VIETNAM - SOLAR POWER - NEW FEED IN TARIFFS - NEW GUIDANCE FOR SOLAR ENERGY DEVELOPMENT - WHAT YOU MUST KNOW:

1. VIETNAM - SOLAR POWER - NEW FEED IN TARIFFS - NEW GUIDANCE FOR
SOLAR ENERGY DEVELOPMENT - WHAT YOU MUST KNOW:
It has been 10 month waiting after Decision 11/QDD-TTg expired, now the Prime Minister
has issued Decision 13/2020 on the incentive mechanism for solar power development. We
would like to update the very new key issues as follows:
1. FIT scheme
Following notification No. 402/TB-VPCP of Prime Minister Nguyen Xuan Phuc, now FIT
scheme is confirmed that it only applies for the following projects:
- For grid-connected projects: the projects that: (i) has in-principle investment decision
before 23/11/2019, and (ii) COD of the whole or part(s) of project from 01/7/2019 to
31/12/2020.
- For grid-connected projects in Ninh Thuan: (i) the projects that were included into power
development plans, (ii) COD before 01/01/2021, and (iii) the accumulated capacity not
exceeding 2,000 MW.
It is noted that regarding grid-connected projects, FIT scheme is only applied for projects
with solar cell’s capacity more than 16% or module more than 15%.
- For rooftop projects: the projects that are brought into operation, generate electricity and
have electricity meter readings confirmed from 01/7/2019 to 31/12/2020.
The term of FIT scheme for the above projects shall be applied for 20 years from COD.
2. FIT2
FIT2 are as follows:
- Floating solar energy projects: UScent 7.69
- Ground mounted solar energy projects: UScent 7.09
- Rooftop energy solar energy projects: UScent 8.38
3. Competitive mechanism
The projects that do not fall with the scope of FIT scheme shall be subject to competitive
sheme.
4. COD definition
COD of the whole or part(s) of the grid-connected project is defined as the date that the
whole or part(s) of the project is ready to sell electricity to the buyer and satisfy the follows:
a) Has finished the initial tests for the whole or part(s) of the construction;
b) Has been issued electricity operation license;
c) Has agreed to the index of the electricity meter in order to make payment.
5. Rooftop project definition

2. Rooftop projects are the projects have photovoltaic panels installed on the rooftop of the
construction and have the capacity not exceeds 01 MW, connect to the grids which is less
than 35kV.
*************
Please do not hesitate to contact Dr. Oliver Massmann
under omassmann@duanemorris.com if you have any questions or want to know more details
on the above. Dr. Oliver Massmann is the General Director of Duane Morris Vietnam LLC.