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Vietnam Energy Forum

Building the Law on RE and making the pilot project on direct power purchase agreement in Vietnam

 - The Government Office has just announced the conclusion of Deputy Prime Minister Tran Hong Ha at a meeting on building the legal framework for renewable energy (RE) and making the draft mechanism for the pilot direct power purchase agreement (DPPA).
Building the Law on RE and making the pilot project on direct power purchase agreement in Vietnam

The Government required the Ministry of Industry and Trade (MOIT) to urgently study and complete the document for building the Law on Renewable Energy and the comprehensive international experience to review the draft mechanism for the pilot DPPA in Vietnam.

Previously, on March 16, 2023, at the Government headquarters, Deputy Prime Minister Tran Hong Ha chaired a meeting on building the legal framework for renewable energy and making the draft mechanism for the DPPA in Vietnam.

At present in the meeting were representatives of ministries and agencies such as MOIT, Natural Resources and Environment (MONRE), Planning and Investment (MOPI), Finance, Justice, Government Office, Committee for Management of State Capital at Enterprises (CMSCE), and Electricity of Vietnam (EVN). After listening to the representative of MOIT, Deputy Prime Minister Tran Hong Ha made the following conclusions:

Firstly, Politburo issued Resolution No. 55-NQ/TW dated February 11, 2020, on the orientation of Vietnam's national energy development strategy to 2030, with a vision to 2045 (Resolution 55). The Government issued Resolution No. 140/NQ-CP on October 2, 2020, and issued the government's action program for implementing Resolution 55. In, MOIT was assigned to preside over and coordinate the related ministries, and agencies to study building the Law on RE in the period of 2021-2025.

On that basis, the Government required MOIT to urgently study and complete the document for building the Law on RE assigned by the Government by orders and procedures stipulated in the Law on the promulgating the legal regulations, and submit it to the Prime Minister in August 2023.

Secondly: MOIT is to urgently study comprehensively international and regional experiences to review the draft mechanism for the pilot DPPA in our country to ensure suitability with the current legal framework, feasibility, and general effectiveness. On that basis, MOIT will organize a comprehensive workshop in early April 2023 to consult with ministries, agencies, organizations (domestic and foreign), and a number of relevant experts and scientists to perfect the pilot mechanism for DPPA

Thirdly: MOIT should urgently check and handle according to its competence issues related to the transitional wind and solar power projects that have completed construction but have not yet been put into operation. As in detail:

- To guide and strengthen inspection and supervision to speed up the negotiation/agreement on electricity prices between the parties according to the regulations promulgated by MOIT. To submit to the Prime Minister on this issue before March 31, 2023.

- To check the current regulations on electricity activities and relevant laws to consider and guide the temporary mobilization of power generation for transition projects that have completed construction investment and meet the technical operational requirements during the time the electricity buyers and sellers negotiate/agree on electricity prices according to the regulations of MOIT.

VietnamEnergy.vn

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