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OFFICE OF THE
NATIONAL ASSEMBLY
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THE SOCIALIST
REPUBLIC OF VIETNAM
Independence - Freedom - Happiness
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No. 22/VBHN-VPQH
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Hanoi, September
16, 2024
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LAW
ON ELECTRICITY
The Law on Electricity No. 28/2004/QH11 dated
December 02, 2004 of the National Assembly, which has been effective since July
01, 2005, is amended by:
1. The Law No. 24/2012/QH13 dated November 20, 2012
of the National Assembly on Amendments to some Articles of the Law on
Electricity, which has been effective since July 01, 2013;
2. The Law No. 28/2018/QH14 dated June 15, 2018 of
the National Assembly on Amendments to some Articles concerning planning of 11
Laws, which has been effective since January 01, 2019;
3. The Law No. 03/2022/QH15 dated January 11, 2022
of the National Assembly on Amendments to 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 Procurement, the Law on Electricity,
the Law on Enterprises, the Law on Special Excise Duties and the Law on Civil
Judgment Enforcement, which has been effective since March 01, 2022;
4. The Law on Prices No. 16/2023/QH15 dated June
19, 2023 of the National Assembly, which has been effective since July 01,
2024;
5. The Law on Road No. 35/2024/QH15 dated June 27,
2024 of the National Assembly, which has been effective since January 01, 2025.
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This Law provides for electricity.
Chapter I
GENERAL PROVISIONS
Article 1. Scope
This Law provides for power development planning
and investment in electricity development; electricity saving; electricity
market; rights and obligations of organizations and individuals conducting
electricity activities and using electricity; protection of electrical
equipment and electricity works, and electric safety.
Article 2. Regulated entities
This Law applies to organizations and individuals
conducting electricity activities, using electricity or engaged in other
electricity activities in Vietnam. Where any treaty to which the Socialist
Republic of Vietnam is a signatory or accedes contain provisions different from
those specified this Law, the former shall prevail.
Article 3. Definitions
For the purposes of this Law, the terms below shall
be construed as follows:
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2. “electric utility” means an organization
or individual carrying out electricity generation, electricity transmission,
electricity distribution, power system dispatch, regulation of electricity
market transactions, electricity wholesaling and retailing, electrical
consulting and other relevant activities.
3. “electrical grid” means a system of
transmission lines, transformers and auxiliary equipment for electricity
transmission. Electrical grid shall, depending on its intended uses and
operation purposes, be classified into transmission grid and distribution grid.
4. “electricity wholesaling” means the sale
of electricity by one electric utility to another for resale to a third party.
5. “electricity retailing” means the sale of
electricity by one electric utility to electricity consumers.
6. “electricity consumer" means an
organization or individual that buys electricity for use and does not resell
the electricity bought to another organization or individual.
7. “large electricity consumer” means a
consumer that uses electricity with large power and consumption as prescribed
by the Ministry of Industry and Trade in a manner that is appropriate to each
period of power system development.
8. “electricity tariff” means a list of
specific electricity prices and price brackets applicable to electricity
purchasers and sellers under different conditions.
9. “electricity price bracket” means the
range of permissible electricity price fluctuations between the lowest price
(floor price) and the highest price (ceiling price).
10. “national power system” means a system
of electricity-generating equipment, electrical grids and auxiliary equipment
which are connected and uniformly controlled nationwide.
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12. “power system dispatch” means the
commanding and control of the process of electricity generation, electricity
transmission, electricity distribution within the national power system
according to determined technical processes, regulations and operation method.
13. “regulation of electricity market
transactions” means the management and regulation of transactions in
purchase and sale of electricity and ancillary services on the electricity
market.
14. “electricity metering devices” means
those used for measuring the power, amount of electrical energy, electric
current, voltage, frequency, power factor, including electricity meters, and
accompanying equipment and accessories.
15. “electricity theft” means an act of
illegally taking electricity without mater meters, tampering of an electricity
meter and other electrical equipment related to electricity metering,
deliberately recording or collaborating in recording electricity meter readings
and other fraudulent acts of taking electricity.
16. “electricity work” means a combination
of facilities, machinery, equipment, construction structures in direct service
of electricity generation, electricity transmission, electricity distribution,
power system dispatch, electricity purchase and sale; a system for protection
of electricity works; electrical grid safety corridors; land used for
electricity works and other auxiliary works.
17. “wholesale electricity price” means
the price at which the electricity of an electric utility is sold to another
for resale.
18. “retail electricity price” means the
price at which the electricity of an electric utility is sold to electricity
consumers.
Article 4. Electricity development policies
1. Develop electricity in a sustainable manner on
the basis of optimally tapping all resources, satisfying demands for electrical
energy in service of people's life and socio-economic development with stable
quality, safety and economy, civilized services, thus contributing to the
maintenance of national defense, security and national energy security.
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2. Build up and
develop the electricity market on the principle of publicity, equality, fair
competition with the State's regulation to raise efficiency in electricity
activities; protect legitimate rights and interests of electric utilities and
electricity consumers; attract all economic sectors to participate in
investment in the construction of transmission grids on the basis of ensuring
national defense and security and according to the planning for electricity
development, electricity generation, electricity distribution, electricity
wholesaling, electricity retailing and/or electrical consulting.
Non-state economic
sectors are allowed to operate the transmission grid built themselves.
2a. The State holds
monopoly in the following activities:
a) National power
system dispatch;
b) Construction and
operation of large power plants of socio-economic significance or in service of
defense or security purpose;
c) Operation of
distribution grids, except for the transmission grid built by non-state
economic sectors.
3. Apply scientific and technological advances to
electricity activities and use with a view to saving, raising the efficiency in
using various energy sources, and protecting the environment; encourage
research, development, production and use of modern equipment to satisfy the
requirement of electricity development.
4. Step up the exploitation and use of sources of
new energy sources and renewable energy for electricity generation; provide
incentives for projects on investment in development of power plants using
sources of new energy sources and renewable energy.
Article 5. International cooperation in
electricity activities
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Article 6. Dissemination of and education about
electricity law
1. Ministries, ministerial agencies, Governmental
agencies, People’s Committees at all levels and electric utilities shall,
within their jurisdiction, cooperate with mass media agencies and schools in
organizing the electricity law dissemination and education and instructing
people to use electricity safely, economically and efficiently and strictly
observe regulations of law on electricity.
2. Vietnamese Fatherland Front and its member
organizations shall, within their jurisdiction, cooperate with the agencies
performing the state management of electricity activities and electricity use
in mobilizing people to use electricity safely, economically and efficiently
and to strictly comply with regulations of law on electricity.
Article 7. Prohibited acts in electricity
activities and electricity use
1. Destroying electrical equipment, electricity
metering devices and electricity works.
2. Conducting electricity activities without the
license as prescribed by this Law.
3. Switching on or off electricity in contravention
of law.
4. Violating regulations on safety in electricity
generation, transmission, distribution and use.
5. Obstructing the inspection of electricity
activities and electricity use.
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7. Using electricity as animal traps or means of
protection, except for the cases prescribed in Article 59 of this Law.
8. Violating regulations on protection of
electrical grid safety corridors, on safe distances between transmission lines
and electrical substations.
9. Providing untruthful information, thus causing
harms to the legitimate rights and interests of organizations and individuals
conducting electricity activities or using electricity.
10. Abusing positions and/or powers to cause
troubles or earn illegal profits in electricity activities and electricity use.
11. Other violations prescribed by regulations of
law on electricity.
Chapter II
PLANNING FOR AND INVESTMENT IN ELECTRICITY DEVELOPMENT
Article 8. Power development planning
1. Power development planning is the national
sector planning and serves as a basis for electricity development.
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a) the national energy development strategy;
b) the orientations for development of primary energy
sources for electricity generation including new energy and renewable energy.
3. The power development planning covers a period
of 10 years. The orientations of the power development planning cover a
period of 30 - 50 years.
Article 8a. (annulled)
Article 9. Formulating, appraising, announcing,
organizing implementation of and adjusting the power development planning
1. The Ministry of Industry and Trade shall
organize the formulation of the power development planning and submit it to the
Prime Minister for approval as prescribed by the law on planning.
2. People’s Committees of provinces shall organize
the development of contents of electricity supply network development plan
included in the provincial planning.
3. The power development planning shall be
formulated, appraised, approved, announced, implemented and adjusted as
prescribed by the law on planning.
