return icon

Solar power investors fear they may not be able to enjoy preferential FIT

Covid-19 and the slow implementation of power transmission projects may make it impossible for solar power projects to connect to the national grid by the end of the year.

Investors of solar power projects are concerned that they may fail to connect to the national grid and this be able to enjoy the preferential FIT (feed in tariff) of 7.09 cent per kwh.






Under current regulations, the price is only applied to projects which become operational and connect to the national grid no later than December 31, 2020.

According to Nguyen Huu Vinh from Ha Do Group, which is implementing a 50 MW solar power project in Ninh Thuan province, the developer initially planned to connect to the national grid this July. However, he fears the plan may fail because the execution of the Thap Cham – Ninh Phuoc transmission line has not been completed.

He has heard that the project will be completed no sooner than September.

Similarly, Sao Mai Group, the developer of a 104 MW power project, initially planned to connect to the grid by the year end, but the project upgrading the Tinh Bien – Chau Doc transmission line is expected to be completed 2-3 months later than expected.

Covid-19 and the slow implementation of power transmission projects may make it impossible for solar power projects to connect to the national grid by the end of the year.

Ho Manh Dung, representative of Sao Mai, said the power generation project will face difficulties if the transmission line cannot be set up as scheduled.

The other big problem of the project is that foreign specialists still cannot fly to Vietnam to examine the equipment installation because of travel restrictions due to Covid-19. If appropriate agencies don’t help settle the problem, the investor will fail to put the power plant into operation by the end of the year to enjoy the preferential FIT.

Sao Mai has asked Electricity of Vietnam (EVN) to help investors overcome the current difficulties by urging EVNSPC to speed up the execution of the Tinh Bien – Chau Doc transmission line and request that the government to extend the validity of the preferential FIT.

According to the Electricity Regulatory Authority of Vietnam (ERAV), a series of electricity transmission projects have been put into operation recently, helping minimize the reduced capacity and maximize solar power capacity.

In Ninh Thuan and Binh Thuan, as power supply has been overly high at times, ERAV has had to reduce the mobilization of hydropower capacity to avoid overloading the transmission line. This means that the regulatory unit is trying to optimize the mobilization of solar power.

A representative of ERAV said that renewable energy plants (solar, wind) are a higher priority than traditional power plants in providing electricity to the grid.

The agency, for example, has recently reduced the mobilization of electricity from Da Nhim hydropower plant to prioritize the use of electricity from renewable power plants.

Kim Chi 


Vietnam considers bidding on solar power prices

Vietnam considers bidding on solar power prices

A policy allowing investors to bid on solar power prices is being developed by the Vietnamese Ministry of Industry and Trade (MOIT). It is expected to be submitted to the Prime Minister this August and applied this year.

Solar farm developers fear losses of trillions of VND

Solar farm developers fear losses of trillions of VND

As current policies are unclear, many solar farm project developers cannot sign contracts on selling electricity to the Electricity of Vietnam (EVN).



Central localities likely to be hit by typhoon Noru

AI integration the inevitable path ahead

Big Data and AI will be the optimal tools to run factories in the future and digital transition will help firms optimise costs and cut emissions.

Ministry to scrutinise VietGap certifications after fake labels found on vegetables

The Ministry of Agriculture and Rural Development is investigating reports of vegetables sold in supermarkets being marked with fake Vietnamese Good Agricultural Practices (VietGap) labels.

E-commerce sector in dire need of qualified candidates

The tight supply of qualified candidates in the labour market is a glaring issue facing e-commerce firms, according to insiders.

Unique green moss-covered homes of the Tay Con Linh mountain range

It is an ideal environment for plants to flourish and thrive, including thick green moss, which ethnic people use to cover the palm-leaf roofs of their homes.

Farmers save wild birds and the environment

Farmers in different provinces throughout Việt Nam have for years spent time and effort to save wild birds, giving them a home to nest and lay eggs.

Deputy PM highlights significance of int'l solidarity, cooperation at UN session

The strengthening of international solidarity and cooperation is key to addressing interlocking global challenges, affirmed Permanent Deputy PM Pham Binh Minh while addressing the general debate of the 77th Session of the UN General Assembly.

Huge potential for luxury real estate in Vietnam

The branded residence market is gaining a stronger foothold in the Vietnamese market with potential to further develop, shaping the lifestyle of the country’s elite, according to experts.


Action plan to promote green growth in agriculture

Vietnam’s economic growth counts on high-tech FDI

Vietnam’s economic growth has been accelerating in 2022, with experts considering high-tech foreign investments as a driver.

The “seven-star” islands in Quang Ninh

Along with crystal blue sea and beaches, the 7 Sao (seven star) islands also have caves and primeval forests.

Customs you only see in Vietnam

The travel site Culture Trip has listed a number of Vietnamese customs that often surprise foreign tourists:

Investors and buyers play waiting game in credit switch

The State Bank of Vietnam finally created extra credit room for some banks on September 7. However, the extension is deemed low and may not help real estate businesses and homebuyers access feasible capital sources for their projects.

Woodwork exports to EU, US drop as consumers cut spending

Many woodwork manufacturers complain that exports have been sliding as people in target markets have been tightening their purse strings.

Vietnam: new destination for multinationals to set up R&D centers

Vietnam wants to upgrade foreign direct investment (FDI) quality by manufacturing products with higher hi-tech and added value, and multinationals are also striving to do this after many years in Vietnam.