The government has agreed to reduce electricity prices due to Covid-19.

The Ministry of Industry and Trade announced that the Government has agreed to its proposal to reduce electricity prices to support people and businesses for three months (April, May, and June). The Ministry is currently seeking feedback from other ministries and agencies on the implementation guidelines until April 14th, after which it will issue an official decision on the price reduction.

Therefore, electricity prices for households will be reduced by 10% in tiers 1-4 (below 300 kWh). Manufacturing and business enterprises will receive a 10% price reduction during peak, normal, and off-peak hours. Tourist accommodation establishments will be subject to the new price level, the same as manufacturing businesses.

Illustrative image.

In addition, isolation facilities and centralized examination and treatment centers for suspected and confirmed Covid-19 patients are exempt from 100% of electricity charges. Medical examination, treatment, testing, and treatment facilities for suspected and confirmed Covid-19 patients receive a 20% reduction in electricity costs. Hotels and tourist accommodation facilities used for isolating suspected and confirmed Covid-19 patients also receive a 20% reduction.

According to the Ministry of Industry and Trade, the reduction in electricity prices and bills will be applied from the billing periods of May, June, and July, corresponding to the electricity bills for April, May, and June, respectively.

According to the Ministry's calculations, the total amount of electricity bill reductions for customers is nearly 11,000 billion VND, of which manufacturing and business enterprises will receive approximately 6,100 billion VND; households 2,900 billion VND; tourist accommodation establishments approximately 1,800 billion VND; and 100 billion VND for facilities serving the fight against Covid-19.

The Ministry of Industry and Trade also advised people that the peak of the hot season has arrived, especially in the southern provinces. With students having extended school breaks and people staying home to prevent the spread of the disease, the demand for household electricity has increased. To limit high electricity bills during the hot months, customers should use electricity safely, economically, and efficiently by turning off electrical appliances when not needed; avoiding the simultaneous use of multiple high-power appliances; using energy-saving labeled appliances; and setting air conditioners to 26 degrees Celsius or higher…

In particular, the Ministry of Industry and Trade recommends that people make the most of sunlight and natural ventilation to ensure air circulation and coolness, which will both save electricity and help reduce the density of viruses and bacteria, limiting the spread of disease.