Article 10. Costs of formulating, appraising,
approving, announcing, adjusting and assessing implementation of the power
development planning
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Article 11. Investment in electricity
development
1. Investment in electricity development must
conform to the power development planning. The investment project that has yet
to be included in the power development planning shall be executed only when
the authority formulating the power development planning submits it the authority
having the power to approve planning for permission.
2. Every electricity project investor shall
strictly comply with regulations of law on investment, construction and
environmental protection.
3. Electricity generation units, electricity
transmission units and electricity distribution units shall make investment in
construction of electrical substations, meters and lines transmitting
electricity to meters for the sale of electricity.
4. Organizations or individuals that build or
renovate/expand electricity works must use modern technical equipment and
technologies conforming to technical regulations, industry standards and
Vietnam standards prescribed by competent authorities.
5. The Ministry of Industry and Trade and
provincial People’s Committees shall publish a list of electricity projects
attracting investment from time to time and licensed investment projects.
Article 12.
Use of land for electricity works
1. According to the power development planning and
land use planning and plan which have been approved by the competent authority,
People's Committees at all levels shall provide adequate land for construction
of electricity works.
2. When setting up a project on electricity work
construction, the investor must clearly determine the area of land to be used
and the compensation and land clearance plan.
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4. People's Committees at all levels shall, within
their jurisdiction, preside over and cooperate with electricity project
investors in formulating and executing the relocation and land clearance plan;
providing compensation for loss of land or property; protecting the area of
land reserved for the project and electricity work safety corridor.
Chapter III
THRIFT PRACTICE IN ELECTRICITY GENERATION,
TRANSMISSION, DISTRIBUTION AND USE
Article 13. Policies and measures to encourage
and promote electricity saving
1. The State shall support and encourage
electricity saving by adopting the following policies:
a) Encouraging domestic manufacture or import of,
and application of tax incentives to products on the lists of
electricity-saving products and equipment, supplies and technology lines
imported for manufacture of electricity-saving products;
b) Granting preferential loans from the Development
Assistance Fund and the Science and Technology Development Fund to projects on
manufacture of electricity-saving products or investment projects serving the
energy-saving purpose;
c) Providing investment, electricity price and tax
incentives under the guidance of the Ministry of Finance to projects on
development of power plants using new energy sources and renewable energy.
2. Ministries, ministerial agencies, Governmental
agencies and provincial People's Committees shall set up programs and projects
on promotion of economical and efficient use of electricity; provide adequate
funding for scientific research and technology development to achieve the electricity-saving
objective.
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Article 14. Thrift practice in electricity
generation
1. Every electricity generation unit shall select
advanced and high-efficiency technologies for electricity generation and adopt
the method for optimal operation of electricity generating equipment to save
fuels and sources of energy used for electricity generation, contributing to
national energy security assurance.
2. Self-consumption power systems in power plants
must be appropriately designed and installed, and used during the operation
process in a manner that is satisfies the requirements for self-consumption
power saving.
Article 15. Thrift practice in electricity
transmission and distribution
Transmission lines and electrical substations must
meet advanced techno-economic parameters and standards and be operated by
optimal methods in order to satisfy the requirements for stable, safe and
constant supply of electricity and minimize the loss of electrical energy.
Article 16. Thrift practice in electricity use
1. Organizations and individuals using electricity
for production shall:
a) Execute the demand side management program in
order to reduce power difference between peak hours and off-peak hours of the
power system load profile;
b) Improve and rationalize the process for
manufacture and application of technologies and equipment with low power
consumption to save electricity;
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dd) Maintain the power factor according to
technical standards and minimize the underload use of electrical equipment;
e) Organize an energy audit on a periodic basis and
take adjustment measures after the audit conclusion is given as prescribed by
law on energy efficiency.
2. Retail prices of electricity for production,
daily life and service provision must be set in a manner that stimulates
organizations and individuals to use electricity economically and encourages
the use of electricity at off-peak hours, reduce the use of electricity at peak
hours of the electric system load profile.
3. Organizations and individuals that manufacture
or import lighting and air-ventilating equipment, air conditioners, water
pumps, water heaters, lifts and other equipment for domestic purposes must meet
the advanced energy efficiency criteria so as to reduce the cost of
electricity, thus contributing to electricity saving.
4. Agencies and organizations shall promulgate
regulations on thrift practice in electricity use within their respective
agencies and organizations.
