Report and Assessment of the Board of Management

Assessment of production and business activities

In 2024, the unpredictable fluctuations in the context have caused many difficulties and challenges in the planning and operation of EVNGENCO3. The changes in the electricity market operation methods, along with the continued sharp decline in domestic gas supply, high input fuel costs, and extreme weather phenomena, are the factors that directly impact the operations of the electricity sector. In addition, the USD/VND exchange rate on December 31, 2024, increased by 4.63% compared to the beginning of the year, which significantly affected the Corporation’s profit. 
Facing with challenges, the entire leadership team and staff of EVNGENCO3 have united, utilizing all resources to overcome obstacles and achieve the highest completion of the plan and tasks for 2024, obtaining notable results. The electricity production output of EVNGENCO3 in 2024 (including development units and joint-stock companies) reached 26.437 billion kWh, achieving 91.95% of the target approved by the Annual General Meeting of Shareholders; achieving 113.92% of the target by EVN/MoIT. EVNGENCO3’s power plants have generally operated stably, meeting the mobilization requirements of the national power system.

PRODUCTION AND OPERATIONS MANAGEMENT

The power plants ensured stable operations, meeting the mobilization requirements of the power system, especially during the peak dry months of 2024, contributing to the completion of the electricity production mission, supporting the development of the economy and society, and serving the needs of the people.
The Corporation effectively achieved 8 out of 10 economic and technical targets as planned, thanks to the implementation of a number of synchronized solutions such as reducing heat loss, improving the availability factor of hydroelectric power, and reducing the self-consumption rate of coal-fired and hydroelectric power plants…

TECHNICAL SERVICES, REPAIR AND MAINTENANCE

Maintenance and repair work has been completed safely, with quality, and on schedule, contributing to ensuring electricity production. The Corporation has effectively carried out major repair projects for both internal and external EVN customers.
From March 1, 2024, the Corporation took over the operation and maintenance (O&M) management of Phu My 3 Thermal Power Plant under the O&M contract with EVN; preparing all necessary resources to take over the O&M of Phu My 2.2 Thermal Power Plant starting from February 14, 2025.
During the year, EVNGENCO3 successfully carried out 09 major repairs for the turbine units and several other major repairs for auxiliary works; resulting in a cost saving of approximately 83.3 billion VND, equivalent to a 16% reduction compared to the plan.

CONSTRUCTION INVESTMENT

In 2024, EVNGENCO3 has made efforts to implement project management, promoting the construction of works to ensure progress and quality, completing 99.02% of the plan, with the projects where the Corporation is the investor reaching 97.95%.
In addition to traditional electricity fields, the Corporation continues to focus on investing in green, clean energy: seeking opportunities to cooperate in providing liquefied gas fuel for the operation of gas turbine power plants; signing cooperation agreements for the development of offshore wind power; the flexible ICE power plant in Ninh Binh; and converting biomass fuel to meet environmental standards for power plants.

HUMAN RESOURCE AND CORPORATE CULTURE DEVELOPMENT

With the philosophy of ‘Putting people at the center’ EVNGENCO3 focuses on building a team of highly capable personnel, ensuring a sustainable workforce as a solid foundation for the Corporation’s strong transformation steps. The company always emphasizes the development of intellectual abilities alongside physical capabilities, proactively implementing specialized technical training programs, mastering technologies, and replacing foreign experts in areas such as repairs, and preparing for the management and maintenance (O&M) of offshore wind power plants, etc,…
EVNGENCO3 strengthens the development and enhances the effectiveness of corporate culture, creating new values to continuously elevate the brand in the future.

Financial situation

PRODUCTION AND BUSINESS RESULTS

EVNGENCO3’s total consolidated revenue in 2024 reached VND 41,158 billion, down 11.65% over the same period in 2023.
In 2024, EVNGENCO3 recorded VND 1,293 billion in foreign exchange loss different, mainly due to the strong increase in the USD, which strongly affected the Corporation’s production and business results, resulting in a negative pre-tax profit of VND 871 billion.

ASSETS

As of December 31, EVNGENCO3’s assets reached more than 55,267 billion VND, short term 16,821 billion VND, long term 38,446 billion VND accounting for 69.56% of total assets, primarily consisting of fixed assets with a remaining value of 33.015 billion VND. As EVNGENCO3 is a power generation company, fixed assets make up a significant proportion of its total assets.

LIABILITIES

As of December 31, 2024, total liabilities amounted to 40,697 billion VND, including short-term debt of 13,814 billion VND and long-term debt of 26,883 billion VND, making up 66.06% of total liabilities. Of this, loans accounted for 31,895 billion VND, a decrease of 4,116 billion VND compared to the same period last year. In recent years, EVNGENCO3 has made continuous efforts to reduce loan debt. The debt-to-equity ratio as of December 31, 2024, was 2.79 times, which is below the regulatory threshold of 3 times.
In 2024, a partial restructuring of the KEXIM loan for the Mong Duong 1 Thermal Power Plant project (USD 81.5 million) was carried out using domestic commercial loans.

On organizational structure, policies, management

In 2024, EVNGENCO3 issued the Restructuring Plan for EVNGENCO3 until the end of 2025 and the Implementation Plan to promote innovation, enhance corporate governance capabilities, and improve operational mechanisms to increase the efficiency of EVNGENCO3’s production and business activities.
The plan includes developing a strategy for restructuring the Project Management Board, focusing on centralizing management by areas such as operations management, electricity market, and fuel supply…
Additionally, the plan involves preparing for organizational restructuring and creating an effective operational system based on strengthening the application of technology and centralized data management,…
In its digital transformation efforts, EVNGENCO3 has made numerous improvements across all production and business management activities, including: effective utilization of management and operation software, remote monitoring programs for generating units (RMS); application of digital signatures, electronic operation logs, upgrading of downstream flood discharge warning systems for hydropower plants; development and implementation of a workflow system, deployment of Elogbook software upgrades at power plants, and implementation of a standardized material coding system and smart material warehouse.

