Decision No. 69/2013/QD-TTg on the mechanism for adjusting the average retail electricity price

Pursuant to …;

Article 24Article on the mechanism for adjusting the average retail electricity price level

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Căn cứ Luật T, amended and supplemented by Decree No. 109/2025/NĐ-CP and Decree No. 193/2025/NĐ-CP Function C- Government;Government on December 25thJune 2024;The Ministry of Finance issued on November 13,

Based on the Electricity Law dated December 3, 2004; the Law Amending and Supplementing Certain Provisions of the Electricity Law dated October 20, 2005;onArticle of the Law Amending and Supplementing Certain Provisions of the Electricity Law dated October 20, 2005;June 2024;on November 2012;

Based on the Price Law dated November 20, 2005; 6 Pursuant to the Ordinance on Consolidating Normative Legal Documents dated March 22

Pursuant to Decreeand amended and supplemented by certain articles related to conditions for investment and business and administrative procedures in the field of information and communications on November 7, 2018Decision No. 37/2013/NĐ-CP dated October 21, 2013;1At the proposal of the Director of the Department of Labor Relations and Wages of the Ministry of Labor - Invalids and Social Affairs,"b) In addition to the lists of public services issued according to the provisions of Clause 2, Article 4 of this Decree, specialized agencies under provincial People's Committees shall report to the provincial People's Committee for decision-making on amending, supplementing, or issuing the list of public services funded by the state budget within their jurisdiction and consistent with the local budget capacity within the approved budget by the Provincial People's Assembly, and send it to the Ministry of Finance and relevant ministries and sectors for supervision during implementation."of the Government detailing the implementation of certain provisions of the Electricity Law and the Law Amending and Supplementing Certain Provisions of the Electricity Law; Transit through, and Residence of Foreigners in Vietnam dated June 25, Electricity Law; l;

Decree No. 177/201Decision No. 3/2014/NĐ-CP dated November 14, 2014;1Decision No. 3/2014/NĐ-CP dated November 14, 2014; guiding of the Government detailing and guiding the implementation of certain provisions of the Price Law; Transit through, and Residence of Foreigners in Vietnam dated June 25, of the Price Law;

Pursuant to the proposal of the Director of the Department of Ethnic Affairs and Religion Propaganda;on Resolution of the Minister of Industry and Trade;

The Prime Minister promulgates this Decision to regulate the mechanism for adjusting the average retail electricity price level.

Article 1. Scope of Regulation and Applicability

1. This Decision stipulates the mechanism for adjusting the average retail electricity price level.

2. This Decision applies to organizations and individuals participating in the electricity business and using electricity.

Article 2. Interpretation of Terms

In this Decision, the following terms shall be understood as follows:

1. The average retail electricity priceJune 2024; is the specific price within the range of the average retail electricity price level set by the Prime Minister (hereinafter referred to as the average electricity price). The average electricity price base

2. is the annual planned average electricity price built based on production and business costs and reasonable profit of four stages: power generation, transmission, distribution-retail, operation-management and ancillary services of the power system. The average electricity price base is used as a reference in calculating the adjustment of the average electricity price according to basic input parameters in the year. The competitive power generation market price

3. is the price determined on the competitive power generation market in accordance with the principles and regulations on the operation of the competitive electricity market issued by the competent authority. The range of the average retail electricity price level is the distance between the minimum price and the maximum price of the average retail electricity price level (hereinafter referred to as the price range).

4. Basic input parameters lare factors directly affecting power generation costs that the power company cannot control, including fuel prices, exchange rates, power generation volume structure, and competitive power generation market prices. In the fiscal year, the average electricity price may be reviewed for adjustment when basic input parameters fluctuate compared to those used to determine the average electricity price base. Other input parameters can only be considered for adjusting the average electricity price after the final report and audit have been conducted in accordance with Clause 4, Article 4 of this Decision.

