These are the assessments of Dr. Nguyen Xuan Quang (photo) - Institute of Energy Technology (Hanoi University of Science and Technology) on the new peak hour regulations.
On April 22, 2026, the Ministry of Industry and Trade issued Decision 963 regulating peak hours, off-peak hours and normal hours. What is your assessment of adjusting peak and off-peak hours?
- The adjustment of peak hours according to Decision 963 may have a positive impact on the power system if the power price factor is not considered. The period from 5:30 PM to 10:30 PM is the period when there is no longer solar power, so the difference between peak and low electricity prices will create motivation to promote the development of energy storage solutions such as storage batteries and energy-intensive hydropower. When electricity prices reflect relatively closely to market signals, it will encourage the development of flexible power sources and promote more efficient operation of the power system.
So according to you, how should the implementation roadmap be designed to avoid causing "shock" to businesses?
- The thing I am most concerned about is that the two-component electricity price mechanism, including the capacity price and the electricity price, has not been clearly shown. The two-component electricity price includes: The electricity price reflects the actual electricity consumption, and the capacity price reflects the maximum capacity that businesses use in a certain period of time. However, in the current new time frame, we have only seen the electricity price but have not seen where the capacity price is located.
The integration of peak hours into the 17:30 - 10:30 am time frame has a positive point, which is that it helps businesses to be more convenient in arranging production compared to before when there were two separate peak hours. However, the large difference between electricity prices at peak and low hours also raises many issues.
If businesses drastically reduce electricity use during peak hours, they will be forced to switch to using electricity at other times. Therefore, it is necessary to soon clearly announce and unify the electricity price calculation mechanism, including both the power price and the electricity price, so that businesses have a basis for building appropriate electricity use strategies.
The transition process needs a clear, transparent and synchronous roadmap so that businesses have time to adapt, avoiding creating cost "shocks" or disrupting production activities.
According to you, how will the large difference between electricity prices during peak and off-peak hours affect the electricity usage behavior of businesses? What recommendations do you have for businesses when applying the new peak and off-peak hours?
- For manufacturing industrial enterprises, such as steel, cement, textiles, food processing or electronics, electricity costs currently account for a very large proportion of product costs. Therefore, businesses will have no choice but to restructure loads to adapt.
The first solution that businesses need to consider is to shift the load from peak hours. However, this is not simply "turning off machinery" for a few hours in the evening, because with continuous production lines. Therefore, businesses need to clearly classify load groups: loads that must operate continuously, loads that can shift time and loads that can be replaced by energy storage systems. From there, a suitable electricity optimization strategy can be built.
The most mentioned solution today is to invest in a battery storage system (BESS), allowing businesses to charge electricity during off-peak hours or take advantage of daytime solar power, then "discharge electricity" during peak hours to reduce electricity purchased from the grid. When the electricity price difference between peak and off-peak hours is large enough, the storage investment problem will begin to have clearer economic efficiency.
However, not every business has enough financial capacity to immediately invest in electricity storage systems or renovate production lines. Therefore, there is a need for more support mechanisms on green credit, investment incentives or encouragement to develop solar power combined with storage so that businesses have more resources for conversion.
- Thank you!