DEVELOPMENT PLAN IN 2025

Business production plan in 2025

SITUATION IN 2025

• GDP growth target of 8% or higher.
• Projected electricity load growth of approximately 12.2%.
• The 500 kV Line 3, once operational, will significantly enhance North-Central transmission capacity.
• New power source capacity growth is lower than electricity load growth.
• Most coal-fired power sources are expected to operate at maximum capacity; High-cost power sources, such as LNG and oil, will also be heavily utilized, especially during peak load months (March-June 2025).
• The hydrological conditions for 2025 are forecasted to be unfavorable.
• EVNGENCO3’s electricity production activities will continue to face competition, with market share being taken by BOT power plants and renewable energy sources.
• Participation in the electricity market for the Corporation’s power plants is expected to be difficult, particularly for hydropower plants operating under the monthly auction method with an alpha ratio of 98%.
• Interest rates have decreased but remain at high levels, and exchange rates are experiencing unpredictable fluctuations. The Project on Restructuring Corporation and rearranging the organizational models of the Corporation is being implemented.

ELECTRICITY PRODUCTION PLAN

The planned power output for the entire Corporation in 2025 was established based on the Ministry of Industry and Trade’s Decision No. 3300/QD-BCT dated December 15, 2024, approving the National Electricity System Operation and Power Supply Plan for 2025, and the actual situation of EVNGENCO3, specifically as follows:

Construction investment plan in 2025

CURRENTLY IMPLEMENTED PROJECTS

Focus on managing and overseeing the contractors’ construction work closely; promptly study and propose solutions to the competent authorities to address and resolve difficulties, ensuring the progress, volume, quality, and timely settlement of the projects as per the prescribed deadlines, specifically:

◆ THAI BINH THERMAL POWER PLANT PROJECT: Complete the construction and final settlement of the project.

◆ EXPANSION OF THE COAL STORAGE ROOF PROJECT AT VINH TAN 2 THERMAL POWER PLANT (PHASE 2): Complete the construction and final settlement of the project.

◆ VINH TAN 4 AND VINH TAN 4 EXTENSION PROJECT:
(i) Complete the payment for the contracts outside the EPC contract; (ii) Complete the final settlement of the entire project.

◆ VINH TAN THERMAL POWER PLANT COAL IMPORT PORT PROJECT:
Submit the Environmental Impact Assessment (EIA) Report for approval by the competent authorities and transfer the sea area (the scope of the channel outside the breakwater of Vinh Tan Thermal Power Plant) and implement EVN’s instructions to begin dredging work for 100,000 DWT vessels after Binh Thuan province approves the adjustment of the Hon Cau conservation area and hands over the sea area.

PROJECTS PROMOTING INVESTMENT

Closely coordinate with ministries and departments to include power source projects in the adjusted Power Plan VIII; proactively implement the investment preparation procedures for projects…; continue to promote the research and search for cooperation opportunities to develop projects, participate in equity investments, and implement the construction of new power source projects according to the national electricity planning. For 2025, the specific plan is as follows:

– Flexible Thermal Power Plant Project in Ninh Binh province: (i) Implement the preparation of the Pre-FS report for the project to seek investment approval; (ii) Conduct surveys, prepare, and verify the FS report for the project; initiate site clearance and mine clearance work after being assigned as the investor.

– Floating Solar Power Plant Projects on Srepok 3 and Buon Kuop Hydropower Reservoirs: (i) Seek investment approval after the government approves the adjusted Power Plan VIII and assigns the project as the investor; (ii) Conduct surveys, prepare and verify the FS, and design the project.

– Corio Binh Thuan Offshore Wind Project, Ba Ria Vung Tau Offshore Wind Project: Carry out monitoring,

investigation, surveying, wind measurement, and resource evaluation in the marine areas after receiving permission from the relevant authorities.

Continue to direct, urge, and strictly control compliance with new legal regulations on environmental protection, water resource exploitation and use, ensuring efficiency and conservation..
Maintain the regular, reliable, and stable operation of environmental treatment facilities, monitoring equipment, and online environmental monitoring systems (for emissions, wastewater, and cooling water) that have been comprehensively installed at power plants. Carry out maintenance, inspection, and periodic calibration of online environmental monitoring equipment in full compliance with regulations to ensure quality. Ensure that online environmental monitoring systems and data transmission from power plants to local Departments of Natural Resources and Environment operate smoothly and continuously.
Strictly control pollution sources through online, periodic monitoring activities, and contracts with licensed units authorized by the Ministry of Natural Resources and Environment for waste treatment and environmental monitoring. Organize the classification, collection, storage, and treatment of solid waste and hazardous waste while ensuring periodic environmental monitoring and full regulatory reporting.
Continue maintaining the effectiveness of the environmental management system according to TCVN ISO 14001:2015 at power plants, continuously improving efficiency and making ongoing enhancements.
Complete environmental permits, environmental registrations, and water resource permits as per new
regulations, following the allowed timeline to ensure continuity of permit validity for each type of project and facility.
Continue researching and implementing solutions for fully utilizing treated wastewater, optimizing water resource use in an economical and efficient manner. Maximize the functionality of raw materials, fuels, supplies, and equipment; enhance waste management efforts to minimize disposal and promote circular economy principles as per the Prime Minister’s directive.
Phu My, Ba Ria, Vinh Tan 2, and Mong Duong 1 power plants will complete measurement, inventory, reporting, and assessment of greenhouse gas (GHG) emissions every two years for the first cycle. They will also develop and approve

