Deputy PM urges Vinacomin to boost coal output for double-digit growth target

Deputy PM urges Vinacomin to boost coal output for double-digit growth target

In the first six months of this year, Vinacomin’s commercial coal output reached about 53.7 per cent of the full-year target, while coal sales achieved 55 per cent.

Workers of Vinacomin inside an underground coal mine. Vinacomin is urged to increase coal production and enhance efficiency to support double-digit economic growth. — VNA/VNS Photo

Deputy Prime Minister Phạm Gia Túc urged Vietnam National Coal and Mineral Industries Group (Vinacomin) to increase production, accelerate mine development and improve efficiency to support the Government's target of achieving double-digit economic growth in 2026.

At a meeting with Vinacomin on Monday, Túc urged the group to ensure stable and safe coal production, guarantee fuel supplies for power generation, stressing the need to prioritise sufficient coal supplies for electricity generation and prevent fuel shortages under any circumstances.

He stressed the leading role of State-owned enterprises in driving growth.

Deputy PM Túc instructed Vinacomin to accelerate preparations for key mining projects and expand production at existing mines while developing deeper mineral processing, building integrated value chains from mining and refining to downstream processing and sales, and enhancing its ability to participate in higher-value segments of the mineral industry.

He also urged Vinacomin to continue organisational reforms, improve corporate governance, cut costs and strengthen competitiveness.

Vinacomin said rising fuel and material costs had increased production expenses, while delays in mining licences, slow site clearance for several projects and complicated procedures had significantly affected operations.

The company urged faster revisions to the national energy master plan for 2021-30 with a vision to 2050, greater flexibility in implementing a government resolution allowing certain mines to produce up to 15 per cent above licensed capacity, and streamlined exploration and licensing procedures.

In the first six months of this year, Vinacomin’s commercial coal output reached about 53.7 per cent of the full-year target, while coal sales achieved 55 per cent. Budget contributions also surpassed 55 per cent of the annual plan.

The group said it had maintained adequate coal supplies for thermal power plants despite strong demand, with inventories of about 5.5 million tonnes, equivalent to roughly one and a half months of power generation.

Capital investment reached 48 per cent of the year's plan, up 135 per cent from the same period last year. 

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