Power Plants with over 30 MW in Vietnam Must Join Competitive Power Market

Power plants with capacity of over 30 MW in Vietnam must join the expected competitive power generation market, the Ministry of Industry and Trade said in a recently-issued circular.

The exception is set for BOT (Build-Operate-Transfer), wind-to-power, geothermal power plants and those which are built in industrial parks and contribute part of their output to the national power grid, the government of Vietnam said on its website, citing the circular.

The state-owned Electricity of Vietnam Group (EVN) is responsible for making a list of eligible power plants and submit it to the Electricity Regulatory Authority of Vietnam (ERAV) for approval as part of efforts to prepare for the expected market.

Earlier, EVN proposed the government should allow implementation of the competitive power generation market from the third quarter of 2010 to ensure transparent and competitive power prices.

According to the master plan for Vietnam’s electricity market development over the next 20 years approved by the government in Feb 2006, the market will be developed in three phases. A competitive power generation market is slated for development in the 2005-2014 period.

Between 2015 and 2022, the market will operate under the wholesale business model. The last phase will feature a competitive retail market after 2022, with a pilot period from 2022 to 2024 and a fully constituted competitive retail market will be applied across the country after 2024.

Tags: Vietnam energy, Vietnam power plants

Posted by VBN on May 22 2010. Filed under Energy. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry