Major Factories in North Vietnam to Get Priority for Power

Major factories in northern Vietnam, where Samsung Electronics Co. and Apple Inc. suppliers operate plants, will be given priority for power by state-owned Vietnam Electricity Group at the request of provincial governments amid widespread blackouts.

(Bloomberg) — Major factories in northern Vietnam, where Samsung Electronics Co. and Apple Inc. suppliers operate plants, will be given priority for power by state-owned Vietnam Electricity Group at the request of provincial governments amid widespread blackouts.

Other clients considered important by local authorities will also get special access to power, according to a statement on the government’s website, which cited Ngo Son Hai, deputy general director of Vietnam Electricity Group, during a Wednesday meeting.

Searing summer temperatures and reduced water levels in hydropower reservoirs are straining Vietnam’s grid. Thousands of factories have been forced to curb consumption and rolling blackouts have hit industrial parks for the first time. The government is now scrambling to find ways to boost electricity supply, either by quickly clearing completed renewable projects or bringing in liquefied natural gas imports for the first time.

The power company, also known as EVN, has slashed northern power capacity by as much as 30% at times — or by as much as 10% of the region’s electricity usage — to prevent grid overloads and ensure safety of the system, according to the posting.

Manufacturers deemed important producers, plants employing a lot of workers, and events considered critical for political and socioeconomic reasons, are being given priority access to electricity, it said.

The northern province of Bac Ninh is applying selective 24-hour blackouts at some companies in industrial parks until 8 a.m. June 12, according to a posting on the website of the provincial government.

–With assistance from Nguyen Xuan Quynh.

(Updates the story with industrial park blackouts in the last paragraph.)

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