A rooftop solar power project in Ba Ria - Vung Tau
Information transparency
In Document No. 4651/EVN-KD dated July 9, 2020 regarding the grid connection and evacuation of power for rooftop PV power systems, Vietnam Electricity has requested Power Corporations / Power Companies to publicize in a transparent and consistent manner all the processes, procedures for obtaining agreement on grid connection for rooftop PV power systems on their websites or other information channels so that electricity customers and investors can access information.
In particular, EVN stipulates that, as for rooftop PV power systems connected to medium voltage power grids, the power company must conclude the grid connection agreement with the investor within 2 working days. During the course of implementation, the power company is not allowed to request procedures and documents that are beyond their authority, causing difficulties for investors and customers, such as construction permits, fire protection, environmental protection certificates, etc.
EVN requires all these organizations to proactively publish list of overloaded substations and power lines (110 kV, medium voltage, low voltage), list of substations / power lines that are not overloaded yet and the quantity of grid – connectible capacity in each district, which enables investors to understand and then plan their project investments in appropriate locations, thereby maximize the efficiency of the projects.
As for overloaded or full-loaded areas, EVN directs Power Corporations / Power Companies to speed up investment projects for rehabilitating and upgrading medium - voltage grids in 2020, in order to facilitate and provide maximum incentive for investors to participate in rooftop PV power development. Particularly, all the rooftop PV system projects with a capacity of less than 100 kWp shall be connected to the power grid once they are registered by investors.
EVN suggests that Power Corporations / Power Companies promote communication activities on central and local mass media, in order to encourage all investors and electricity users to participate in developing rooftop PV power, especially systems having capacity suitable to their electricity consumption needs.
Proactively removing obstacles
As for solar power systems that have not been identified as grid-connected or rooftop PV yet, at Document No. 4651, EVN has asked Power Corporations / Power Companies to guide customers to make certain adjustments to meet conditions for electricity sale and determining feed-in tariff according to Decision No. 13/2020/QD-TTg dated April 6, 2020 of the Prime Minister
Vietnam Electricity has issued Document No. 4971/EVN-KD dated July 23, 2020 which recommends that the Ministry of Industry and Trade, the Electricity and Renewable Energy Agency should consider and promptly give guidelines on specific criteria to distinguish between rooftop PV power systems and grid connected PV systems, creating favorable conditions in determining feed-in tariff in accordance with the provisions of Decision No. 13/2020/QD-TTg. At the same time, the Group proposes that the Ministry of Industry and Trade assigns local Departments of Industry and Trade in provinces to check and determine the responsiveness to the criteria, based on that power companies can sign power purchase agreements with investors.
This Document aims to remove difficulties, obstacles, or solve petitions from investors for their inability of signing power purchase agreements with and receive payments from the power industry, because some PV systems which are installed directly on supporting frames as roofs of internal road areas; or on frames of structures covering hi-tech agricultural cultivation areas are not determined as rooftop PV power systems or grid-connected PV systems yet.
Previously, since the Prime Minister's Decision No. 11/2017/QD-TTg on mechanisms to encourage the development of solar power projects in Vietnam expired from June 30, 2019, EVN has been able to only record the electricity output generated by PV systems to the grid, but not able to make payment for the owners. However, right after the Prime Minister issued Decision No. 13/2020/QD-TTg, EVN has taken the initiative to ask for permission of the Ministry of Industry and Trade to apply Circular No. 05/2019/TT-BCT in signing power purchase agreements, which has been accepted. Accordingly, from May 22, 2020, the Group has made payments to customers and businesses for the period from July 1, 2019 until now, with a total amount of nearly VND 300 billion.
On July 17, 2020, the Ministry of Industry and Trade issued Circular No. 18/2020/TT-BCT regulating project development and standard power purchase agreement applicable to solar power projects, in replacement of Circular No. 05/2019/TT-BCT dated March 11, 2019. EVN has promptly issued documents guiding its member organizations to execute the new circular.
| As of June 31, 2020, 36,161 rooftop PV power projects had been put into operation all over the country, with a total capacity of 764.1MWp. |