EVN is with many problems, caused by the monopoly that the State gives this enterprise. It has the exclusive right to buy and sell, a favor no one has, but the firm is reporting constant losses year after year. So far, EVN’s accumulated loss has reached nearly VND100 trillion ($4.2 billion), of which the loss in 2022 is VND26 trillion.
EVN is controlling Vietnam’s market, not only has the monopoly on both buying and selling electricity, but also enjoys its own mechanism. That is, the Government makes policies for EVN alone. EVN must not go bankrupt, no matter how the loss, it will be saved.
Meanwhile, Vietnamese private enterprises are under two pressures like two pincers, that is, they have to accept competition with their competitors, if they lose, they will suffer themselves, no one can save them. EVN is completely liberated from these two pincers.
The Communists believe that favoring state-owned enterprises, liberating these businesses from the two pincers that every private enterprise has to face, is to control, ensure security and help businesses develop, generate revenue for the budget.
But no, when children are spoiled, they are bad, and so is EVN. EVN is guaranteed by the state not to compete with anyone, guaranteed not to go bankrupt, then EVN is born bad. EVN reports losses regularly, so that the Government has to take action to save it. But the way to save EVN is to take money from the people’s pockets to make up for the losses that have been destroyed for many years.
The press asked, why does EVN lose more than VND26 trillion, while its subsidiaries make profits, in 2022?
Asking such a question, how can EVN answer, because if they answer satisfactorily, will they have to reveal their true faces? In fact, for the subsidiary to make a profit and the parent company to lose, is how they move money from one place to another. The parent company has to make a loss to have an excuse to apply for a policy. Only the parent company can do that, and sooner or later the Government will have to give EVN its own policy, so that the whole people can pocket it and put it in EVN’s greed.
To solve the huge loss of EVN, in the draft decision to replace Decision No. 24 on the mechanism of adjusting the average electricity selling price of the Ministry of Industry and Trade to the Ministry of Justice, there is a new point that the retail price of electricity is calculation of additional losses due to electricity production and business activities. That is, the Ministry of Industry and Trade is making policies to fill the pockets of greed for EVN. Many opinions disagree with this proposal, but the results are unlikely to be different. Because EVN is a favored company that cannot go bankrupt.
When increasing electricity prices to compensate for losses, it is a way of forcing people to bear the losses of EVN, without knowing where the loss is actually caused.
If done to the right place, the government must investigate where the assets of former EVN Chairman Duong Quang Thanh come from? Where does Mr. Thanh’s money for his two children to study in the US from high school, at a cost of hundreds of thousands of dollars per year, come from? The fact that EVN claims a loss must have a good reason, must have an independent audit, cannot let the situation of EVN make a loss, but power industry officials get rich, so where does the money go?
However, the government did not take any action to prove that they investigated the root of the problem, but just saw EVN complaining about it and indulged it. How is that different, is the state helping EVN to pickpocket the entire population?
With monopoly policy, the end is to pickpocket the people to make up for the loss, pickpocket the people to get rich. By ensuring that the company does not go bankrupt, at the same time, it also fosters bad habits for the business. In the end, business not only does not bring benefits to society, but it is even more devastating to society. The Communist government has protected EVN with a monopoly which is a selfish and ignorant way of doing things.
Even in the defense industry, which should have a monopoly for the state to control security, the US still does not create a monopoly playing field. Each contract to supply weapons to the US Government, there are still many contractors involved, including private contractors, not leaving a single business in the market. If creating a monopoly position, then American weapons would not be as good as they are today.
Anh Vu – Thoibao.de
