Power shortage seen less severe than expected

16:18' 13/07/2007 (GMT+7)

VietNamNet Bridge – State utility Electricity of Vietnam (EVN) has said a shortage of electricity would not be as severe as earlier forecast for it has found solutions to deal with a reduction in gas supply for a major southern power complex. The Nam Con Son Pipeline was suspended from Monday as scheduled and the down-time lasts eight days under a plan to install a new air compressor for the platform in offshore Block 06.1 off the coast of Vung Tau City. The suspension of gas supply was earlier believed to cause a serious power shortage as Phu My 1, Phu My 3 and Phu My 2.2 power stations with a combined output capacity of 4,000MW in the Phu My power complex in Ba Ria-Vung Tau Province run on gas supplied by the Nam Con Son project. In a report, the electricity supply regulator AO of EVN forecast the power shortage in the daytime would reach 1,000MW a day. However, Ngo Son Hai, deputy director of AO, said the office had asked local electricity companies to practice thrift. EVN will make the most of power stations that will switch from running on gas to diesel oil. AO experts have forecast a power shortage of around 400MW in peak hours. During the downtime of Block 06.1, Dinh Co gas terminal will not be shut down but the gas flow will be reduced. Therefore, some small-scale power plants with a total generation capacity of 1,000MW are continuing running on gas and other power plants with a total capacity of 3,000MW in cities and provinces will be fueled by diesel oil, Hai explained. Hai stressed that if EVN effectively practiced electricity savings, it could ensure sufficient power supply. EVN also plans standby solutions to deal with all possible contingencies to limit electricity cuts. In case of a huge power shortage, EVN will cut electricity supply for household users to ensure sufficient power for the manufacturing sector. Block 06.1 is scheduled to close three times - July 9-14, August 29-September 6, and September 29-30. According to BP, the operator of the Nam Con Son Pipeline project, Block 06.1 will be suspended for 14 days in September but the Nam Con Son Pipeline would be down for only eight days, and after eight days, the pipeline would potentially continue transportation of a maximum of 2.7mil cubic meters of gas a day from KNOC's Block 11.2. Lan Tay and Lan Do gas fields in Block 06.1 that are being tapped by India's ONGC with a 45% stake, BP Vietnam (35%) and PetroViemam (20%) can supply an average three billion cubic meters of gas a year for the Phu My power complex over 20 years to produce 12bil kWh a year, 40% of the current national demand. (Source: Viet Nam Net)