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Rooftop solar power sector set for expansion with new regulations on the horizon

Rooftop solar power expected to see growth as new decree underway
Illustration of solar panels on a factory roof in Ho Chi Minh City. —VNA/VNS Photo Hồng Đạt

The development of rooftop solar power was the focal point of a meeting led by Deputy Prime Minister Trần Hồng Hà, aiming to streamline processes for efficient growth. He stressed the need for a well-rounded approach guided by logic, science, and economics in the drafting of a decree that aligns with the national Power Development Plan 8 (PDP8) to meet energy demands and support socio-economic progress.

The Ministry of Industry and Trade (MoIT) has been tasked with simplifying certification procedures for self-sustaining solar power projects at homes and offices, focusing on minimizing administrative barriers to encourage investments in the northern region.

A proposal by the MoIT suggests that residential solar systems in the north can sell up to 20% of their surplus energy to the national grid, while other regions are capped at 10%. Vietnam Electricity (EVN) will purchase this excess power at a rate equal to or less than the previous year’s average market electricity price to provide appropriate incentives and support grid development.

Deputy PM Hà highlighted the importance of technical oversight to ensure the safety and efficiency of solar power systems connected to the national grid, particularly at medium-voltage levels. The MoIT and EVN are expected to collaborate with relevant authorities to monitor and report on these systems for adjustments in the national energy plans.

rooftop solar power expected to see growth as new decree underway 8d625f52cc264e5e912d07aa025688d2 2748 (via Primetweets)
Deputy Prime Minister Trần Hồng Hà presiding over the meeting. — VNA/VNS Photo Văn Điệp

The MoIT’s report, discussed during the meeting, outlined policy revisions to promote independent rooftop solar power production, prioritizing off-grid systems and exempting them from obtaining a power operation license with no capacity restrictions.

For rooftop systems exceeding 1MW and intending to sell surplus energy back to the grid, owners must apply for an electricity operating license. Local People’s Committees will oversee streamlined registration procedures and provide guidance to ensure legal compliance and safety standards.

EVN reports that the northern region has around 700MW of rooftop solar capacity integrated into a network capable of handling approximately 7,000MW. EVN’s Northern Power Corporation anticipates significant savings for consumers and a return on investments within 5-6 years if the decree is approved, considering the current solar panel life expectancy of 12-15 years. — VNS


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