The Ministry of Industry and Trade (MoIT) is expected to complete the appraisal of the new renewable energy price framework on November 25-30, which is a basis for Electricity of Vietnam (EVN) to negotiate the specific price with the investors.
Pham Nguyen Hung, deputy director of the Electricity and Renewable Energy Department shared this information at the workshop themed “Promoting renewable energy market” organised by The Investor Magazine on November 18.
“On October 3, the MoIT issued Circular No.15/2022/TT-BCT providing regulations on the method for formulating power generating tariff ranges for electricity generation of transitional wind and solar power plants,” Hung said.
“The price framework is the basis for EVN to negotiate with the investors of renewable energy projects. To date, there are approximately 4,000MW of transitional wind and solar power sources,” Hung said.
|To date, there are approximately 4,000 MW of transitional wind and solar power sources. |
Regarding the projects being operated and enjoying feed-in-tariff, the MoIT will propose the prime minister to issue the document to guide authorities to review the contracts between EVN and investors.
Besides this, the MoIT will propose the prime minister remove Decision No.13/2020/QD-TTg on the mechanism to encourage the development of solar power in Vietnam, and other decisions providing mechanisms to support the development of wind power projects in Vietnam.
Explaining the reason for MoIT’s proposal to remove above these decisions, which means that there will not add any new renewable energy projects to the planning by 2030, Hung said that the latest draft of the Power Development Plan VIII (PDP 8) has added 726MW of concentrated solar power. Over 400MW is completed, 300MW is being installed.
On October 12, the Electricity Trading Company (EVNEPTC) sent an urgent document to 293 units and projects that have signed contracts with EVN to ask them to provide the necessary information and comments about the new price framework and then send it back to EVNEPTC before October 21.
However, by the deadline, 59 units and projects replied and some units and projects submitted details but still lacked some information.
| ||Renewable energy sources not fully tapped: experts |
The potential of renewable energy sources, especially wind and solar power, is one of the keys to Vietnam’s energy transformation towards carbon neutrality, but barriers stemming from the unresponsive transmission network and pricing mechanism is wasting the capacity of billions of kWh of electricity, according to experts.
| ||Quang Ninh’s Mong Cai city moves to develop renewable energy |
Mong Cai city, the northern province of Quang Ninh, is planning to develop renewable energy on Vinh Thuc and Vinh Trung islands in the near future.
| ||Thai Energy Ministry terminates long-delayed 1,320MW thermal power project in Quang Tri |
The Thai Ministry of Energy has announced it would stop work on the long-delayed 1,320 MW thermal power plant project in the central province of Quang Tri.
| ||Land price framework removal can aid infrastructure |
At the end of August, Ho Chi Minh City People’s Committee issued a new regulation on the land price adjustment coefficient (so-called K index) which is assessed closely to the reality of the current real estate market. Besides that, the content of removing the land price framework is also being proposed in the draft amended Land Law.
| ||M&A in renewable energy recorded despite economic downturn |
Despite concerns about a recession, economists said merger and acquisition(M&A) activities in the renewable energy industry still have much potential.