However, the Investment Law provides general assurances in regard to changes in law.Usually, where the generator terminates the PPA for breach by EVN, compensation is limited to the value of electricity generated during the previous year.This approach was modified in the new wind PPA effective from February 28, 2019, which provides restitution and expectancy damages, albeit in simplified terms. If the recipient party cannot remedy within the 60 days, then the notifying party may unilaterally terminate the PPA.The generator is not entitled to a termination payment if the PPA terminates due to prolonged force majeure.Disputes under the PPA can be submitted to the Electricity Renewable Energy Department for mediation. Details and instructions on how to disable those cookies are set out at Global Head of Infrastructure, Mining and Commodities Those consumers who generate power from solar rooftop installations must sell the power to EVN who pays for such power on monthly basis and at the rooftop solar tariff prescribed by MOIT. Renewable energy target . Editor

Small hydro makes up the majority of current renewable investment in Vietnam, but solar and wind are expected to dominate new investment.Vietnam currently has approximately 870MW of grid connected solar projects. Roof-mounted projects are clarified as those that use solar panels made up of PV cells installed on the rooftops of residential or commercial buildings, or around the premises of those buildings, and that connect to the national grid or the EVN electric grid. The year 2019 is a transitional year in which numerous regulations will be replaced by new energy policies, promising to attract more foreign investors to Vietnam and gradually completing the national mission on renewable energy as stated in the Strategy. 24 sets out the electricity selling price for grid-connected biomass power projects as follows:A new ACT is announced annually. Prior to Decision No.2 rooftop solar installations benefitted from a net-metering scheme. Renewable energy snapshot: Vietnam Publication | May 2019 Current energy mix for power generation. This is a positive development in that the limitation on EVN’s liability has been removed, but generators have the burden of proving the losses claimed.If the duration of the force majeure event continues for one year, either party has the right to issue a 60 day breach notice. FITs could continue to be used for onshore wind energy (a mature technology). The Draft Decision also introduces three project types, with the FiT varying based on assumed variable projects costs. 2) revising the rooftop solar tariff scheme. 54) on Biomass Power.Circular No. Although there is huge potential, the capacity of roof-mounted solar projects is only 8.18MWp, with 850 projects, according to the EVN data as at 12 January 2019.The government exempts taxes for imported goods that are used to constitute the fixed assets of renewable-energy projects. 39) to amend Decision No. The tariffs are exclusive of VAT.The FITs under Decision No.
The year 2019 is a transitional year in which numerous regulations will be replaced by new energy policies, promising to attract more foreign investors to Vietnam and gradually completing the national mission on renewable energy as stated in the Strategy.On 18 March 2016, the Prime Minister issued Decision No. In the case of Vietnam, an immediate shift from FITs to auctions is not recommended as it is necessary to first establish certain preconditions in the coming years.


The developer is required to execute a separate grid connection agreement in addition to the PPA.Renewable energy PPAs do not contain deemed commissioning provisions.The model PPA does not contain deemed generation payments.

The Government has targeted that renewable energy will account for 9.9 per cent of installed capacity by 2020 and 21 per cent by 2030 as well as accounting for 7 per cent of Vietnam’s electricity production by 2020 and 10 per cent by 2030.Wind, solar, small hydro, biomass. Reports suggest that as much as 7GW of new solar capacity has been approved and an additional 13GW awaits approval. In some regions, the short-term and incomplete nature of planning for wind and solar power projects leads to an overlap between land planned for energy and areas planned for mining activities. A suggested timeline for introducing auctions is:Meanwhile, solutions for solid-waste and biomass are still in question. 16/2017/TT-BCT, Decision No. This limitation was recently removed for wind projects.There has been limited lending from international banks given the bankability challenges in relation to the PPA for renewable projects. 02/2019/TT-BCT to replace Circular No. 02/2019/QD-TTg (the Draft Decision on Solar), the term 'electricity purchasers' also includes individuals and organisations other than EVN. The FiT varies based on the geographic region in which the project is situated with areas of lower irradiation receiving a higher FiT. This is expected to mandate that large power generation and distribution companies must source at least 3 per cent of their energy output from renewable sources by 2020, 10 per cent by 2030 and 20 per cent by 2050.EVN must purchase all power generated by renewable energy projects at the 20-year FiT set by law.On April 12, 2019, MOIT issued the third draft of a Decision by the Prime Minister in respect of solar power projects (Draft Decision).