GHG emission reduction plans, reporting to relevant authorities to ensure compliance with conditions for participating in the carbon market, emission quota trading, and carbon credit exchanges. Additionally, they will consider registering programs and projects under carbon credit trading and offset mechanisms, aligning with the Government’s commitment at COP26 in 2021. 2025 Plan:
+ Implement GHG emission reduction measures suitable for production and business conditions.
+ By March 31, 2025: Submit the GHG inventory report to provincial People’s Committee for appraisal. + By December 1, 2025: Complete the GHG inventory report after assessment and submit it to the Ministry of Natural Resources and Environment.
+ By December 31, 2025: Develop and approve the GHG emission reduction plan for 2026–2030, and submit it to Ministry of Natural Resources and Environment, the Ministry of Industry and Trade (MOIT), and relevant specialized agencies under the Provincial People’s Committees.
Continue researching and implementing regulations regarding environmental liability insurance for compensation in case of environmental incidents and conducting environmental audits.
Coal Ash and Slag Consumption: Mong Duong 1 Power Plant: Maintain 100% daily coal ash and slag consumption, while also consuming an additional 300,000 tons from the ash disposal site, while Vinh Tan 2 Power Plant: Consume most of the daily generated coal ash and slag while also utilizing over 150,000 tons from the ash disposal site. 2025 Plan:
+ Mong Duong 1 Power Plant: A contract has been signed to consume 100% of the generated coal ash and slag for the 2025–2028 period. Market research has identified potential demand of 5.5–6 million tons from cement manufacturers and industrial cluster projects.
+ Vinh Tan 2 Power Plant: Continue implementing the 2023–2026 contract, ensuring a minimum annual consumption of 1.1 million tons of coal ash and slag from production, while also utilizing stockpiled ash based on capacity. Commission the fly ash separation system in Q1/2025 with a processing capacity of approximately 700,000 tons/year. Invest in and develop a shared fly ash export system via sea transport for the Vinh Tan Power Complex.

Business production plan in 2025

SITUATION IN 2025

• GDP growth target of 8% or higher.
• Projected electricity load growth of approximately 12.2%.
• The 500 kV Line 3, once operational, will significantly enhance North-Central transmission capacity.
• New power source capacity growth is lower than electricity load growth.
• Most coal-fired power sources are expected to operate at maximum capacity; High-cost power sources, such as LNG and oil, will also be heavily utilized, especially during peak load months (March-June 2025).
• The hydrological conditions for 2025 are forecasted to be unfavorable.
• EVNGENCO3’s electricity production activities will continue to face competition, with market share being taken by BOT power plants and renewable energy sources.
• Participation in the electricity market for the Corporation’s power plants is expected to be difficult, particularly for hydropower plants operating under the monthly auction method with an alpha ratio of 98%.
• Interest rates have decreased but remain at high levels, and exchange rates are experiencing unpredictable fluctuations. The Project on Restructuring Corporation and rearranging the organizational models of the Corporation is being implemented.

ELECTRICITY PRODUCTION PLAN

The planned power output for the entire Corporation in 2025 was established based on the Ministry of Industry and Trade’s Decision No. 3300/QD-BCT dated December 15, 2024, approving the National Electricity System Operation and Power Supply Plan for 2025, and the actual situation of EVNGENCO3, specifically as follows:

Construction investment plan in 2025

CURRENTLY IMPLEMENTED PROJECTS

Focus on managing and overseeing the contractors’ construction work closely; promptly study and propose solutions to the competent authorities to address and resolve difficulties, ensuring the progress, volume, quality, and timely settlement of the projects as per the prescribed deadlines, specifically:

◆ THAI BINH THERMAL POWER PLANT PROJECT: Complete the construction and final settlement of the project.

◆ EXPANSION OF THE COAL STORAGE ROOF PROJECT AT VINH TAN 2 THERMAL POWER PLANT (PHASE 2): Complete the construction and final settlement of the project.

◆ VINH TAN 4 AND VINH TAN 4 EXTENSION PROJECT:
(i) Complete the payment for the contracts outside the EPC contract; (ii) Complete the final settlement of the entire project.

◆ VINH TAN THERMAL POWER PLANT COAL IMPORT PORT PROJECT:
Submit the Environmental Impact Assessment (EIA) Report for approval by the competent authorities and transfer the sea area (the scope of the channel outside the breakwater of Vinh Tan Thermal Power Plant) and implement EVN’s instructions to begin dredging work for 100,000 DWT vessels after Binh Thuan province approves the adjustment of the Hon Cau conservation area and hands over the sea area.

PROJECTS PROMOTING INVESTMENT

Closely coordinate with ministries and departments to include power source projects in the adjusted Power Plan VIII; proactively implement the investment preparation procedures for projects…; continue to promote the research and search for cooperation opportunities to develop projects, participate in equity investments, and implement the construction of new power source projects according to the national electricity planning. For 2025, the specific plan is as follows:

– Flexible Thermal Power Plant Project in Ninh Binh province: (i) Implement the preparation of the Pre-FS report for the project to seek investment approval; (ii) Conduct surveys, prepare, and verify the FS report for the project; initiate site clearance and mine clearance work after being assigned as the investor.

– Floating Solar Power Plant Projects on Srepok 3 and Buon Kuop Hydropower Reservoirs: (i) Seek investment approval after the government approves the adjusted Power Plan VIII and assigns the project as the investor; (ii) Conduct surveys, prepare and verify the FS, and design the project.

– Corio Binh Thuan Offshore Wind Project, Ba Ria Vung Tau Offshore Wind Project: Carry out monitoring,

investigation, surveying, wind measurement, and resource evaluation in the marine areas after receiving permission from the relevant authorities.

Continue to direct, urge, and strictly control compliance with new legal regulations on environmental protection, water resource exploitation and use, ensuring efficiency and conservation..
Maintain the regular, reliable, and stable operation of environmental treatment facilities, monitoring equipment, and online environmental monitoring systems (for emissions, wastewater, and cooling water) that have been comprehensively installed at power plants. Carry out maintenance, inspection, and periodic calibration of online environmental monitoring equipment in full compliance with regulations to ensure quality. Ensure that online environmental monitoring systems and data transmission from power plants to local Departments of Natural Resources and Environment operate smoothly and continuously.
Strictly control pollution sources through online, periodic monitoring activities, and contracts with licensed units authorized by the Ministry of Natural Resources and Environment for waste treatment and environmental monitoring. Organize the classification, collection, storage, and treatment of solid waste and hazardous waste while ensuring periodic environmental monitoring and full regulatory reporting.
Continue maintaining the effectiveness of the environmental management system according to TCVN ISO 14001:2015 at power plants, continuously improving efficiency and making ongoing enhancements.
Complete environmental permits, environmental registrations, and water resource permits as per new
regulations, following the allowed timeline to ensure continuity of permit validity for each type of project and facility.
Continue researching and implementing solutions for fully utilizing treated wastewater, optimizing water resource use in an economical and efficient manner. Maximize the functionality of raw materials, fuels, supplies, and equipment; enhance waste management efforts to minimize disposal and promote circular economy principles as per the Prime Minister’s directive.
Phu My, Ba Ria, Vinh Tan 2, and Mong Duong 1 power plants will complete measurement, inventory, reporting, and assessment of greenhouse gas (GHG) emissions every two years for the first cycle. They will also develop and approve

