Vietnam to keep the existing feed in tariff for one more year
- The government of the country finds it vital not to change the existing FIT till the end of the year in order to keep rooftop solar development at high level.
Vietnam Electricity has announced it is going to keep the FIT for rooftop-mount photovoltaic stations below 100 kilowatt at USD 0.0935 per kilowatt-hour until the end of the year.
Earlier, it was offered to reduce the price down to USD 0.0838 per kilowatt-hour. It is Vietnam’s MOIT who has proposed to keep the existing rate unchanged. The Ministry states that it is vital for the country to continue deploying commercial and residential solar power.
EVN has also been appointed responsible for proper connection of the newly deployed solar plants according to applicable regulations and with no grid constraints creation.
Last month, the Ministry announced its inclination to stop providing subsidies for large scale photovoltaic systems via FIT and start launching auctions instead. For Ninh Thuáºn, the program was extended for a year, for the capacity of 2 gigawatts, even though the form was modified. A fortnight later, MOIT insisted Vietnam Electricity and local governments were to suspend the approval of new large scale solar ventures according to the feed in tariff program.
The program was accepted in the country in spring of 2017, which has resulted in the development of about 4.5 gigawatts of PV capacity. As of 2019, only 4 percent of the nation’s electricity demand is supplied by renewables. In 2021, Vietnam targets to provide 7 percent of electricity from green sources. In a ten years’ period, the country aims to increase this figure up to 10 percent.