Vietnam ultimately reveals brand-new FITs for massive, roof, floating PV
- Hanoi has actually established brand-new feed-in toll prices for utility-scale, roof and also floating PV projects, finishing an extended period of plan unpredictability The federal government has actually introduced the brand-new prices, which are extensively according to sector assumptions, approximately 10 months after the expiry of its old tolls.
The Vietnamese federal government has actually established brand-new feed-in toll (FIT) prices for utility-scale, roof as well as floating solar setups.
The brand-new acquisition cost for electrical power produced by ground-mounted PV plants is $0.0709/ kWh over a duration of 20 years, and also $0.0838/ kWh for roof PV varieties. The federal government will certainly likewise use a FIT price of $0.0769/ kWh for floating solar projects, according to Decision 13/2020/QD-TTg, which was released by Vietnamese Prime Minister Nguyen Xuan Phuc on Monday.
PV designers will just receive the brand-new prices if they place their projects right into business procedure by Dec. 31, 2020. All various other projects will certainly undergo cost decision with an affordable bidding procedure, state-run utility EVN claimed in an on-line declaration.
The statement of the brand-new FIT prices, which are extensively according to sector assumptions, finishes a 10-month duration of plan unpredictability. Vietnam's previous FIT program ran out on June 30, 2019.
Giles T. Cooper, companion with Duane Morris LLP, kept in mind that the brand-new plan does little to make clear unpredictability regarding the Vietnamese federal government's design template power acquisition contract for solar projects, which is still viewed as also "unbankable" for international loan providers to support. Nonetheless, Cooper applauded the brand-new plan statement since it validates that designers that completed their financial investment choices before Nov. 23, 2019, will certainly have the ability to get the brand-new prices.
"This tosses a bigger web than formerly drifted standards that projects would certainly need to have actually currently begun building and construction by that day," Cooper discussed.
Nevertheless, the Dec. 31 appointing due date might create migraines for programmers, as they will certainly require to rush to protected land authorizations as well as resource tools such as inverters in a "extremely brief" amount of time, Cooper included. Furthermore, purchase difficulties will likely be intensified because of provide chain disturbances associated with the Covid-19 pandemic.
Vietnam's collective set up PV capability stood at about 5.69 GW at the end of 2019, according to data from the International Renewable Energy Agency (IRENA). Nonetheless, in late February, law office Lexcomm Vietnam kept in mind that the nation's shift from a FIT system to a public auction device might take longer than anticipated, with as long as 3 GW of untaught massive PV projects currently authorized to obtain tolls.