GHG emission reduction plans, reporting to relevant authorities to ensure compliance with conditions for participating in the carbon market, emission quota trading, and carbon credit exchanges. Additionally, they will consider registering programs and projects under carbon credit trading and offset mechanisms, aligning with the Government’s commitment at COP26 in 2021. 2025 Plan:
+ Implement GHG emission reduction measures suitable for production and business conditions.
+ By March 31, 2025: Submit the GHG inventory report to provincial People’s Committee for appraisal. + By December 1, 2025: Complete the GHG inventory report after assessment and submit it to the Ministry of Natural Resources and Environment.
+ By December 31, 2025: Develop and approve the GHG emission reduction plan for 2026–2030, and submit it to Ministry of Natural Resources and Environment, the Ministry of Industry and Trade (MOIT), and relevant specialized agencies under the Provincial People’s Committees.
Continue researching and implementing regulations regarding environmental liability insurance for compensation in case of environmental incidents and conducting environmental audits.
Coal Ash and Slag Consumption: Mong Duong 1 Power Plant: Maintain 100% daily coal ash and slag consumption, while also consuming an additional 300,000 tons from the ash disposal site, while Vinh Tan 2 Power Plant: Consume most of the daily generated coal ash and slag while also utilizing over 150,000 tons from the ash disposal site. 2025 Plan:
+ Mong Duong 1 Power Plant: A contract has been signed to consume 100% of the generated coal ash and slag for the 2025–2028 period. Market research has identified potential demand of 5.5–6 million tons from cement manufacturers and industrial cluster projects.
+ Vinh Tan 2 Power Plant: Continue implementing the 2023–2026 contract, ensuring a minimum annual consumption of 1.1 million tons of coal ash and slag from production, while also utilizing stockpiled ash based on capacity. Commission the fly ash separation system in Q1/2025 with a processing capacity of approximately 700,000 tons/year. Invest in and develop a shared fly ash export system via sea transport for the Vinh Tan Power Complex.

Explanation of the board of management for the auditor’s opinion:  

None

Assessment report related to the corporation’s environmental and social responsibilities

Assessment related to environmental indicators

Parameter table of environmental indicators of the corporation

The power plants of EVNGENCO3 strictly comply with safety, health, and environmental protection standards, as well as regulations and requirements set by authorities. There have been no environmental incidents or violations leading to administrative penalties. EVNGENCO3 has prioritized investing in new technologies to reduce environmental impact, enhance energy efficiency, and implement waste treatment and reuse solutions for cleaner production. The company closely monitors wastewater treatment, waste management, and environmental indicators, ensuring all parameters remain within regulatory limits. In 2024, the utilization rate of coal-fired power plant ash and slag remained high, specifically: Vinh Tan 2 Thermal Power Plant: 104.04%, Mong Duong 1 Thermal Power Plant: 129.03%.

Assessment related to human resources

Human resources are identified as the foundation for EVNGENCO3’s success and serve as the driving force for the company to create new and distinctive values on its path toward sustainable development.
EVNGENCO3 ensures diverse, equal, and inclusive human resource policies with no gender discrimination in its policies or employee benefits. The company has been awarded the Global Gender Equality Certificate, affirming its commitment to establishing a genuinely equal working environment, contributing to its sustainable development through the benefits of workplace equality.
In 2024, EVNGENCO3 fully implemented salary, bonus, overtime pay, and other allowances following its salary and bonus management regulations, in compliance with legal requirements and the company’s specific characteristics. Additionally, it ensured the proper implementation of social insurance policies.

EVNGENCO3 has fully complied with health insurance and unemployment insurance regulations set by the government. At the same time, the company has actively implemented welfare programs and initiatives to support the well-being of its employees.
Additionally, EVNGENCO3 places great emphasis on internal talent development, fostering a digital workforce,
and continuously enhancing the professional qualifications, technical skills, and ethical standards of its employees. The company also focuses on expanding recruitment efforts and developing a strong successor workforce to ensure sustainable growth.

ASSESSMENT RELATED TO CORPORATE RESPONSIBILITY TO THE LOCAL COMMUNITY

EVNGENCO3 is deeply aware that the Corporation’s sustainable development must be associated with the interests of society. Throughout its operations, EVNGENCO3 always fulfills its responsibilities to society and the community by creating stable and sustainable jobs for workers; contributing to local economic development; fulfilling tax obligations to the State; and accompanying localities in effectively performing social security tasks with a high sense of responsibility.
The Corporation was active in carrying out social activities, focusing on educational support activities such as construction, repair, and providing financial support to schools; providing support in building houses of gratitude/”Great solidarity” houses. The Corporation’s total cost of implementing such social activities reached about 11.4 billion VND.

Assessment related to environmental indicators

Parameter table of environmental indicators of the corporation

The power plants of EVNGENCO3 strictly comply with safety, health, and environmental protection standards, as well as regulations and requirements set by authorities. There have been no environmental incidents or violations leading to administrative penalties. EVNGENCO3 has prioritized investing in new technologies to reduce environmental impact, enhance energy efficiency, and implement waste treatment and reuse solutions for cleaner production. The company closely monitors wastewater treatment, waste management, and environmental indicators, ensuring all parameters remain within regulatory limits. In 2024, the utilization rate of coal-fired power plant ash and slag remained high, specifically: Vinh Tan 2 Thermal Power Plant: 104.04%, Mong Duong 1 Thermal Power Plant: 129.03%.

