Vietnam introduces utility-scale solar FiT and rooftop net metering

Share on facebook
Share on twitter
Share on linkedin
Share on reddit
Share on email
Solar equipment imports will also be exempted from import tax. Flickr: Intel Free Press

Vietnam has confirmed a long-awaited feed-in tariff (FiT) scheme for utility-scale solar projects along with a net metering scheme for rooftop PV systems.

The FiT would be valid from 1 June 2017 to 30 June 2019, although the Ministry of Industry and Trade (MoIT) is also conducting a study on how to support solar projects in Vietnam after this date.

The FiT for utility-scale solar PV would be VND2.086/kWh (US$0.0935), exclusive of Value Added Tax. The FiT would be subject to fluctuations in the VND/US$ exchange rate and would only apply to projects where the cell efficiency is more than 16% or module efficiency more than 15%.

Monopoly utility Vietnam Electricity Corporation (EVN) will buy all the power from the solar projects. Standardized power purchase agreements (PPAs) issued by MoIT will be valid for 20 years and may be extended or renewed by EVN and the seller.

Solar equipment imports will also be exempted from import tax.

Hoa Vu Phuong, specialist, international relations department, Institute of Energy, Vietnam, told PV Tech that more than 30 projects had been earmarked for Vietnam towards the end of last year, but progress had come to a halt without a FiT.

The country has now also introduced net metering for rooftop solar. MoIT will annually decide the purchase price for the excess solar power from rooftop projects once again based the VND/US$ exchange rates.

The order No: 11 /2017/DQ-TTg was issued by the prime minister’s office on 11 April.

Various major solar firms have expressed interest in setting up PV plants in Vietnam of late including JinkoSolar eyeing 40MW in the Mekong Delta province and India’s Tata Power proposing a 100MW plant in Binh Phuoc.

Read Next

July 14, 2021
Maxeon Solar Technologies has expanded its AC Energy Solutions portfolio with the launch of a new module for the rooftop solar market.
July 13, 2021
Solar PV capacity in Asia Pacific could triple to 1,500GW by 2030, with China driving deployment and Indonesia set to be the region’s fastest-growing market, according to Wood Mackenzie.
July 8, 2021
BlackRock has secured more than US$250 million for a finance vehicle that will invest in renewables and energy storage projects in countries across Asia, Latin America and Africa.
July 7, 2021
The proven ability to install large-scale floating PV plants on water bodies across Southeast Asia means financing should be readily available for new projects, it was suggested during a panel discussion today.
June 9, 2021
Green energy investments in developing countries will need to reach US$1 trillion within the next nine years for the world to reach net zero emissions by 2050, according to the International Energy Agency (IEA).
June 3, 2021
California lawmakers have voted down a proposed change to the state’s net-metering rules that would have cut rates for rooftop solar customers.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
August 19, 2021
At 9am (PT) | 6pm (CEST)
Solar Media Events
August 25, 2021
Solar Media Events
October 6, 2021
Solar Media Events
October 19, 2021