Focusing on export, investment, consumption to boost growth: PM

June 04, 2023 - 15:33
Speaking at an online regular meeting between the Government and localities, PM Phạm Minh Chính stressed the need to remove obstacles to production and business, and help enterprises in administrative procedures, interest rates and market expansion.


Deputy Minister of Industry and Trade Đỗ Thắng Hải speaks at the meeting. VNA/VNS Photo

HÀ NỘI — Prime Minister Phạm Minh Chính on Saturday asked ministries, agencies and localities to push the three engines of export, investment and consumption in order to spur the country's future economic growth.

Speaking at an online regular meeting between the Government and localities, the leader stressed the need to remove obstacles to production and business, and help enterprises in administrative procedures, interest rates and market expansion.

He also urged localities to accelerate the disbursement of public investment capital and the implementation of the socio-economic recovery and development programme as well as national target programmes, and focus on site clearance and material preparations for key projects.

Apart from promoting domestic consumption, it is necessary to expand export markets, the PM said, highlighting other tasks such as effectively optimising free trade agreements, materialising the National Power Development Plan VIII which has been approved recently, ensuring food for domestic consumption and exports, having the European Commission (EC)'s “yellow card” warning against Vietnam's seafood exports lifted, and dealing with the shortage of medicines, vaccines and medical equipment, among others.

The move is to maintain the macro-economic stability, control inflation, boost growth and ensure major economic balances, PM Chinh emphasised.

According to the leader, over the past five months, thanks to joint efforts by the Government, ministries, agencies and localities, progress has been made in production, business, export, foreign direct investment (FDI) attraction and the real estate market.

The socio-cultural and sport fields have also recorded development, he continued, adding that people’s lives have remained stable, social order and safety and national defence and security have been ensured, and external affairs and international integration have been stepped up.

The participating Deputy PMs, and representatives of ministries, agencies and localities shared the views on the drastic, close instruction and the flexible, effective management of the Government and the PM in the past that has led to positive changes in the socio-economic situation despite a range of difficulties and challenges.

They also pointed to the huge growth pressure in the remaining months of this year, saying the growth rate must be higher than that recorded in the previous period.

To that end, they raised proposals regarding the implementation of large investment and construction projects, credit and tax policies, work permit and visa issues, and wages, among others.

Power supply

At the meeting, Deputy Minister of Industry and Trade Đỗ Thắng Hải provided an update on the electricity supply situation during the peak of hot weather in 2023 and discussed the necessary measures to ensure sufficient electricity supply.

Hải acknowledged that certain areas are currently experiencing electricity shortages, impacting both production activities and the daily lives of people. However, he emphasised that these challenges are expected to be temporary.

The electricity supply situation remained stable during the first four months of the year. However, since the beginning of May, many regions across the country have been facing an unprecedented heatwave, leading to unpredictable developments. This hot weather is expected to persist until June, resulting in increased domestic electricity consumption. Compounding the issue is the low water flow to the hydropower reservoirs, particularly in the northern region, which significantly affects electricity supply during the dry season of 2023. Furthermore, the import of coal has been slower than demand, especially towards the end of May, he said.

Recognising the challenging electricity supply situation for 2023, the Government, Prime Minister, and the Ministry of Industry and Trade have directed Electricity of Việt Nam (EVN), Vietnam Oil and Gas Group (PVN), Vietnam Coal-Mineral Group (TKV), and related entities to actively monitor the weather conditions, ensure a steady fuel supply for power generation, and expedite the progress of construction, upgrades, and repairs of power sources and grid infrastructure.

In accordance with the Prime Minister's directives, the Ministry of Industry and Trade promptly implemented solutions to ensure a stable power supply during the peak months of hot weather.

The Ministry directed relevant units to adopt urgent and decisive measures to address and guarantee electricity supply during this critical period. Additionally, the Ministry of Industry and Trade provided guidance to power units to effectively fulfill the tasks assigned by the Prime Minister, specifically focused on ensuring electricity supply throughout the dry season of 2023.

These units conducted a comprehensive review of the power system's operations and instructed generating units to prepare fuel for power generation. They also established and reinforced shift and on-call departments to support operational activities, implemented daily electricity-saving practices within internal units, and prioritised the safety of transmission and distribution grids to ensure efficient and secure operations.

Efforts were made to increase coal production for power supply. Coal supply was regulated to augment production by 300,000 tonnes in May, with subsequent increases of around 100,000 tonnes per month (June, July). Gas supply for electricity production was also increased by 18 per cent in the Southeast region and 8 per cent in the Southwest region.

Regarding transitional renewable energy power plants, as of May 31, a total of seven projects with a combined capacity of 430 MW have been officially connected to the grid for commercial operation. Furthermore, the Ministry of Industry and Trade has approved temporary prices for 40 projects in this sector.

Regarding the resolution of wind power and solar power projects that are not included in the existing plans, Deputy Minister Hai highlighted that on May 15, 2023, the Prime Minister approved Decision No. 500/QD-TTg, which outlines the overall capacity of wind and solar power sources expected to be developed by 2030.

However, this decision does not specify the names of individual projects. The decision provides clear and specific indicators for wind power, offshore wind power, and solar power.

The Ministry of Industry and Trade is currently developing an implementation plan based on the tasks assigned by the Prime Minister. This plan will define the project's scale, capacity, and progress in each locality. The Ministry will then report these details to the Prime Minister for consideration, approval, and subsequent implementation according to established regulations. VNS