5. 2. The average electricity price shall be adjusted within the price range set by the Prime Minister and can only be increased by 7% or more from the current average electricity price. The time interval between two consecutive adjustments of the average electricity price shall be at least six months.No. 3. Adjustments to the average electricity price must be carried out openly and transparently. In necessary cases, the State uses the Electricity Price Stabilization Fund and other measures as prescribed to stabilize electricity prices to minimize adverse impacts on macroeconomic stability and social welfare. Article 4. Mechanism for Adjusting the Average Electricity Price

Article 3. Principles for Adjusting the Average Retail Electricity Price

1. If the basic input parameters at the calculation point fluctuate compared to those used to determine the average electricity price base, causing the updated average electricity price base at the calculation point to be lower than the current average electricity price and within the price range (after deducting the Electricity Price Stabilization Fund), the Vietnam Electricity Corporation shall be responsible for reducing the average electricity price accordingly, and report to the Ministry of Industry and Trade and the Ministry of Finance.

2. If the basic input parameters at the calculation point fluctuate compared to those used to determine the average electricity price base, causing the updated average electricity price base at the calculation point to be higher than the current average electricity price (after using the Electricity Price Stabilization Fund) by:

a) From 7% to less than 10% and within the prescribed price range, the Vietnam Electricity Corporation is permitted to increase the average electricity price accordingly after reporting and obtaining approval from the Ministry of Industry and Trade. Within ten working days, the Ministry of Industry and Trade shall be responsible for responding to allow the Vietnam Electricity Corporation to implement the adjustment. After implementing the adjustment, the Vietnam Electricity Corporation shall be responsible for reporting to the Ministry of Industry and Trade and the Ministry of Finance.

b) 10% or more or the calculated average electricity price after adjustment exceeds the prescribed price range, the Vietnam Electricity Corporation shall prepare a pricing plan, report to the Ministry of Industry and Trade, and send it to the Ministry of Finance for review. Within ten working days from the date of receipt of the pricing plan from the Vietnam Electricity Corporation, the Ministry of Finance shall be responsible for reviewing and sending written comments to the Ministry of Industry and Trade. Within ten working days from the date of receipt of the Ministry of Finance's review comments, the Ministry of Industry and Trade shall be responsible for compiling and submitting to the Prime Minister for consideration and opinion.

3. Annually, after receiving the audited financial statements of the Vietnam Electricity Corporation and its subsidiaries, the Ministry of Industry and Trade, in coordination with the Ministry of Finance, shall inspect and calculate the production and business costs of the power generation, transmission, distribution-retail, operation-management and ancillary services of the power system, and the average electricity price for the fiscal year.

4. Annually, the Vietnam Electricity Corporation shall develop a pricing plan to submit to the Ministry of Industry and Trade and the Ministry of Finance. Based on the results of the inspection and calculation of the production and business costs of the fiscal year as stipulated in Clause 3 of this Article, the production and business situation of the Vietnam Electricity Corporation, and the economic and social situation, the Ministry of Industry and Trade, in coordination with the Ministry of Finance, shall consider the average electricity price plan, specifically as follows:

a) If the average electricity price needs to be reduced compared to the current average electricity price and within the prescribed price range, the Vietnam Electricity Corporation shall be responsible for reducing the average electricity price accordingly and report to the Ministry of Industry and Trade and the Ministry of Finance;

b) From 10% or more, or if the average electricity selling price calculated after adjustment falls outside the prescribed price range, the Vietnam Electricity Corporation shall prepare a pricing plan, report to the Ministry of Industry and Trade, and submit it to the Ministry of Finance for review. Within ten working days from the date of receipt of the Vietnam Electricity Corporation's pricing plan, the Ministry of Finance shall be responsible for reviewing and sending its review comments in writing to the Ministry of Industry and Trade. Within ten working days from the date of receipt of the Ministry of Finance's review comments, the Ministry of Industry and Trade shall be responsible for compiling and submitting to the Prime Minister for consideration and comments.

3. Annually, after receiving the final cost report and production and business costs report of electricity, and the audited financial statements of the Vietnam Electricity Corporation and its subsidiaries, the Ministry of Industry and Trade shall take the lead and coordinate with the Ministry of Finance to inspect and calculate the production and business costs of electricity generation, transmission, distribution-retail, system operation-management and ancillary services, and the average electricity selling price for the fiscal year.

