Decree No. 105/2024/ND-CP amends and supplements some articles of Decree No. 96/2022/ND-CP and Decree No. 26/2018/ND-CP related to the functions, tasks, and powers of the Ministry of Industry and Trade and the Charter of Organization and Operation of Vietnam Electricity Corporation (EVN). This document provides more detailed regulations on setting up the electricity price framework, managing the national power system, and adjusting the main business sectors of EVN.
Scope of application
Ministry of Industry and Trade; Vietnam Electricity Corporation (EVN); National Power Generation and Transmission Corporations
Key points
- The Ministry of Industry and Trade shall take the lead and coordinate with the Ministry of Finance to guide the method for establishing the framework of electricity generation prices, wholesale electricity prices, transmission prices, distribution prices, and ancillary services of the power system (Article 1).
- Vietnam Electricity Corporation (EVN) shall conduct business within the registered business sectors, ensuring product and service quality according to the registered standards (Article 2).
- The Ministry of Industry and Trade is responsible for commanding and operating the national power production, transmission, and distribution systems (Article 1).
- Vietnam Electricity Corporation (EVN) shall participate in bidding and implementing joint projects with National Power Generation and Transmission Corporations according to the approved national power development plan (Article 2).
- The Ministry of Industry and Trade shall inspect long-term power purchase and sale contracts between power generation units and power purchasing units, and long-term wholesale power purchase and sale contracts as prescribed by the Government (Article 1).
🌐 Social impact of this document
- Strengthening state management over electricity prices and the national power system
- Ensuring the quality of power products and services for people and businesses
- Improving the efficiency of investment and implementation of national power projects
- Minimizing risks in the business operations of Vietnam Electricity Corporation (EVN)
❓ Frequently asked questions
What responsibilities does the Ministry of Industry and Trade have regarding electricity prices?
The Ministry of Industry and Trade shall take the lead and coordinate with the Ministry of Finance to guide the method for establishing the framework of electricity generation prices, wholesale electricity prices, transmission prices, distribution prices, and ancillary services of the power system.
What are the main business sectors of Vietnam Electricity Corporation (EVN)?
The main business sectors of Vietnam Electricity Corporation (EVN) include power production, transmission, and distribution; investment and capital management of power projects.
What responsibilities does Vietnam Electricity Corporation (EVN) have regarding service quality?
Ensuring product and service quality according to the registered standards.
Does the Ministry of Industry and Trade have the authority to inspect power purchase and sale contracts?
Yes, the Ministry of Industry and Trade shall inspect long-term power purchase and sale contracts between power generation units and power purchasing units, and long-term wholesale power purchase and sale contracts as prescribed by the Government.
What responsibilities does Vietnam Electricity Corporation (EVN) have in project bidding?
Serving as the focal point for aggregating resources to participate in bidding and implementing joint projects with National Power Generation and Transmission Corporations.
Full text
DECREE
Amending and supplementing certain articles of Decree No. 96/2022/NĐ-CP dated November 29, 2022 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Industry and Trade and Decree No. 26/2018/NĐ-CP dated February 28, 2018 of the Government on the Charter of Organization and Operation of Vietnam Electricity Corporation
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Pursuant to the Law on Organization of the Government dated June 19, 2015; the Law Amending and Supplementing Certain Provisions of the Law on Organization of the Government and the Law on Organization of Local Administration dated November 22, 2019;
Pursuant to the Electricity Law dated December 3, 2004; and the Law Amending and Supplementing Certain Provisions of the Electricity Law dated November 20, 2012;
Pursuant to the Law amending and supplementing certain articles of eleven laws related to planning dated June 15, 2018;
Pursuant to the Law amending and supplementing certain articles of the Law on Public Investment, the Law on Public-Private Partnership Investment, the Law on Investment, the Law on Housing, the Law on Bidding, the Law on Electricity, the Law on Enterprises, the Special Consumption Tax Law, and the Civil Enforcement Act dated January 11, 2022;
Pursuant to the Law on Enterprises dated June 17, 2020;
Pursuant to the Law on Management and Use of State Capital for Investment in Business Operations dated November 26, 2014;
At the proposal of the Minister of Industry and Trade;
The Government promulgates this Decree amending and supplementing certain articles of Decree No. 96/2022/NĐ-CP dated November 29, 2022 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Industry and Trade and Decree No. 26/2018/NĐ-CP dated February 28, 2018 of the Government on the Charter of Organization and Operation of Vietnam Electricity Corporation.