Assessment related to human resources

Human resources are identified as the foundation for EVNGENCO3’s success and serve as the driving force for the company to create new and distinctive values on its path toward sustainable development.
EVNGENCO3 ensures diverse, equal, and inclusive human resource policies with no gender discrimination in its policies or employee benefits. The company has been awarded the Global Gender Equality Certificate, affirming its commitment to establishing a genuinely equal working environment, contributing to its sustainable development through the benefits of workplace equality.
In 2024, EVNGENCO3 fully implemented salary, bonus, overtime pay, and other allowances following its salary and bonus management regulations, in compliance with legal requirements and the company’s specific characteristics. Additionally, it ensured the proper implementation of social insurance policies.

EVNGENCO3 has fully complied with health insurance and unemployment insurance regulations set by the government. At the same time, the company has actively implemented welfare programs and initiatives to support the well-being of its employees.
Additionally, EVNGENCO3 places great emphasis on internal talent development, fostering a digital workforce,
and continuously enhancing the professional qualifications, technical skills, and ethical standards of its employees. The company also focuses on expanding recruitment efforts and developing a strong successor workforce to ensure sustainable growth.

ASSESSMENT RELATED TO CORPORATE RESPONSIBILITY

TO THE LOCAL COMMUNITY

EVNGENCO3 is deeply aware that the Corporation’s sustainable development must be associated with the interests of society. Throughout its operations, EVNGENCO3 always fulfills its responsibilities to society and the community by creating stable and sustainable jobs for workers; contributing to local economic development; fulfilling tax obligations to the State; and accompanying localities in effectively performing social security tasks with a high sense of responsibility.
The Corporation was active in carrying out social activities, focusing on educational support activities such as construction, repair, and providing financial support to schools; providing support in building houses of gratitude/”Great solidarity” houses. The Corporation’s total cost of implementing such social activities reached about 11.4 billion VND.

Assessment of the BD on the corporation’s performance

Assessment of the BD on the corporation’s performance

Assessment of the board of directors on the corporation’s operational aspects

Pursuant to Resolution No. 45/NQ dated June 13, 2024, issued by the Annual General Meeting of Shareholders of EVNGENCO3, the Board of Directors has directed the Executive Board to implement key tasks to ensure the achievement of the 2024 targets. As a result, the company has attained positive outcomes, including:

In 2024, the Corporation established the Electricity Supply Steering Committee, organized reviews, and implemented synchronized solutions, visiting and working directly at the plants to supervise and resolve difficulties:
– Electricity production in 2024 reached 23.358 billion kWh, completing 92.1% of the target approved by the Annual General Meeting (AGM), surpassing EVN/MOIT’s target by 13.92%. The company ensured a stable and safe electricity supply, supporting social welfare, economic, and political stability, and contributing to the overall growth of Viet Nam Electricity.
– Profit before tax of 2024 (excluding foreign exchange differences) reached 528 billion VND, equivalent to 268% of the target set by the AGM.

The Corporation has achieved nearly all economic and technical targets as planned, with many indicators showing significant improvement, such as: self-consumption rate, fuel consumption rate, and unscheduled shutdown ratio.
The Corporation’s power plants operated safely and stably in 2024. The repair, fabrication, restoration, and deep electrical testing capacities have continued to improve, contributing to the reliable operation of the Corporation’s units.
The Corporation has implemented synchronized and flexible solutions to optimize energy savings and improve plant efficiency. Projects aimed at reducing heat loss, enhancing reliability, and improving operational efficiency of power plants in the 2021-2025 period have delivered clear results, significantly reducing coal consumption rates and the self- consumption rate. Notably, the pioneering implementation of blended coal combustion at Vinh Tan 2 thermal power plant, as directed by the group, and the trial use of Sub-Bitum coal blending at Mong Duong 1 power plant, have proven effective in reducing variable costs and enabling more flexible coal supply for the plants.

EVNGENCO3 continually enhances its financial management capacity, ensuring the safe, efficient, flexible, and purposeful mobilization, management, and use of capital; regularly monitoring and evaluating the effectiveness of the Corporation’s capital investments. In 2024, the Corporation restructured part of its KEXIM loan for the Mong Duong 1 Thermal Power Plant project (81.5 million USD) using domestic commercial loans, contributing to a reduction in financial costs.
In the challenging circumstances of 2024, to ensure the completion of the production and business plan, the Corporation directed its units to rigorously implement solutions for savings, optimization, and cost reduction. As a result, material costs, outsourced services, major repairs, and other expenses are estimated to decrease by 186 billion VND compared to the planned budget.

In 2024, EVNGENCO3 successfully completed the O&M work for Phu My 3 Thermal Power Plant, and prepared for the O&M handover of the BOT Phu My 2.2 Thermal Power Plant, ensuring progress is on schedule..
Based on the Electricity Master Plan VIII, the Corporation continues to focus on investing in clean energy, including exploring opportunities for collaboration on Liquefied Natural Gas (LNG) fuel for the operation of gas turbine power plants; signing cooperation agreements for the development of offshore wind power; and converting to biomass fuel to increase the lifespan and environmental friendliness of power plants.

Developing a high-quality workforce has always been a top priority at EVNGENCO3. The Corporation regularly enhances the capacity of its employees through training programs aligned with production and business tasks, with a focus on internal training, especially after foreign training programs. In 2024, the Corporation implemented training activities reaching 107% of the target (13,580/12,645 person-times) and e-learning training with over 82,000 accesses (equivalent to 30 accesses per employee).
Salary, bonus, and benefits management are carried out in accordance with regulations. The Corporation focuses on building an increasingly civilized, modern working environment, continually improving the material and spiritual life of employees, and providing comprehensive care for the workforce.
In the past year, the Corporation launched and implemented various specialized emulation movements, such as: “The emulation movement to reduce incidents and ensure the readiness of power plants for the end of 2023 and the dry season of 2024,” and “120 days of maximum effort to ensure sufficient electricity supply for the dry season of 2024.” Emulation movements to promote innovation and technical improvements have been maintained and developed across the entire Corporation, with timely summaries, evaluations, and rewards.