5. The Government shall direct the establishment
and promulgation of energy efficiency criteria applicable to electrical
products and commodities.
Chapter IV
ELECTRICITY MARKET
Section 1. PRINCIPLES, ENTITIES
AND FORMS OF AND ACTIVITIES ON ELECTRICITY MARKET
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1. Ensure publicity, transparency, equality, fair
competition and non-discrimination among entities participating in the
electricity market.
2. Respect the rights to opt for partners and forms
of transactions of entities purchasing and selling electricity on the market
appropriate to the level of development of the electricity market.
3. The State shall regulate activities on the
electricity market in order to facilitate sustainable development of the power
system and satisfaction of the requirements for safe, stable and efficient
supply of electricity.
Article 18. Formation and development of
electricity market
1. The electricity market is formed and developed
at the following levels:
a) Competitive electricity generation market;
b) Competitive wholesale electricity market;
c) Competitive retail electricity market.
2. The Prime Minister shall provide for conditions
and structure of electricity industry to form and develop levels of the
electricity market; the roadmap for electricity market development, carry out
review and adjustment so as to speed up the roadmap in a manner that suits the
socio-economic situation from time to time.
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1. Electricity generation units.
2. Electricity transmission units.
3. Electricity distribution units.
4. Electricity wholesalers.
5. Electricity retailers.
6. National load dispatch units.
7. Electricity market transaction regulation units.
8. Electricity consumers.
Article 20. Purchasing and selling electricity
on electricity market
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a) Electricity generation units;
b) Electricity wholesalers;
c) Electricity retailers;
d) Electricity consumers.
2. The purchase and sale of electricity on the
electricity market shall be effected in
the two following forms:
a) Under a fixed-term contract between the
electricity seller and the electricity purchaser;
b) Under a spot contract between the electricity
seller and the electricity purchaser through an electricity market transaction
regulation unit.
3. Every electricity market transaction regulation
unit shall regulate and coordinate transactions in purchase and sale of
electricity and ancillary services on the electricity market.
Article 21. Transactions and regulation of
transactions on electricity market
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a) Rights and obligations of entities participating
in the electricity market relevant to the levels of development of the
electricity market;
b) Specifications of equipment for electricity
generation, transmission and distribution;
c) National power system dispatch on the
electricity market;
d) Fault handling process;
dd) Spot purchase and sale of electricity on the
electricity market;
e) Offering prices and determining market prices;
g) Preparing invoices and making payment between
the entities specified in clause 1 Article 20 of this Law and ancillary service
providers;
h) Providing ancillary services and prices of
ancillary services;
i) Imposing penalties for violations and settling
disputes and complaints about electricity purchase and sale and ancillary
services on the electricity market;
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2. Main provisions on regulation of transactions on
the electricity market include:
a) Controlling transactions of the entities
participating in the electricity market so as to ensure that the market is
operated under provisions on regulation of market transactions and mutual
agreement among the parties and other regulations of law;
b) Publicizing spot prices of electricity and
prices of ancillary services prescribed in clause 1 of this Article;
c) Providing transaction services and preparing
payment invoices for the amount of electricity and power purchased and sold
under a spot contract and ancillary services;
d) Receiving and handling proposals related to
transactions in electricity purchase and sale on the electricity market in
order to ensure the stability and efficiency and prevent unfair competition
practices;
dd) Providing information relating to transactions
and regulation of transactions on the electricity market to relevant parties;
e) Reporting transactions in the purchase and sale
of electricity on the electricity market to the electricity regulatory agency.
3. The Ministry of Industry and Trade shall
elaborate on clause 1 and provide guidelines for implementation of clause 2 of
this Article in conformity with each level of development of electricity
market; prescribe the organizational structure, tasks and specific powers of
each electricity market transaction regulation unit.
Section 2. ELECTRICITY PURCHASE
AND SALE AND ELECTRICITY SUPPLY SERVICE UNDER FIXED-TERM CONTRACTS
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A fixed-term power purchase agreement (PPA) shall
be made in writing and contain the following contents:
1. Contracting parties;
2. Intended uses;
3. Service standards and quality;
4. Rights and obligations of the parties;
5. Electricity prices, methods and time of
payment;
6. Conditions for agreement termination;
7. Responsibility for breach of agreement;
8. Term of the agreement;
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Article 23. Electricity bill payment
1. The electricity purchaser shall pay fully and on
schedule the electricity bill to the electricity seller according to the
electricity tariff approved by the competent authority. The electricity bill
shall be paid at the headquarters or residence of the electricity purchaser or
at a convenient place agreed upon by the two parties in the PPA.