Article 1. Amending and supplementing Clause 7, Article 2 of Decree No. 96/2022/NĐ-CP dated November 29, 2022 of the Government stipulating the functions, tasks, powers, and organizational structure of the Ministry of Industry and Trade
1. Amending and supplementing Point d as follows:
"d) To take the lead and coordinate with the Ministry of Finance in guiding methods for establishing the framework price for electricity generation, wholesale electricity price, transmission electricity price, distribution electricity price, system support service price, system operation dispatch price, and electricity market transaction management price; to approve the system operation dispatch price and electricity market transaction management price after consulting with the Ministry of Finance; to approve the framework price for electricity generation, wholesale electricity price, transmission electricity price, distribution electricity price, and system support service price, except as provided in Clause 2, Article 62 of the Electricity Law; to inspect power purchase and sale contracts with a term between electricity generation units and electricity purchasing units, and wholesale electricity purchase and sale contracts with a term as prescribed by the Government;"
2. Supplementing Point g as follows:
"g) To manage state activities related to commanding and operating the production, transmission, distribution, and allocation of electric energy in the national power system, and managing electricity market transactions."
Article 2. Amending and abolishing certain articles of the Charter of Organization and Operation of Vietnam Electricity Corporation issued together with Decree No. 26/2018/NĐ-CP dated February 28, 2018 of the Government
1. Amending point a, Clause 2, Article 4 as follows:
"a) Main business sectors and industries: Production, transmission, distribution (including distribution system dispatch), and electricity trading; Import and export of electric energy; Investment and management of capital investment projects in electricity; Management, operation, repair, maintenance, major overhaul, renovation, and upgrading of electrical, mechanical, control, and automation equipment belonging to the production, transmission, and distribution systems, power facilities; Electrical testing; Project management consultancy, survey design consultancy, project investment feasibility study consultancy, bidding consultancy, cost estimation consultancy, review consultancy, and construction supervision consultancy for power source projects, transmission lines, and transformer substations."
2. Amending Point i, Clause 4, Article 10 as follows:
"i) To act as the central point for collecting resources from member enterprises and associated enterprises to implement bidding and carry out joint projects agreed upon and implemented by subsidiaries and associated companies, specifically: Jointly with the General Corporation of Electricity Generation and the National Power Transmission Corporation to invest in and manage power source and transmission grid projects according to the National Power Development Plan that has been approved"
3. Amending Clause 1, Article 18 as follows:
"1. Conducting business within registered sectors and industries; ensuring product and service quality carried out by EVN according to registered standards. Adhering to operational procedures, command orders, and control instructions of the national power system dispatch unit as prescribed by law. Implementing payment for electricity and other obligations as stipulated in the Power Purchase Contract."
4. Abolishing Point 2, Section II of the Appendix accompanying the Charter of Organization and Operation of Vietnam Electricity Corporation at Decree No. 26/2018/NĐ-CP dated February 28, 2018 of the Government.
Article 3. Implementation Provisions
1. This Decree shall take effect from August 1, 2024.
2. This Decree does not change the obligations under the BOT Contract between the investors of power projects and Vietnam.
3. The Ministers, Heads of ministerial-level agencies, Heads of agencies under the Government, Chairmen of Provincial People's Committees, Chairmen of the Board of Directors, General Directors of Vietnam Electricity Corporation, and relevant agencies and units are responsible for implementing this Decree.
DEPUTY PRIME MINISTER
DEPUTY PRIME MINISTER
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