EVNGENCO3 ensures the governance of its publicly listed joint-stock company on the HOSE stock exchange, with transparent disclosure of activities. The Corporation has effectively implemented internal control, risk management, and solutions to ensure stable electricity production, enhance business performance, and maintain proactive and flexible management operations
In 2024, the Corporation was proudly recognized for the first time in the Top 20 Best Annual Reports – non-financial sector, which reflects the Corporation’s strong adherence to information disclosure standards and governance criteria for large-scale public companies.
The Corporation continues its digital transformation efforts, strengthening the application of science and technology to enhance management effectiveness and professionalism.

On December 31, 2024, the State Capital Management Committee approved the finalization of the privatization of the parent company – EVNGENCO3, marking the successful completion of the transformation process. The company has fully met its obligations regarding budget contributions, asset transfer to the state, and other duties to regulatory authorities, ensuring transparency and efficiency during the business model transition. This sets the foundation for the next phase of the company’s restructuring process.

EVNGENCO3 focuses on implementing its digital transformation plan across areas such as management, technical management, construction investment, project management, information technology, and telecommunications. Notable initiatives include the application of artificial intelligence (AI) to leverage a centralized data warehouse, automatically analyze and extract information; the development of an operations and maintenance management system for power plants via mobile devices; the completion of a hydrological monitoring system integrated with weather forecasts for catchment areas, and the application of AI to manage reservoir operations, power plants, and flood alerts for downstream areas of hydropower plants. Additionally, enhanced security measures are being implemented to safeguard operations conducted in a networked environment….
Technical innovations, improvements, and production optimization initiatives are being promoted and effectively applied in practical production processes.

EVNGENCO3 strictly complies with the regulations of the State, ministries, and EVN regarding environmental and labor safety monitoring. Regular environmental measurements and evaluations are conducted, ensuring that all indicators remain within permissible standards. The company also regularly manages and provides healthcare for its employees.
EVNGENCO3 has collaborated with relevant units to organize training sessions to enhance knowledge about occupational safety and hygiene. Continuous awareness campaigns are held to promote safety and hygiene practices among all employees within the Corporation.
EVNGENCO3 fully adheres to disaster prevention and search and rescue (PCTT&TKCN) protocols. In 2024, preparation and response efforts were carried out effectively, particularly
during Typhoon No. 3 – YAGI, minimizing damage from natural disasters and floods. The company ensures compliance with safety regulations for downstream areas during dam operation and flood release.
EVNGENCO3 has strengthened safety inspections during production operations, especially during peak dry season operations, dry spells, and before and during scheduled maintenance shutdowns (SCL)…

In 2024, EVNGENCO3 continued to promote cooperation activities with international partners, seeking opportunities for development across various areas of the Corporation’s operations
Strengthening cooperation with diplomatic and commercial agencies from various countries in Viet Nam, such as the U.S. Consulate in Ho Chi Minh City, the Australian Embassy, and the Finnish Embassy.
The company participated in international activities, events, and forums to exchange experiences and promote cooperation in the energy sector, including: Viet Nam-Australia Business Forum within the framework of the 50th Anniversary of ASEAN-Australia Relations Summit. International Technical Exhibition Conference (BIXPO) in South Korea. GASTECH 2024 Exhibition in the United States…
Maintaining relationships and cooperation with international partners in areas such as: investment
research and development for the Corio offshore wind project in Binh Thuan (Corio Generation), Ninh Binh flexible power plant (Wartsila, etc.); continued research on optimizing power plant operations (Mitsubishi, GE, Siemens, etc.); research on applying digital power plant solutions (KEPCO); development and application of coal blending combustion technology (Doosan Enerbility); collaboration on fuel supply solutions for power plants (Qatar Gas, Exxon Mobil, GTT, Woodside Energy, etc.).

The Corporation continues to effectively implement environmental protection work, meeting increasingly
higher environmental requirements in the new situation; strengthening the greening density and improving the landscaping system for power plants; aiming for increasingly environmentally friendly production.
The results of online environmental monitoring; periodic monitoring and supervision of parameters such as dust, emissions, wastewater, cooling water, and surrounding environment are all within permissible limits and transmitted to the local Department of Natural Resources and Environment as required. In 2024, there were no environmental incidents, and the company was not subject to any administrative fines related to environmental protection; at the same time, online environmental monitoring data was publicly displayed on electronic boards at the main gates of the power plants, ensuring transparency in environmental protection efforts to the community.
The consumption of fly ash and slag from coal-fired power plants continues to improve significantly. In 2024,
the Corporation completed the installation and testing of the fly ash separation system at the slag yard of Vinh Tan 2 Thermal Power Plant, with a capacity to process 500,000 m3/year (equivalent to over 730,000 tons/year), with the goal of officially operating it April of 2025.
Alongside environmental protection, social responsibility is also one of the key development focuses of EVNGENCO3. In 2024, EVNGENCO3 actively implemented many social welfare programs with a total value exceeding 11.4 billion VND, thereby affirming its role as a socially responsible enterprise to the community.

In 2024, the Corporation established the Electricity Supply Steering Committee, organized reviews, and implemented synchronized solutions, visiting and working directly at the plants to supervise and resolve difficulties:
– Electricity production in 2024 reached 23.358 billion kWh, completing 92.1% of the target approved by the Annual General Meeting (AGM), surpassing EVN/MOIT’s target by 13.92%. The company ensured a stable and safe electricity supply, supporting social welfare, economic, and political stability, and contributing to the overall growth of Viet Nam Electricity.
– Profit before tax of 2024 (excluding foreign exchange differences) reached 528 billion VND, equivalent to 268% of the target set by the AGM.

