...Hanoi Power Corporation's (EVNHANOI) rating reflects its Standalone Credit Profile (SCP), in line with Fitch Ratings' Parent and Subsidiary Linkage Rating Criteria, as the SCP is at the same level as its parent Vietnam Electricity's (EVN, BB+/Stable) credit profile. The SCP revision to 'bb+' from 'bb' follows a similar revision for EVN and reflects Vietnam's improving record of tariff adjustments over the past three years under its electricity regulations. The government has recently amended regulations to allow quarterly, rather than half-yearly, tariff revisions as part of its broader policy direction towards a more cost-effective framework. This will benefit the long-term financial profile of EVN and its five distribution entities, including EVNHANOI. EVNHANOI's SCP is assessed at the same level as EVN's SCP although EVNHANOI's financial profile is stronger than required for the current level. This is because EVN exerts significant control over EVNHANOI's financial profile, including...
