18 RENEWABLE ENERGY POWER PLANTS NOW ONLINE

According to recent data released by Vietnam Electricity (EVN), as of August 11, nearly 93 per cent of renewable-energy transition projects have submitted their profiles to the Power Purchase Department for price negotiations and power purchase agreement (PPA) consultations, a substantial achievement for just over three months of rigorous effort.

However, six projects, accounting for an approximate capacity of 285MW, are yet to initiate their price negotiation with EVN. From those that have already tabled their documents, 67 projects, with a combined capacity close to 3,850MW, have proposed a provisional price that is about half of the ceiling rate set by the Ministry of Industry and Trade (MoIT). Depending on the energy source - solar or wind - this translates to between VND754 and 908 per kWh, excluding VAT.

In fact, EVN and project developers have successfully negotiated and temporarily signed PPAs with 59 projects, with 58 of these so far approved by the MoIT, with a combined capacity of over 3,180MW.

To date, 18 of these projects have completed their commercial operation date (COD), delivering a joint capacity of more than 950MW. The aggregate energy production of these transitioning renewable energy projects since their COD up to August 10 stands at approximately 268 million kWh. Remarkably, this mobilisation rate has surged nearly twofold compared to figures from a month ago. On average, these projects collectively contribute around 0.4 per cent to the national power system's total daily energy production.

The combined capacity of renewable energy projects that have fallen behind their operation schedules is over 4,600MW. Nearly 2,100MW is from 34 transitional projects that have finished construction and testing. These projects are not eligible for preferential feed-in tariffs for a 20-year period and are required to negotiate electricity prices with EVN based on the power framework that the MoIT introduced earlier this year. The rates are around 20-30 per cent lower than previous figures.

The MoIT clarified that the delays in negotiations and operation of these renewable-energy transition projects are due to multiple breaches by developers concerning planning, land regulations, and investment. Others have yet to finalise the necessary paperwork for obtaining an electricity operation licence.

Source: VIR