Energy gap forecast to worsen

VIETNAM is warning of worsening power shortages over the next two years as surging demand for energy outstrips supply.

State press reports at the weekend unveiled plans to increase power production four times by 2000 as part of a long-term strategy to match demand and boost economic growth.

The plans are likely to involve calls for vast foreign investment and a scheme to build a nuclear power station within 15 years.

In the short term, however, severe problems would continue to plague Vietnam's generation and distribution network, the reports said.

Energy production grew by more than 19.2 per cent last year, but demand from industrial and domestic consumers surged by nearly 30 per cent.

'Such a situation is obviously not sustainable, and the situation for this year and probably next year can only worsen,' the official Vietnam News said.

'Vietnam remains in the dark, classified as underdeveloped by world standards.' Recent reports warn of serious seasonal changes in hydro-power output, outdated equipment and inefficient fuel usage at thermal stations. Vast amounts of electricity were lost from faulty transmission lines and overloaded and poorly maintained transformer stations, the reports said.