On October 21, Deputy Prime Minister Tran Hong Ha chaired a meeting to review and finalize the draft Decree regulating mechanisms and policies to encourage the development of self-produced and self-consumed rooftop solar power before submitting it to the Prime Minister for signing and promulgation.

Deputy Prime Minister Tran Hong Ha emphasized that the Decree must clearly define the subjects and scope of regulation, ensure a scientific basis so that when promulgated, it can be implemented publicly and transparently, without creating a mechanism of asking and giving, clearly defining the responsibilities of related subjects, and encouraging businesses and people to invest in installing rooftop solar power for self-production and self-consumption.

At the meeting, delegates focused on reviewing and clarifying terminology and drafting techniques related to the scope of regulation and applicable subjects.

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It is necessary to soon issue a Decree on mechanisms and policies to encourage the development of rooftop solar power. Photo: DB

Accordingly, the concept of self-produced and self-consumed solar power is not only limited to organizations and individuals who install it for their own use, but can also be hired or assigned to other organizations and individuals to install it. "If it is not expanded, it will be very difficult for people and businesses to apply it."

The Deputy Prime Minister said that regulations on standards and criteria for equipment and rooftop solar power installations need to clearly specify which Vietnamese standards and criteria they comply with instead of listing qualitative criteria.

The draft Decree clearly states that self-produced and self-consumed rooftop solar power that is not connected to the national grid is given priority for development with unlimited capacity.

However, in the case of connection to the national grid, the Deputy Prime Minister requested the drafting agency to clearly and easily understand the principles of developing self-produced and self-consumed rooftop solar power according to 3 capacity levels: under 100 kWh, from 100 kWh to under 1,000 kWh and over 1,000 kWh.

Specifically, with an installed capacity of less than 100 kWh, organizations and individuals can develop without limits, without having to ask for permission, but only need to ensure equipment safety, fire prevention, and construction safety.

For installed capacity levels from 100 kWh to 1,000 kWh, the post-inspection method will be followed, and EVN is responsible for implementing technical solutions to control excess power output to the grid to ensure system safety.

For capacity levels of 1,000 kWh or more, complete procedures for granting electricity operation licenses must be followed.

Regarding the agreement to buy and sell surplus electricity from self-produced and self-consumed rooftop solar power, the Deputy Prime Minister requested to clearly stipulate the content of the agreement, the responsibility of the organization or individual as the seller, the responsibility of the buyer as EVN, and the processing time.

Organizations and individuals investing in rooftop solar power that they self-produce and self-consume but do not use up will be allowed to sell to the grid no more than 20% of the installed capacity.

"In cases of buying and selling self-produced and self-consumed rooftop electricity between organizations and individuals, it must comply with the Decree regulating the Direct Electricity Purchase and Sale Mechanism between renewable energy power generation units and large electricity users (DPPA mechanism)," said the Deputy Prime Minister.

The Deputy Prime Minister requested the Ministry of Industry and Trade to study and supplement mechanisms and policies to encourage and provide incentives for organizations and individuals to invest in self-produced and self-consumed rooftop solar power, along with power storage equipment, and to sell electricity from the storage equipment to the national grid without being limited to 20%.

Excess rooftop solar power: Only EVN is allowed to buy Regarding the purchase and sale of excess electricity from self-produced and self-consumed rooftop solar power, the new draft of the Ministry of Industry and Trade stipulates that Vietnam Electricity Group (EVN) is the sole buyer.