Amending regulations on electricity regulation duties of the Ministry of Industry and Trade

Decree 105/2024/ND-CP amends and supplements Point d and Point g, Clause 7, Article 2 of Decree No. 96/2022/ND-CP on the tasks and powers of the Ministry of Industry and Trade .

Accordingly, regarding the task of regulating electricity, the Ministry of Industry and Trade shall preside over and coordinate with the Ministry of Finance to guide the method of establishing the framework for electricity generation prices, wholesale electricity prices, electricity transmission prices, electricity distribution prices, prices for electricity system auxiliary services, prices for electricity system operation and prices for electricity market transaction management; approve the prices for electricity system operation and prices for electricity market transaction management after consulting with the Ministry of Finance ; approve the framework for electricity generation prices, wholesale electricity prices, electricity transmission prices, electricity distribution prices and prices for electricity system auxiliary services, except for the cases specified in Clause 2, Article 62 of the Electricity Law; inspect fixed-term electricity purchase and sale contracts between electricity generating units and electricity purchasing units, and fixed-term wholesale electricity purchase and sale contracts according to the Government's regulations.

Decree 105/2024/ND-CP amends and supplements Point d and Point g, Clause 7, Article 2 of Decree 96/2022/ND-CP on the tasks and powers of the Ministry of Industry and Trade.

In addition, Decree 105/2024/ND-CP also adds another task of the Ministry of Industry and Trade, which is to perform state management of the command and operation of the production, transmission, distribution and allocation of electricity in the national power system, and to operate electricity market transactions.

Amendment of EVN's main business lines

Decree 105/2024/ND-CP amends and abolishes a number of articles of the Charter on organization and operation of Vietnam Electricity Group (EVN) issued together with Decree No. 26/2018/ND-CP.

Specifically, amend Point a, Clause 2, Article 4 on EVN's main business lines:

Production, transmission, distribution (including distribution system dispatch) and trading of electricity; import and export of electricity; investment and management of investment capital for electricity projects;

Management, operation, repair, maintenance, overhaul, renovation, upgrading of electrical, mechanical, control, and automation equipment in production lines, power transmission and distribution, and electrical works; electrical testing;

Project management consulting, survey and design consulting, investment project consulting, bidding consulting, budgeting, consulting on appraisal and construction supervision of power projects, power lines and transformer stations.

In addition, the Decree amends Point i, Clause 4, Article 10 on the organization and management of Vietnam Electricity Group. The contents of coordination and orientation of EVN include:

Act as a focal point to gather resources of member enterprises and affiliated enterprises to bid and implement joint projects agreed upon and implemented by subsidiaries and affiliated companies, specifically:

Together with the Power Generation Corporations and the National Power Transmission Corporation, deploy investment and manage power source projects and transmission grids according to the National Power Development Plan approved by the Prime Minister and other investment projects; coordinate in the production and trading of electricity and participate in the competitive power generation market;

Cooperate with Power Corporations to develop smart power distribution systems, power trading, automation, control and promote the development of competitive wholesale electricity markets and competitive retail electricity markets.

Together with its subsidiaries, which are electrical construction consulting, electrical equipment manufacturing, and electrical construction companies, the company organizes consulting, production, manufacturing, construction, and trading of electrical products and projects.

Organize the implementation of measures to manage and operate the power system within the scope of management according to the provisions of law to ensure the security and safety of the national power system; manage the power system, internal information system and information technology system serving the production, trading of electricity and the electricity market within the scope of management.

EVN is obliged to pay electricity bills according to the provisions of the Power Purchase Agreement.

Decree 105/2024/ND-CP also amends the provisions on EVN's business obligations as follows: Conduct business in the registered industry and profession; ensure the quality of products and services provided by EVN according to registered standards. Comply with the operating methods, commands and controls of the national power system dispatching unit as prescribed by law. Make electricity payments and other obligations as prescribed in the Power Purchase Agreement.

Decree 105/2024/ND-CP also abolishes Point 2, Section II of the Appendix attached to the Charter of organization and operation of EVN in Decree 26/2018/ND-CP. Accordingly, the National Power System Control Center is no longer on the list of units under the parent company - Vietnam Electricity Group.

Source: https://kinhtedothi.vn/sua-quy-dinh-ve-nhiem-vu-dieu-tran-dien-luc-cua-bo-cong-thuong.html