Urgent Need to Resolve Obstacles in Electricity Transmission Projects in Ho Chi Minh City
Although the electricity transmission grid in Ho Chi Minh City has been operating safely and reliably during the first half of 2026, many transformers are already operating at full capacity or even overloaded. With the increasing demand for electricity, accelerating electricity transmission projects and resolving investment and land clearance issues has become urgent to ensure energy security for the country's economic hub.
Current Situation of the Electricity Grid in Ho Chi Minh City: Overloaded and Beyond Capacity
According to a report from the National Power Transmission Corporation (EVNNET), the electricity grid in Ho Chi Minh City has met the electricity consumption needs of residents and businesses in the first half of 2026. However, overloading still occurs at some substations, especially during peak hours.
Mr. Nguyen Van Thanh, Director of the Southern Power Dispatching Center, stated: "Electricity demand in Ho Chi Minh City increases by an average of 8-10% annually, higher than the national average. This poses significant challenges for the transmission system, especially when many newly developed areas experience a surge in electricity demand."
| Indicator | 6/2025 | 6/2026 | Growth Rate |
|---|---|---|---|
| Total electricity transmitted (GWh) | 15,240 | 16,580 | 8.8% |
| Number of overloaded transformers | 12 | 18 | 50% |
| Planned outage time (minutes/km) | 2.4 | 2.1 | -12.5% |
Current Electricity Transmission Projects
To address the situation above, EVNNET has implemented numerous electricity transmission projects in Ho Chi Minh City. However, the implementation progress of some projects has been delayed due to obstacles in land clearance and investment procedures.
- Project to upgrade the 500kV Binh Chanh substation
- Project to construct new 500kV transmission line from Binh Chanh to Thu Duc
- Project to upgrade the 220kV Tan Binh substation
- Project to construct new 220kV substation in District 9
- Project to expand 110kV transmission line in the southern area
| Project Name | Completion Time | Actual Status | Completion Rate |
|---|---|---|---|
| Upgrade of 500kV Binh Chanh substation | Q3/2025 | Q1/2026 | 85% |
| 500kV transmission line Binh Chanh - Thu Duc | Q4/2025 | Not yet completed | 65% |
| Upgrade of 220kV Tan Binh substation | Q2/2025 | Completed | 100% |
| 220kV substation in District 9 | Q1/2026 | Q3/2026 (estimated) | 45% |
Obstacles and Solutions
According to Mr. Tran Dinh Long, Deputy General Director of EVNNET, the main obstacles in implementing electricity transmission projects in Ho Chi Minh City include:
- Delays in land clearance due to changes in planning and inadequate compensation rates
- Complex administrative procedures with multiple intermediate levels
- Insufficient investment capital to meet actual needs
- Conflicts between transportation and electricity infrastructure projects
To resolve these obstacles, EVNNET has proposed the following solutions:
- Establish a special steering committee chaired by the Ho Chi Minh City People's Committee
- Develop special bidding mechanisms for key electricity transmission projects
- Enhance coordination between departments, agencies, and sectors of Ho Chi Minh City
- Prioritize budget allocation for electricity infrastructure projects
- Apply new technologies to shorten construction time
Importance of Energy Security
Ho Chi Minh City is known as the "economic engine" of the country, contributing approximately 22% of GDP and 27% of total national budget revenue. Ensuring energy security for the city has strategic significance, not only for the socio-economic development of the locality but for the entire country.
Ms. Le Thi Thanh Huong, Director of the Ho Chi Minh City Department of Industry and Trade, emphasized: "Energy security is vital for the sustainable development of Ho Chi Minh City. The city has many large industrial and service projects that require stable, high-quality electricity supply. We strongly hope that all levels and sectors will soon resolve difficulties to quickly implement electricity transmission projects."
Conclusion
Accelerating the implementation of electricity transmission projects and resolving investment and land clearance obstacles in Ho Chi Minh City is an urgent task to ensure energy security for the city. Close coordination between EVNNET, city authorities, and relevant ministries will be the key to solving this issue, contributing to the promotion of socio-economic development of Ho Chi Minh City and the entire country.