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Refining the concept of “self-production, self-consumption” for rooftop solar power, including clarifying the proportion of excess electricity sales.
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The announcement emphasizes that establishing mechanisms and policies to encourage the development of rooftop solar power with self-production and self-consumption is crucial for mobilizing social resources to promote renewable energy. It aligns with the aspirations of citizens and businesses, contributes to reducing the state’s investment pressure in developing power sources, and supports the transition to renewable energy with storage systems. This approach is essential for adjusting the structure of power sources, reducing the use of fossil fuels, and fulfilling greenhouse gas emission reduction commitments made at COP26.
To expedite the development of this decree, ensure its quality, feasibility, and effectiveness upon enactment, and prevent policy loopholes and profiteering, the following suggestions are made to the Ministry of Industry and Trade:
Refine the concept of “self-production, self-consumption” for rooftop solar power, including clarifying the proportion of excess electricity sales. Specify that 90% of the generated electricity is for self-consumption, with a maximum of 10% allowed to be sold to the national grid. Conduct studies based on the practical context of power sources and the characteristics of each region to establish appropriate incentives and mobilization strategies for rooftop solar power. Calculate and propose reasonable and scientific bases for setting the excess electricity sale ratio, suggesting 20% for the Northern region and 10% for the Central and Southern regions. Prioritize higher solar power capacity in the Northern region due to its lower mobilization rate and higher potential for harnessing solar energy.
Clarify the regulations for electricity fed into the national grid and that which is not: For rooftop solar power not connected to the national grid, remove capacity restrictions and streamline registration procedures and processing times. Ensure equal treatment in this decree for users or tenants who invest in solar panel systems.
Regarding electricity pricing: The Ministry of Industry and Trade should explore additional solutions, such as allowing excess electricity fed into the grid, purchased by EVN, to be offset when citizens buy electricity from EVN. Alternatively, EVN could purchase excess electricity at the market price when it is at its lowest. The decree should outline the principles of electricity pricing, with specific rates determined by the Ministry of Industry and Trade in collaboration with the Ministry of Finance, adhering to the provisions of the Law on Electricity.
On procedures: The Ministry of Industry and Trade should take the lead in collaborating with the Ministry of Natural Resources and Environment, the Ministry of Construction, the Ministry of Public Security, and other relevant agencies to review administrative procedures under relevant laws. Aim to minimize processes and procedures for existing constructions and refer to safety standards for installing power structures, including rooftop solar power.
On preferential policies: The Ministry of Industry and Trade should consider adding incentives for cases where rooftop solar power is installed with energy storage systems. Given the nature of baseload power, remove restrictions on purchasing excess electricity, and provide support in terms of pricing, taxes, interest rates, and installation costs.
The Ministry of Industry and Trade and the Government Office are requested to report and seek the opinions of Government members on the following: Increasing the proportion of electricity sold to the national grid to 20% for the Northern region and 10% for the Central and Southern regions. Adjusting the Power Development Plan VIII to accommodate an increase in rooftop solar power capacity when technology, technical, cost, and safety requirements are met. Simplifying and minimizing procedures and processes for existing constructions.
Develop and submit to the Prime Minister a pilot project for offshore wind power development
Resolution No. 55-NQ/TW dated February 11, 2020, of the Politburo on the orientation of the National Energy Development Strategy of Vietnam by 2030, with a vision to 2045, mentions the development of supportive policies and breakthrough mechanisms for offshore wind power in association with the implementation of the Vietnam Sea Strategy. In executing the Party’s guidelines, the Prime Minister and Deputy Prime Minister have also issued many directives, including assigning the Ministry of Industry and Trade to coordinate with relevant ministries, sectors, and agencies to study and develop a pilot project for offshore wind power development and to consider assigning state economic groups (PVN, EVN) or the Ministry of National Defense to implement pilot projects.
Units assigned by the Prime Minister, such as PVN, are currently researching and implementing offshore wind power projects. PVN has been assigned a sea area by the Ministry of Natural Resources and Environment to conduct scientific research, monitoring, investigation, and assessment of marine resources (including wind and other renewable energy potential assessments). EVN is also ready to invest in and build an offshore wind power plant in the Gulf of Tonkin.
Therefore, it is requested that the Ministry of Industry and Trade urgently coordinate closely with PVN and EVN to implement the Prime Minister’s directions in documents No. 42/TB-VPCP dated February 5, 2024, and No. 117/TB-VPCP dated March 25, 2021. Develop and submit to the Prime Minister a pilot project for offshore wind power development, including specific pilot projects, scopes, and contents. Outline the steps from surveying and investment policies to implementation and completion, along with the responsible agencies and timelines. Identify any legal gaps or ambiguities and propose solutions for the competent authority to address them to facilitate the pilot implementation.
At the same time, review the current legal regulations (Law on Electricity, Law on Investment, Law on Investment in the form of Public-Private Partnership (PPP), Law on Bidding, Law on Construction, Law on Survey and Mapping, Law on Natural Resources, Environment and Sea Islands, and Law of the Sea of Vietnam, etc.) and identify any obstacles to the above pilot project. Accordingly, summarize and report to the Prime Minister.