the Ministry of Industry and Trade to call for help as many of its thermal power plants in Quang Ninh and Hai Phong are facing coal shortages.
Currently, only TKV and Dong Bac Coal Mineral Investment Corporation are allowed to provide coal to the plant. According to Hanh, Dong Bac Corporation has provided 100,000 tonnes more than what were agreed on while TKV still owe them 10% of the promised coal because of coal shortage.
Hanh speculated that TKV's calculation in mining investments and providing coal for the general market and thermal power plants had been wrong. Another reason is because selling coal to thermal power plants is not as lucrative as other places.
Nguyen Thuong Quang, director of Hai Phong Thermal Power Plant, also complained about the lack of coal. They plan to produce 7.1 billion kWh in 2018 and need 3.4 million tonnes of coal.
"Some days, we were only given 2,000 to 3,000 tonnes of coal while generators need 12,000 tonnes per day," he said.
Nguyen Hoang Trung, deputy head of Vietnam National Coal and Mineral Industrial Group (TKV), said on November 28 that the demand for coal had increased sharply due to high demand for electricity. Meanwhile, output from hydropower plants have been lacking due to dry season and drought in the central region.
"World coal prices are USD5 to USD10 per tonne higher than local prices so many firms, including steel plants, are turning to TKV to buy coal," Trung said.
Trung said they were also facing numerous challenges due to the spike in demand. On November 12 and 14, Trung had promised to fulfill all contracts with the power plants during the meetings held by the Ministry of Industry and Trade.
According to Trung, they signed and completed a contract to provide 2.6 million tonnes of coal to Quang Ninh Thermal Plant this year. In December, TKV will continue to provide 200,000 tonnes, making it a total 2.83 million tonnes in 2018, an increase by 21% compared to 2017.
"Quang Ninh Thermal Power Plant hasn't signed a long-term contract with us so it's difficult to balance the long-term demands. We'll discuss a contract," Trung said.
Deputy Director of TKV Nguyen Hoang Trung
Currently, only TKV and Dong Bac Coal Mineral Investment Corporation are allowed to provide coal to the plant. According to Hanh, Dong Bac Corporation has provided 100,000 tonnes more than what were agreed on while TKV still owe them 10% of the promised coal because of coal shortage.
Hanh speculated that TKV's calculation in mining investments and providing coal for the general market and thermal power plants had been wrong. Another reason is because selling coal to thermal power plants is not as lucrative as other places.
Nguyen Thuong Quang, director of Hai Phong Thermal Power Plant, also complained about the lack of coal. They plan to produce 7.1 billion kWh in 2018 and need 3.4 million tonnes of coal.
"Some days, we were only given 2,000 to 3,000 tonnes of coal while generators need 12,000 tonnes per day," he said.
Nguyen Hoang Trung, deputy head of Vietnam National Coal and Mineral Industrial Group (TKV), said on November 28 that the demand for coal had increased sharply due to high demand for electricity. Meanwhile, output from hydropower plants have been lacking due to dry season and drought in the central region.
"World coal prices are USD5 to USD10 per tonne higher than local prices so many firms, including steel plants, are turning to TKV to buy coal," Trung said.
Trung said they were also facing numerous challenges due to the spike in demand. On November 12 and 14, Trung had promised to fulfill all contracts with the power plants during the meetings held by the Ministry of Industry and Trade.
According to Trung, they signed and completed a contract to provide 2.6 million tonnes of coal to Quang Ninh Thermal Plant this year. In December, TKV will continue to provide 200,000 tonnes, making it a total 2.83 million tonnes in 2018, an increase by 21% compared to 2017.
"Quang Ninh Thermal Power Plant hasn't signed a long-term contract with us so it's difficult to balance the long-term demands. We'll discuss a contract," Trung said.
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