Solar power on the Building of Ho Chi Minh City Power Corporation

Under Decision No. 13, the purchase price of on-ground solar power projects is 7.09 Uscent/kWh (equivalent to VND 1,644). The purchase price of floating solar power is 7.69 Uscent/kWh (equivalent to VND 1,783), and the rooftop solar power is 8.38 Uscent/kWh (equivalent to VND 1,943). These prices exclude VAT, adjusted in accordance with the fluctuation of the VND/USD exchange rate and applied during 20 years from the date of the project commercial operation.

The condition for solar power projects to be entitled to the price of 7.09 Uscent/kWh is obtaining the investment policy approval before 23 November 2019, and the Commercial Operation Date (COD) before 31 December 2020. Other projects are determined in their power purchase price through the competitive bidding mechanism.

Only projects in Ninh Thuan province planned and commercially operated before 1 January 2021 are entitled to price with 9.35 Uscent/kWh (equivalent to VND 2,086). This purchase price excludes VAT and lasts for 20 years.

For rooftop solar power projects, in order to be entitled to the price of 8.38 Uscent/kWh, the project shall operate power generation and confirm electricity meter readings from 1 July 2019 – 31 December 2020.

The Prime Minister assigned the Ministry of Industry and Trade (MOIT) to lead and coordinate with the People’s Committee of Ninh Thuan, EVN to monitor the grid-connected solar power projects with COD meeting requirements for being entitled to the subsidy price as prescribed in Clause 3, Article 5 of this Decision; guiding and coordinating with the People’s Committees of Provinces and Central Cities to directly check and supervise the implementation of the Decision; Promulgating Sample Power Purchase Agreement (PPA) to be applied for the grid-connected solar power projects and the rooftop solar power system in case where the electricity buyers are EVN or authorized member units.

The MOIT issued regulations on measurement and confirmation of power output and payment for rooftop solar power systems with the participation by electricity distributors and retailers outside EVN; Collaborating with Ministries and localities to mobilize resources to promote the development of the rooftop solar power program; Completely researching on the bidding mechanism for solar power projects, implementation roadmap and making report to the Prime Minister for approval and nationwide implementation.

Under the Decision of the Prime Minister, EVN is responsible for accounting sufficient costs of purchasing power at the solar power projects, signing the PPA with the Group or its member units and putting the input parameters in the electricity price plan of annual wholesale and retail form of the Group; researching on investment in power storage solutions for system, and ensuring stable operation when integrating renewable energy sources. EVN should review the progress of power grid projects to ensure the capacity release of the grid-connected solar power projects and rooftop solar power systems without overloading the national power system.

Enclosed with the Decision.

evn.com.vn