The Corporation has achieved nearly all economic and technical targets as planned, with many indicators showing significant improvement, such as: self-consumption rate, fuel consumption rate, and unscheduled shutdown ratio.
The Corporation’s power plants operated safely and stably in 2024. The repair, fabrication, restoration, and deep electrical testing capacities have continued to improve, contributing to the reliable operation of the Corporation’s units.
The Corporation has implemented synchronized and flexible solutions to optimize energy savings and improve plant efficiency. Projects aimed at reducing heat loss, enhancing reliability, and improving operational efficiency of power plants in the 2021-2025 period have delivered clear results, significantly reducing coal consumption rates and the self- consumption rate. Notably, the pioneering implementation of blended coal combustion at Vinh Tan 2 thermal power plant, as directed by the group, and the trial use of Sub-Bitum coal blending at Mong Duong 1 power plant, have proven effective in reducing variable costs and enabling more flexible coal supply for the plants.

EVNGENCO3 continually enhances its financial management capacity, ensuring the safe, efficient, flexible, and purposeful mobilization, management, and use of capital; regularly monitoring and evaluating the effectiveness of the Corporation’s capital investments. In 2024, the Corporation restructured part of its KEXIM loan for the Mong Duong 1 Thermal Power Plant project (81.5 million USD) using domestic commercial loans, contributing to a reduction in financial costs.
In the challenging circumstances of 2024, to ensure the completion of the production and business plan, the Corporation directed its units to rigorously implement solutions for savings, optimization, and cost reduction. As a result, material costs, outsourced services, major repairs, and other expenses are estimated to decrease by 186 billion VND compared to the planned budget.

In 2024, EVNGENCO3 successfully completed the O&M work for Phu My 3 Thermal Power Plant, and prepared for the O&M handover of the BOT Phu My 2.2 Thermal Power Plant, ensuring progress is on schedule..
Based on the Electricity Master Plan VIII, the Corporation continues to focus on investing in clean energy, including exploring opportunities for collaboration on Liquefied Natural Gas (LNG) fuel for the operation of gas turbine power plants; signing cooperation agreements for the development of offshore wind power; and converting to biomass fuel to increase the lifespan and environmental friendliness of power plants.

Developing a high-quality workforce has always been a top priority at EVNGENCO3. The Corporation regularly enhances the capacity of its employees through training programs aligned with production and business tasks, with a focus on internal training, especially after foreign training programs. In 2024, the Corporation implemented training activities reaching 107% of the target (13,580/12,645 person-times) and e-learning training with over 82,000 accesses (equivalent to 30 accesses per employee).
Salary, bonus, and benefits management are carried out in accordance with regulations. The Corporation focuses on building an increasingly civilized, modern working environment, continually improving the material and spiritual life of employees, and providing comprehensive care for the workforce.
In the past year, the Corporation launched and implemented various specialized emulation movements, such as: “The emulation movement to reduce incidents and ensure the readiness of power plants for the end of 2023 and the dry season of 2024,” and “120 days of maximum effort to ensure sufficient electricity supply for the dry season of 2024.” Emulation movements to promote innovation and technical improvements have been maintained and developed across the entire Corporation, with timely summaries, evaluations, and rewards.

EVNGENCO3 ensures the governance of its publicly listed joint-stock company on the HOSE stock exchange, with transparent disclosure of activities. The Corporation has effectively implemented internal control, risk management, and solutions to ensure stable electricity production, enhance business performance, and maintain proactive and flexible management operations
In 2024, the Corporation was proudly recognized for the first time in the Top 20 Best Annual Reports – non-financial sector, which reflects the Corporation’s strong adherence to information disclosure standards and governance criteria for large-scale public companies.
The Corporation continues its digital transformation efforts, strengthening the application of science and technology to enhance management effectiveness and professionalism.

On December 31, 2024, the State Capital Management Committee approved the finalization of the privatization of the parent company – EVNGENCO3, marking the successful completion of the transformation process. The company has fully met its obligations regarding budget contributions, asset transfer to the state, and other duties to regulatory authorities, ensuring transparency and efficiency during the business model transition. This sets the foundation for the next phase of the company’s restructuring process.

EVNGENCO3 focuses on implementing its digital transformation plan across areas such as management, technical management, construction investment, project management, information technology, and telecommunications. Notable initiatives include the application of artificial intelligence (AI) to leverage a centralized data warehouse, automatically analyze and extract information; the development of an operations and maintenance management system for power plants via mobile devices; the completion of a hydrological monitoring system integrated with weather forecasts for catchment areas, and the application of AI to manage reservoir operations, power plants, and flood alerts for downstream areas of hydropower plants. Additionally, enhanced security measures are being implemented to safeguard operations conducted in a networked environment….
Technical innovations, improvements, and production optimization initiatives are being promoted and effectively applied in practical production processes.

EVNGENCO3 strictly complies with the regulations of the State, ministries, and EVN regarding environmental and labor safety monitoring. Regular environmental measurements and evaluations are conducted, ensuring that all indicators remain within permissible standards. The company also regularly manages and provides healthcare for its employees.
EVNGENCO3 has collaborated with relevant units to organize training sessions to enhance knowledge about occupational safety and hygiene. Continuous awareness campaigns are held to promote safety and hygiene practices among all employees within the Corporation.
EVNGENCO3 fully adheres to disaster prevention and search and rescue (PCTT&TKCN) protocols. In 2024, preparation and response efforts were carried out effectively, particularly
during Typhoon No. 3 – YAGI, minimizing damage from natural disasters and floods. The company ensures compliance with safety regulations for downstream areas during dam operation and flood release.
EVNGENCO3 has strengthened safety inspections during production operations, especially during peak dry season operations, dry spells, and before and during scheduled maintenance shutdowns (SCL)…

In 2024, EVNGENCO3 continued to promote cooperation activities with international partners, seeking opportunities for development across various areas of the Corporation’s operations
Strengthening cooperation with diplomatic and commercial agencies from various countries in Viet Nam, such as the U.S. Consulate in Ho Chi Minh City, the Australian Embassy, and the Finnish Embassy.
The company participated in international activities, events, and forums to exchange experiences and promote cooperation in the energy sector, including: Viet Nam-Australia Business Forum within the framework of the 50th Anniversary of ASEAN-Australia Relations Summit. International Technical Exhibition Conference (BIXPO) in South Korea. GASTECH 2024 Exhibition in the United States…
Maintaining relationships and cooperation with international partners in areas such as: investment
research and development for the Corio offshore wind project in Binh Thuan (Corio Generation), Ninh Binh flexible power plant (Wartsila, etc.); continued research on optimizing power plant operations (Mitsubishi, GE, Siemens, etc.); research on applying digital power plant solutions (KEPCO); development and application of coal blending combustion technology (Doosan Enerbility); collaboration on fuel supply solutions for power plants (Qatar Gas, Exxon Mobil, GTT, Woodside Energy, etc.).

