Draft Regulation on electricity service pricing for battery energy storage systems in Vietnam
08:21 | 26/08/2025
Amid Vietnam’s energy transition, BESS plays a crucial role in balancing electricity supply and demand, minimizing disruptions caused by the variable nature of wind and solar power, and enhancing the reliability and flexibility of the power grid. Additionally, BESS can provide essential ancillary services, including voltage and frequency control, congestion management, and system optimization. It also helps reduce the number of start-ups/shutdowns of thermal power plants, optimize generation dispatch, and lower the overall cost of electricity procurement for the national power system.
According to the Revised Power Development Plan VIII (PDP8), Vietnam’s BESS capacity is expected to reach 10,000 – 16,300 MW by 2030, and more than 95,983 MW by 2050, in line with the increasing share of renewable energy.
Unlike conventional power plants, BESS has unique technical characteristics and functions, requiring a distinct electricity pricing mechanism. In recent years, MOIT has issued several regulations, including:
-
Circular 09/2025/TT-BCT and Circular 12/2025/TT-BCT, which set out the electricity pricing framework for solar projects integrated with BESS (requiring a minimum storage capacity of 10% of the project’s installed capacity, with at least 2 hours of storage).
-
Circular 17/2025/TT-BCT, which provides the methodology for cost recovery of BESS facilities invested in by EVN subsidiaries as grid management assets.
However, for independent, large-scale BESS projects, a dedicated electricity pricing mechanism is necessary to create clear investment signals.
The draft Circular proposes a two-part pricing mechanism for BESS:
-
Capacity Charge – based on system availability and readiness to deliver power.
-
Energy Charge – based on actual electricity output (similar to the pricing mechanism currently under development for pumped-storage hydropower).
According to MOIT, this new Circular is aimed at ensuring a transparent, lawful, and investor-friendly pricing framework, while also supporting safe and efficient grid operation and improving overall power quality.
As part of ongoing discussions on energy storage, in October 2025, the Vietnam Energy Association (VEA), in cooperation with the Electricity Authority under MOIT, is expected to organize "The 5th Vietnam Clean Energy Forum" with the theme: “Policy and technology solutions for energy storage systems in Vietnam.”
For further information and participation, interested organizations and businesses may contact the Organizing Committee via Hotline: +84 94 972 3223, Email: [email protected] (Ms. Lê Mỹ).