Just days after the hike, households, business owners, and production facilities began recalculating their monthly electricity expenses, bracing for the added financial burden.

Nguyễn Thị Ngọc, a resident of hamlet 18 in Thanh Xương commune (Điện Biên district), learned that starting May 10, EVN would implement a new, increased electricity pricing scheme. She shared: “My family has five members, and we do not use a lot of electricity, just a fan, refrigerator, and television. Our monthly electricity bill is already over VND 400,000. With my retirement pension at VND 2.5 million per month and electricity prices now going up, our bill will likely rise significantly. Each month, I have many essential expenses such as electricity, water, food, and school costs for the grandchildren. On a modest pension, it’s hard to make ends meet. Summer is here, the heat is intense, and we are using more electricity. We will have to cut back on other expenses to stay within budget.”

For local businesses, the rising electricity cost is compounding existing pressures from international markets, export barriers, and foreign tax policies.

Giang Văn Long, owner of the Minh Long rice milling facility in Thanh An commune (Điện Biên district), shared: “The first impact of the electricity price hike is a rise in production costs, which cuts into our profits. Electricity makes up a significant portion of product pricing, and we don’t want to raise the price of our goods, as that would directly affect the supply chain and our customers. My facility specializes in buying rice paddy from local farmers, processing it into commercial rice, and distributing it to other provinces. Our machines run all day, so electricity consumption is high. On average, we spend around VND 20 million per month on electricity. To keep rice prices stable, producers like us are forced to absorb the costs and accept lower profit margins”.

A representative from the Accounting Division of the Điện Biên trading and import-export JSC - Tâm Đỏ Supermarket stated: “The company consumes around 11,000kWh of electricity each month, costing nearly VND 40 million. With the current electricity rates, our power expenses are expected to rise in the coming months. The supermarket relies heavily on electricity to operate refrigerators, air conditioners, and lighting systems to preserve fresh produce, beer, and beverages. During the hot season, it’s difficult to reduce electricity use. In fact, it often increases. Adjusting electricity prices is necessary if current rates are not sufficient to ensure reinvestment in the power sector. As a business, we do not oppose the price increase, provided it comes with a long-term commitment to service quality, ensuring a stable, reliable supply that supports the economy’s growth needs”.

Bùi Quốc Trung, Deputy Director of Điện Biên Phủ power company, outlined how the increase will affect various households. According to EVN’s calculations, households using under 50kWh/month will pay VND 4,550 more per month, 51-100kWh: up VND 9,250, 101-200kWh: up VND 20,150, 201-300kWh: up VND 33,950, 301-400kWh: up VND 49,250, over 400kWh: up VND 65,050/month.

For poor households and policy-beneficiary families, monthly electricity subsidies are provided equivalent to 30kWh per household. Social policy households that consume no more than 50kWh per month are also eligible for support. Under the new pricing scheme, each poor household will receive approximately VND 59,520 per month in electricity assistance (excluding VAT). Overall, this electricity price adjustment is designed to ensure that the impact on poor and policy-beneficiary households remains minimal.

Trung emphasized that the increase follows Decision No.1279/QD-BCT (dated May 9, 2025) by the Ministry of industry and trade, which sets the average electricity retail price at VND 2,204.07/kWh (excluding VAT), reflecting a 4.8% increase over the previous rate.

“The electricity price increase is necessary to reflect rising input and operational costs in the power sector”, emphasized Trung. “Based on its operating plans, the EVN has regularly reviewed, calculated, and reported to relevant authorities to propose appropriate pricing adjustments. These adjustments are carefully considered, taking into account input costs, market fluctuations, and the payment capacity of both households and businesses. At the same time, businesses need to recalculate and rebalance their input costs, adopt strict energy-saving measures, and optimize production and operations. Alongside the price hike, the EVN also advises customers to use electricity safely, efficiently, and economically to ensure a stable and continuous power supply that best meets demand.