Nội Dung Chính
While cakhia.link truc tiep bong da previous draft solar PPA does not require cakhia.link truc tiep bong da Feed-in-Tariff (FiT) conversion between USD and VND be according to cakhia.link truc tiep bong da exchange rate at cakhia.link truc tiep bong da time of payment, this newly issued solar PPA repeats cakhia.link truc tiep bong da language in Decision No. 11/2017/QD-TTg (Decision 11) that cakhia.link truc tiep bong da FiT will be adjusted according to cakhia.link truc tiep bong da fluctuation in cakhia.link truc tiep bong da VND/USD exchange rate. This is consistent with what is stipulated in Decision 11.
In addition, I note that while cakhia.link truc tiep bong da FiT for power output from on-grid projects is adjusted according to cakhia.link truc tiep bong da fluctuation in cakhia.link truc tiep bong da VND/USD exchange rate, meaning at any time during cakhia.link truc tiep bong da year, it is not cakhia.link truc tiep bong da same for rooftop projects. Instead, cakhia.link truc tiep bong da mentioned FiT for excessive power output generated from rooftop projects remains cakhia.link truc tiep bong da same throughout cakhia.link truc tiep bong da first year of operation, and cakhia.link truc tiep bong da new FiT for cakhia.link truc tiep bong da next year will be adjusted based on cakhia.link truc tiep bong da announced VND/ USD exchange rate of cakhia.link truc tiep bong da last working day of cakhia.link truc tiep bong da previous year.
cakhia.link truc tiep bong da rights of cakhia.link truc tiep bong da investors are not fully protected in cakhia.link truc tiep bong da following cases:
– when EVN is in cakhia.link truc tiep bong da process of installing equipment, or making repairs, replacement, inspection or examination of cakhia.link truc tiep bong da grid connection of cakhia.link truc tiep bong da seller’s power plant;
– when cakhia.link truc tiep bong da transmission grid or cakhia.link truc tiep bong da distribution grid connected to EVN’s grid has a problem or grid equipment directly connected to EVN’s transmission grid or cakhia.link truc tiep bong da distribution grid has a problem; and
– when EVN’s grid needs support to recover after cakhia.link truc tiep bong da incident in accordance with cakhia.link truc tiep bong da provisions of operation of cakhia.link truc tiep bong da national power system and cakhia.link truc tiep bong da standards, technical regulations of cakhia.link truc tiep bong da electric industry.
– allocation of feeding points into cakhia.link truc tiep bong da grid
It is quite risky for cakhia.link truc tiep bong da producer if cakhia.link truc tiep bong da output is ready to be fed to cakhia.link truc tiep bong da grid but cakhia.link truc tiep bong da connection is not available to do so. Absent a clear indication of whether cakhia.link truc tiep bong da Solar PPA is a ‘take or pay” agreement, investors will find it difficult to secure and ensure cakhia.link truc tiep bong da profits and revenue of their projects.
This PPA is not bankable due to reasons specified in 2).
There is an increasing interest of foreign investors in cakhia.link truc tiep bong da sector, proven by cakhia.link truc tiep bong da fact that there are many solar projects with total capacity of 10,000 MW registered with cakhia.link truc tiep bong da MOIT. However, not many of them have submitted cakhia.link truc tiep bong da pre-feasibility study to cakhia.link truc tiep bong da MOIT for consideration. There are many reasons behind this, but cakhia.link truc tiep bong da most important ones are cakhia.link truc tiep bong da lack of Government guarantee of EVN’s payment obligation in cakhia.link truc tiep bong da PPA and currency hedging. Thus, cakhia.link truc tiep bong da Government should consider a mechanism where EVN has to fulfil its payment obligation and cakhia.link truc tiep bong da investors are ensured that they will be able to remit their profits abroad in foreign currency.