Sector Insight

Power Industry Update 2025: In 1H2025, the Industrial Production Index (IIP) grew by 9.2%, while electricity generation reached only 155.79 billion kWh (up 3% YoY), equivalent to 45% of the Ministry of Industry and Trade’s full-year target of 347.5 billion kWh. Additionally, EVN recently raised electricity prices by 4.8% and is expected to start recording positive profits in 2025.

_ According to NSMO and MOIT, the national electricity production plan for 2025 is projected at 347.5 billion kWh (+12.2% YoY), with peak national capacity reaching 54,328 MW (+10.98%), where the Northern region is expected to maintain a very high growth rate. Based on the actual electricity output in 1H2025 and the planned supply for the remaining months of the year, NSMO estimates total 2025 electricity production will reach 331.4 billion kWh (+7.39% YoY), equivalent to 95.4% of the 2025 target.

_ The revised PDP VIII was officially issued on April 15, 2025, and the implementation of revised PDP VIII was also approved shortly afterward. Most indicators were revised upward compared to the original PDP VIII, signaling very high electricity demand, in line with the national economic growth target of 10% per year until 2030.