EVNCHP - Working Hard to Unlock Future Energy Flows

4:51:45 PM | 11/28/2022

During its 18 years of development (2004 -2022), Central Hydropower Joint Stock Company (EVNCHP) always strives to fulfill all assigned targets and tasks, supply electricity for socioeconomic development, national security and people's life, confidently affirm its brand position in the country's renewable energy industry, make important contributions to the cause of national industrialization and modernization, and ensure national energy security.

High economic social and environmental performance

EVNCHP was established in 2004 by Southern Power Corporation (EVNSPC), Central Power Corporation (EVNCPC), Hanoi Electricity Corporation (EVNHANOI) and Vietnam Electricity Group (EVN). From 2013 to date, EVNCHP’s major shareholders are EVNSPC, EVNCPC, REE Corporation and common shareholders. The name of EVNCHP is associated with two important projects: 170-MW A Luoi Hydropower Plant in A Luoi district, Thua Thien Hue province (costing VND3,234 billion) which became operational and fed into national power grid on May 20, 2012 with an average annual electricity output of 649 million kWh; and 50-MWAC Cu Jut Solar Farm in Cu Jut district, Dak Nong province (average output of 94.71 million kWh), which officially fed into the national grid on April 20, 2019.

Despite facing numerous difficulties and challenges since its inception, EVNCHP has worked hard to manage and operate A Luoi Hydropower Plant and Cu Jut Solar Farm to ensure safety and achieve high performance in all three economic, social and environmental aspects, thus helping speed up local economic restructuring, ensure social security, provide jobs and improve people's living standards in project-impact localities. After 11 years (2012-2022) in the competitive power generation market, EVNCHP has produced more than 6.6 billion kWh of electricity for the national grid. Specifically, A Luoi Hydropower Plant officially reached the milestone of 5 billion kWh of electricity for the national grid at 5:00 pm, December 9, 2020, and over 6.3 billion kWh in the third quarter of 2022 and earned total revenue of more than VND6,800 billion. Cu Jut Solar Farm generated more than 297 million kWh of electricity and made total revenue of VND654 billion. EVNCHP’s output, revenue and profit results are always higher than their plans, thus paying more tax to the State Budget and creating a stronger driving force for growing socioeconomic development in Thua Thien Hue and Dak Nong provinces and cities.

In addition to great social and economic contributions, another success of EVNCHP is safe operation of two power plants and supporting equipment as per operation processes provided by National Load Dispatch Center (NLDC). Since their power generators are operational, the company has always ensured safety for people and equipment, had no occupational accidents or operational incidents, fulfilled environmental commitments, and aligned business with environmental protection, resource efficiency, and use of modern and advanced technology, machinery and equipment.

As a publicly traded company, in addition to effective business operation, EVNCHP pays special attention to shareholder management. Since it listed its shares, the company has always complied with regulations of the State Securities Commission (SSC), put transparency and honesty on top, and placed shareholder interests at the highest level. For five consecutive years from 2017 to 2021, EVNCHP was named Top 100 Most Sustainable Business in Vietnam. Therefore, its prestige and brand position in the financial market and shareholder trust have been increasingly confirmed. Given their high business performance, A Luoi Hydropower Plant and Cu Jut Solar Park have importantly helped national industrialization and modernization and contributed to national energy security.

Catalysts from future energy projects

The current success of EVNCHP is apparently resulted from great but silent efforts and contributions of all employees, particularly engineers. Over time, its talented and enthusiastic employees not only capture but also master technology, thus helping bring the EVNCHP brand farther. By effectively promoting the strength of its human resources, EVNCHP always pays attention to training and improving the quality of human resources and fostering success. EVNCHP's management also always focuses on effectively executing resolutions of the Board of Directors; actively researches, promotes initiatives, improves techniques, increasingly applies advanced information technology and digitization to operation administration; and perfects the corporate governance system to further enhance operational efficiency, deliver highest interests of stakeholders, moves towards sustainable development, and brings practical values to the community and society as a whole.

In recognition of its ongoing contributions to the electricity industry and to the cause of national industrialization and modernization, EVNCHP has been honorably presented numerous noble titles and awards by the Party and the Government, including Third-class Labor Order by the President of Vietnam (2013), Certificate of Appreciation by the Prime Minister (2011), Certificates of Appreciation by the Ministry of Industry and Trade (in 2009 and 2016), Certificates of Appreciation by the Thua Thien Hue Provincial People's Committee (2009 and 2019), Certificates of Appreciation by the Da Nang People's Committee (2012 and 2013), Certificates of Appreciation by Vietnam Electricity Group (2013, 2014 and 2015) as well as many other titles like Top 500 Most Profitable Companies (2016), Top 100 Sustainable Businesses in Vietnam (for five consecutive years from 2017 to 2021), Top 30 Companies with Best Financial Statements (2017-2019), and Top 60 Outstanding Companies for Employees voted by Vietnam General Confederation of Labor (2018).

These honorary awards are both moral facilitators and driving forces for all the leadership and staff of EVNCHP to keep going forward, work hard to reap greater achievements on the development path ahead and contribute more to the cause of national industrialization and modernization. In 2020 - 2025, EVNCHP will continue to stably, continuously and safely operate its power plants. A Luoi Hydropower Plant will produce an average of 615 million kWh of electricity a year and Cu Jut Solar Farm will generate over 90 million kWh of electricity a year in those five years. EVNCHP defines hydropower and solar power as clean, renewable, environmentally friendly energies, and developing these energies will bring double benefits to economy, energy and environment. For that reason, renewable energy investment is of the company's development strategy.

Besides, to increase revenue and profit and ensure good income for employees and interests for shareholders, EVNCHP will focus on optimizing production and business operations of A Luoi Hydropower Plant to obtain annual profit of over VND200 billion and maximize the capacity of Cu Jut Solar Park to earn annual revenue of over VND190 billion. The company will further improve capital efficiency, optimize cash flows to enhance profitability and dividend, develop repair services for hydroelectric power plants and solar power plants, provide consultancy for project management and project supervision to utilize and promote expertise of its engineers. The firm will also reinforce information technology application to management and operation, ensure stable and safe operation of power plants, and deliver efficient power supply to the national power system.

Thanh Tung (Vietnam Business Forum)