4. Annually, the Vietnam Electricity Corporation shall develop a pricing plan for electricity sales and submit it to the Ministry of Industry and Trade and the Ministry of Finance. Based on the results of the inspection and calculation of production and business costs for the fiscal year as stipulated in Clause 3 of this Article, the operating situation of the Vietnam Electricity Corporation, and the economic and social conditions, the Ministry of Industry and Trade shall take the lead and coordinate with the Ministry of Finance to consider the average electricity selling price plan, specifically as follows:

a) In the case where the average electricity selling price needs to be adjusted downward compared to the current average electricity selling price and within the prescribed price range, the Vietnam Electricity Corporation shall be responsible for adjusting the average electricity selling price accordingly and reporting to the Ministry of Industry and Trade and the Ministry of Finance;

b) In case the average electricity selling price needs to be adjusted upwards by between 7% and under 10% compared to the current average electricity selling price and within the prescribed price range, the Vietnam Electricity Corporation shall adjust the average electricity selling price at the corresponding level after obtaining the approval of the Ministry of Industry and Trade;

c) In case the average electricity selling price needs to be adjusted upwards by 10% or more compared to the current average electricity selling price or outside the prescribed price range, the Ministry of Industry and Trade shall report to the Prime Minister after receiving the audit opinion of the Ministry of Finance;

Article 5. Inspection and supervision of the implementation of adjustments to the average electricity selling priceJune 2024;regarding the implementation of the adjustment of the average electricity selling price

1. The Ministry of Industry and Trade shall inspect and supervise the implementation of adjustments to the average electricity selling price. Where necessary, the Ministry of Industry and Trade may issue a document requesting the Vietnam Electricity Corporation to reduce or stop increasing the average electricity selling price. The Ministry of Industry and Trade is permitted to invite independent consultants to review the adjustment price selling electricity application file.

2. The Ministry of Finance shall cooperate in inspecting the implementation of adjustments to the average electricity selling price; participate and cooperate with the Ministry of Industry and Trade in inspecting reasonable and valid cost differences compared to the calculation data in the electricity selling price plan after final accounting and auditing data are available.

3. The Ministry of Industry and Trade shall take the lead and coordinate with the Ministry of Finance to inspect and calculate the production and business costs of electricity for the fiscal year and publicly announce the production and business costs of electricity for power generation, transmission, distribution-retail, operation-management and system auxiliary services; the profit and loss situation of the Vietnam Electricity Corporation and costs not included in the production and business costs of electricity. The Vietnam Electricity Corporation shall publicly announce the adjustment of the average retail electricity price and the reasons for the adjustment.

Article 6. Organizationứ1. Thông tư này có hiệu lực thi hành kể

1. The Ministry of Industry and Trade shall be responsible for:

a) Guide the calculation of the average electricity selling price based on basic input parameters and the annual base average electricity selling price;

b) Approve the annual power supply plan and system operation plan, and annual economic-technical indicators;

c) Guide the calculation of the average electricity selling price after inspecting, calculating, and announcing the annual production and business costs of electricity;

d) Issue other necessary regulations to implement this Decision.

2. The Ministry of Finance shall be responsible for:

a) Audit the plan to adjust the average electricity selling price as stipulated in point b, Clause 2 and point c, Clause 4, Article 4 of this Decision;

b) Take the lead and coordinate with the Ministry of Industry and Trade and relevant agencies to guide the establishment, management, and use of the electricity price stabilization fund.

3. The Vietnam Electricity Group shall have the responsibility:

a) Develop the base average electricity selling price for submission to the Ministry of Industry and Trade for approval before December 20 each year;

b) Report to the Ministry of Industry and Trade and the Ministry of Finance on the production and business costs of electricity and the average electricity selling price as stipulated in Clause 3, Article 4 of this Decision before June 1 each year;

c) Implement the adjustment of the average electricity selling price and report as required.

Article 7. Effectiveness

1. This Decision takes effect from January 10, 2014. Decision No. 24/2011/QĐ-TTg dated April 15, 2011 of the Government on adjusting electricity prices according to market mechanisms ceases to be effective from the date this Decision takes effect.

2. Ministers, heads of ministerial-level agencies, heads of agencies under the Government, Chairmen of provincial People's Committees directly under the Central Government, the Vietnam Electricity Corporation, and related organizations and individuals are responsible for implementing this Decision./.