2. If the electricity purchaser delays in paying
electricity bills, they must also pay the late payment interest to the
electricity seller.
3. If the electricity seller collects electricity
bill overpayment, they must refund the excess to the electricity purchaser,
including the interest on such overpayment.
4. The rate of interest on the late payment or
overpayment shall be agreed upon by the parties under the agreement but shall
not exceed the highest interest rate quoted at the time of payment by the bank
where the electricity seller's account, as defined in the signed agreement, is
opened.
5. The electricity purchaser may request the
electricity seller to check the electricity bill payable. Upon receiving the
electricity purchaser’s request, the electricity seller shall process it within
fifteen days. Where they disagree with the electricity seller, the
electricity purchaser shall request the competent authority to initiate the
conciliation procedure. In case of no request for conciliation submitted
or unsuccessful conciliation, the electricity purchaser shall file a lawsuit at
the court in accordance with regulations of law on civil procedures. Pending
conciliation results, the electricity purchaser still has to pay the
electricity bill and the electricity seller must not disconnect the electricity
supply.
6. Where the electricity purchaser does not pay the
electricity bill and has been notified of the payment twice by the
electricity seller, the electricity seller is entitled to disconnect the
electricity supply fifteen days after the first notification. The electricity
seller must notify the time of electricity supply disconnection to the
electricity purchaser 24 hours in advance and is not required to bear
responsibly for the damage caused by the electricity supply disconnection.
Article 24. Electricity metering
1. Electricity generation units, electricity
transmission units and electricity distribution units shall invest in and
install all electricity metering devices and auxiliary equipment for
electricity metering, unless otherwise agreed upon by the parties to safeguard
their interests in compliance with regulations of law.
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3. Electricity meters must be installed on the
electricity purchasers’ premises, unless otherwise agreed upon by the parties
to safeguard their interests in compliance with regulations of law. The meter
installation positions and installation must ensure safety and aesthetic
appearance, and prime electricity purchasers to check meter readings and
electricity sellers to record meter readings.
4. Electricity purchasers shall protect
meters installed on their premises and promptly notify electricity sellers
if the meters are found lost or damaged. Electricity sellers shall protect
meters installed outside the electricity purchasers' premises.
Article 25. Inspection, calibration and testing
of electricity metering devices
1. Only inspection, calibration and testing
organizations which have been registered or appointed as prescribed by law on
measurement are entitled to inspect, calibrate and test electricity
metering devices.
2. Electricity sellers shall carry out inspection,
calibration and testing of electricity metering devices in accordance with the
requirements and within the time limit specified by regulations of law on
measurement.
3. If it is suspected that the electricity metering
device operates inaccurately, the electricity purchaser is entitled to request
the electricity seller to conduct a check; within three days from the date of
receiving the request, the electricity seller must completely check, repair or
replace it. In case of disagreeing with the result, the electricity purchaser
may request the local authority in charge of state management of electricity
activities and electricity use to carry out an independent inspection. Within
fifteen days from the date of receiving the request, the local authority in
charge of state management of electricity activities and electricity use shall
carry out the inspection.
4. The cost of electricity metering device
inspection specified in clause 3 of this Article shall be paid as follows:
a) Where the independent inspection organization
determines that the electricity metering device operates in accordance with
Vietnam standard, the electricity purchaser shall pay the inspection cost.
b) Where the independent inspection organization
determines that the electricity metering device fails to operate in accordance
with Vietnam standard, the electricity seller shall pay the inspection cost.
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Article 26. Electric power quality assurance
1. Electricity generation units, electricity
transmission units and electricity distribution units must ensure the
compatibility of voltage and electric current frequency with Vietnam
standards, power, electrical energy and duration of electricity supply as
specified in the agreement. In case of failure to satisfy the standards
concerning voltage, electric current frequency, power, electrical energy and
electricity supply duration under the signed contracts causing damage to the
electricity purchaser, the electricity seller must pay compensation to the
electricity purchaser according to regulations of law.
