Online conference on Decree 135/2024/ND-CP stipulating mechanisms and policies to encourage the development of ...

The conference was attended by leaders of units including: Electricity and Renewable Energy Department, Legal Department, Department of Industrial Safety Techniques and Environment, Electricity Regulatory Authority, Institute of Energy, National Electricity System and Market Operation Company (NSMO) and Vietnam Electricity Group (EVN)... The conference was also connected online to the Departments of Industry and Trade of provinces and cities and electricity units, organizations and enterprises.

At the Conference, delegates at the connecting points and the Editorial Board and Drafting Team frankly exchanged, discussed and answered questions surrounding the price of buying and selling surplus electricity to the national power system; the mechanism of self-produced, self-consumed rooftop solar power connected to the national power system within the capacity scale according to the planning, the plan to implement the planning and self-produced, self-consumed rooftop solar power connected to the national power system of households and individual houses...

Decree 135/2024/ND-CP was issued by the Government and took effect from October 22, 2024. Accordingly, Decree No. 135/2024/ND-CP stipulates the mechanism and policies to encourage the development of self-produced and self-consumed rooftop solar power installed on the roofs of construction works including houses, offices, industrial parks, industrial clusters, export processing zones, high-tech zones, economic zones, production facilities, and business establishments invested and constructed in accordance with the provisions of law.

Direct electricity trading between organizations and individuals is carried out according to the Decree on the mechanism for direct electricity trading between renewable energy generators and large electricity users.

Thus, the Decree has an expanded scope of application to all subjects such as houses, offices, industrial parks, industrial clusters, export processing zones, high-tech zones, economic zones, production establishments, and business establishments invested and constructed nationwide.

One of the notable contents of Decree No. 135/2024/ND-CP is the policy to encourage the development of self-produced and self-consumed rooftop solar power. Specifically, the Decree stipulates 9 incentive policies:

- Organizations and individuals installing self-produced and self-consumed rooftop solar power are exempted from electricity operation licenses and have no limits on installed capacity in the following cases: (i) Not connected to the national power system; (ii) Installing an anti-backflow device system into the national power system; (iii) Households and individual houses develop self-produced and self-consumed rooftop solar power with a capacity of less than 100 kW.

- Organizations and individuals installing self-produced and self-consumed rooftop solar power with an installed capacity of 1,000 kW or more and selling surplus electricity to the national power system, carry out procedures on power planning and request a power operation license according to the provisions of law.

- Self-produced and self-consumed rooftop solar power enjoys preferential tax policies according to current tax laws.

- Self-produced and self-consumed rooftop solar power has simplified administrative procedures according to current specialized legal regulations.

- Construction works with self-produced and self-consumed rooftop solar power installations do not have to adjust or supplement energy land and functions according to the provisions of law.

- Self-produced and self-consumed rooftop solar power of households, individual houses; offices and works identified as public assets are identified as technological equipment attached to construction works.

- Self-produced and self-consumed rooftop solar power connected to the national power system within the capacity scale according to the planning and the plan for implementing the planning and self-produced and self-consumed rooftop solar power connected to the national power system of households and individual houses with a capacity of less than 100 kW, if not fully used, can be sold to the national power system but not exceeding 20% ​​of the actual installed capacity as follows: (i) Vietnam Electricity Group shall pay organizations and individuals for the surplus electricity output generated to the national power system but not exceeding 20% ​​of the actual installed capacity; (ii) The purchase and sale price of surplus electricity generated to the national power system is equal to the average market electricity price in the previous year announced by the power system and electricity market operator to ensure appropriate incentives in each development period of the national power system; (iii) Self-produced and self-consumed rooftop solar power installed on the roof of a construction work that is an office or a work identified as a public asset does not purchase or sell surplus electricity.

- Households and individual houses that develop rooftop solar power for self-production and self-consumption are exempted from or do not have to adjust their business licenses.

- Encourage organizations and individuals to decide to install a battery storage system (BESS) to ensure safe and stable operation of the power system.

Speaking at the Conference, Deputy Minister of Industry and Trade Nguyen Hoang Long emphasized that this is a Decree that has received special attention from the Government and the Prime Minister. Therefore, the leaders of the Ministry of Industry and Trade, directly Minister Nguyen Hong Dien, have had consecutive working sessions with relevant units, corporations, and enterprises and have closely directed and managed to aim for the highest goal of soon completing and having the Decree approved by the Government.

Deputy Minister Nguyen Hoang Long affirmed that the issuance of Decree No. 135/2024/ND-CP has met the expectations of the domestic and foreign electricity business community; gradually meeting the energy needs of the people, as well as the development of the economy. The early implementation of Decree No. 135/2024/ND-CP will help Vietnam mobilize more social resources and foreign investment sources to participate in the development and ensure national energy security.

The Deputy Minister also highly appreciated the efforts and extremely important contributions of the Editorial Board, the Drafting Team, of all representatives of Ministries, departments, especially the participation of EVN, Corporations, Power Companies in provinces and cities... in accompanying the Ministry of Industry and Trade to draft and successfully develop the Decree.

The Deputy Minister hopes that through this Conference, Decree 135/2024/ND-CP will come into effect, so that people, localities, businesses, organizations, individuals, and relevant management agencies can clearly understand the content and key points of the Decree. From there, they can proactively develop plans, invest, and develop self-produced and self-consumed rooftop solar power.

Source: https://moit.gov.vn/tin-tuc/phat-trien-nang-luong/hoi-nghi-truc-tuyen-ve-nghi-dinh-135-2024-nd-cp-quy-dinh-co-che-chinh-sach-khuyen-khich-phat-trien-dien-mat-troi-mai-nha.html