The Corporation continues to effectively implement environmental protection work, meeting increasingly
higher environmental requirements in the new situation; strengthening the greening density and improving the landscaping system for power plants; aiming for increasingly environmentally friendly production.
The results of online environmental monitoring; periodic monitoring and supervision of parameters such as dust, emissions, wastewater, cooling water, and surrounding environment are all within permissible limits and transmitted to the local Department of Natural Resources and Environment as required. In 2024, there were no environmental incidents, and the company was not subject to any administrative fines related to environmental protection; at the same time, online environmental monitoring data was publicly displayed on electronic boards at the main gates of the power plants, ensuring transparency in environmental protection efforts to the community.
The consumption of fly ash and slag from coal-fired power plants continues to improve significantly. In 2024,
the Corporation completed the installation and testing of the fly ash separation system at the slag yard of Vinh Tan 2 Thermal Power Plant, with a capacity to process 500,000 m3/year (equivalent to over 730,000 tons/year), with the goal of officially operating it April of 2025.
Alongside environmental protection, social responsibility is also one of the key development focuses of EVNGENCO3. In 2024, EVNGENCO3 actively implemented many social welfare programs with a total value exceeding 11.4 billion VND, thereby affirming its role as a socially responsible enterprise to the community.

Board of Directors’ assessment of the performance of the Company’s Board of Management

BOARD OF DIRECTORS’ SUPERVISION OF THE BOARD OF MANAGEMENT
The Board of Directors provided direction on key tasks and major policies in all activities of the Corporation, and at the same time was drastic in directing and promptly resolving key issues and urgent tasks as well as having a long-term orientation to ensure the Corporation’s effective operation; carried out tasks carefully, and the Board of Directors’ resolutions and decisions were passed and issued based on high consensus (100%) among Board members; regularly maintained inspection, audit, and supervision of the Executive Board, ensuring the completion of targets and tasks assigned by the General Meeting of Shareholders.

The Board of Directors has utilized the advisory apparatus within the Corporation to ensure that all tasks within the Corporation comply with the functions and responsibilities outlined in the Charter, internal management regulations, and relevant legal provisions.

Participated in weekly and monthly meetings; closely monitored production and business activities of units within the Corporation, and promptly gave direction and ensured the achievement of targets assigned by the General Meeting of Shareholders.

Directed and coordinated with the Executive Board in implementing Resolutions and Decisions of the Board of Directors.

BOARD OF DIRECTORS’ ASSESSMENT OF THE BOARD OF MANAGEMENT’S PERFORMANCE

The Board of CEOs organized and implemented production, business, financial, and construction investment activities in the Corporation in a timely and effective manner according to the functions, tasks, and powers prescribed in the Charter of the Corporation, performing the tasks according to the decentralization and instructions o the Board of Directors

The management of the Board of CEOs was consistent with the direction of the Board of Directors, always adhered to reality, proactively resolved difficulties, and ensured maximum profits. Active measures to improve management and operation activities were demonstrated throug the promulgated regulations.

Plans and orientation of the Board of Directors

The Board of Directors believes that the global economy will enter 2025 with many risks and unpredictable fluctuations (exchange rates, fuel, geopolitics…); the change in the electricity market operation will also affect the Corporation’s production and business activities. In addition, the trend of energy transition to clean energy sources requires policies and strategies with a longterm vision. In that context, for the effective and successful implementation of the 2025 production and business plan, the Company’s Board of Directors maps out the following key tasks:

Direct the successful implementation of production and business targets according to the resolution of the 2025 Annual General Meeting of Shareholders.
Ensure safe, reliable, and economical electricity production, meeting the mobilization of the National power system, and contributing to the country’s socio-economic developmen

Offer competitive pricing in the electricity market and maximize profits.
Carry out overhaul of power units in line with the actual production conditions of the units, ensuring quality, timelines, cost optimization, and exploring the implementation of Non – OEM methods to enhance autonomy and optimization.

Continue implementing the settlement of projects to ensure timely progress.
Take over and stabilize the operation and maintenance of Phu My 2.2 Thermal Power Plant: continue to expand the O&M services for power plants outside the Corporation.
Initiate preparations for investment in projects such as: Flexible Thermal Power Plant (ICE) Ninh Bình, participate in the survey and preparation of investment projects for offshore wind power, floating solar power on hydropower reservoirs, and the study of Srepok 3 Hydropower Plant MR; complete investment procedures and begin the construction of the headquarters of EVNGENCO3; seek investment partners for wind power projects.
Continue to promote the consumption of ash and slag from Vinh Tan 2 and Mong Duong 1 Thermal Power Plants in the next phase with a focus on stability and long-term solutions.
Implement the enterprise restructuring plan to generate capital for investment and development, expanding the scale of operations. Develop a plan for the period 2025-2030 for medium and long-term implementation.

Improve management practices, focusing on maintaining the stability of operations within the subsidiary units, standardizing and unifying the application of internal management regulations.
Continue to promote continuous learning through various appropriate methods; optimize labor arrangements and utilize expert personnel in specific areas.
Ensure national security and defense; actively implement anti-corruption and anti-waste measures; strengthen internal control functions.
Vigorously implement a comprehensive digital transformation plan, enhancing the application of 4.0 technology in management, operations, and system control to improve transparency, openness, and efficiency in corporate governance.
Strengthen international cooperation (especially in the development of power source and financial projects), strive for energy transition towards green and clean energy, and enhance corporate responsibility in environmental and social matters, ensuring sustainable development for both the company and the community.