2. The electricity purchaser shall ensure that
their electrical equipment operates safely so as not to cause any breakdown to
power system and not to affect voltage quality of the electrical grid.
Article 27. Electricity supply disconnection and
reduction
1. In the case of disconnecting or reducing
electricity supply in a non-emergency case, except for the case prescribed in
clause 6 Article 23 of this Law, the electricity seller must notify the
electricity purchaser thereof at least five days before the electricity supply
disconnection or reduction by making an announcement for three consecutive days
on the mass media or other means of communication.
2. In the case of disconnecting or reducing
electricity supply due to an incident or force majeure event which is beyond
the electricity seller's control, thereby seriously threatening the safety of
persons and equipment or due to a power shortage which threatens the safety of
the power system, the electricity generation unit, electricity transmission
unit or electricity distribution unit may disconnect or reduce the electricity
supply to the electricity purchaser for handling purpose and must, within 24
hours, notify the electricity purchaser of the cause and the estimated time of
electricity supply resumption.
3. Where the electric utility disconnects or
reduces the electricity supply in contravention of regulations on electricity
supply disconnection or reduction, they shall incur a penalty in accordance
with regulations of law on penalties for administrative violations; if any
damage is caused, it must pay compensation to the electricity purchaser
according to regulations of law.
4. Where the electricity purchaser fails to comply
with the regulations set forth in points a and b clause 2 Article 46, points b
and c clause 2 Article 47 of this Law, the electricity seller may disconnect
the electricity supply to the electricity purchaser.
Article 28. Sale and purchase of electricity
with foreign countries
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2. The purchase or sale of electricity with a
foreign country through the national power system must adhere to the following
principles:
a) Do not affect the safety, reliability and
stability during operation of the national power system;
b) Satisfy techno-economic criteria, process and
technical regulations for operation of the national power system;
c) Do not cause harm to the interests of electricity
consumers and the State, and national energy security.
3. Electricity consumers in border areas may
bypass the national power system to directly buy electricity from foreign
countries but must satisfy electrical safety criteria and other relevant
regulations of law.
Section 3. ELECTRICITY PRICES
Article 29. Electricity price policies
1. Enable economic sectors to invest in electricity
development in a manner that earns reasonable profits, saves energy resource
and uses new sources of energy or renewable energy without causing
environmental pollution upon carrying out electricity activities, thereby
contributing to boosting socio-economic development, especially in rural
areas, mountainous areas and islands.
1a. Electricity selling prices shall be set
according to the market mechanism and regulated by the State according to the
level of development of the electricity market.
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3. Apply appropriate electricity retail tariff to
groups of electricity consumers; provide state subsidies on electricity for
domestic use to poor households and social policy households according to the
criteria prescribed by the Prime Minister in appropriate response to the
socio-economic situation from time to time.
4. Protect the right of entities purchasing and
selling electricity on the electricity market to determine electricity
purchasing and selling prices themselves within the price bracket and
electricity retail tariff.
5. Protect legitimate rights and interests of
electric utilities and electricity consumers.
Article 30. Bases for setting and adjusting
electricity prices
1. Electricity price policies.
2. Socio-economic development conditions of the
country and people's income from time to time.
3. Electricity supply and demand.
4. Electricity production and trading costs and
reasonable profits of electric utilities.
5. Level of development of the electricity market.
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Article 31. Electricity prices and fees
1. Retail electricity price shall be set according
to the average retail electricity price bracket, price adjustment mechanism and
electricity retail tariff prescribed by the Prime Minister according to the
level of development of the electricity market, except for the case specified
in clause 2 Article 62 of this Law.
The Ministry of Industry and Trade shall preside
over and cooperate with the Ministry of Finance in establishing the average
retail electricity price bracket, price adjustment mechanism and electricity
retail tariff and submit them to the Prime Minister for decision.
The adjustment of the retail electricity price must
be made in a public and transparent manner regarding the change of the
constituents relating to the price adjustment. The State shall adopt measures
to stabilize the electricity selling price in conformity with regulations of
law on prices.
2. The brackets of
electricity generation prices, wholesale electricity prices, electricity
transmission prices, prices of ancillary services for power system, prices for
power system dispatch and regulation and prices for electricity market
transaction regulation shall be established by the related electric utility;
appraised by the electricity regulatory agency before they are submitted to the
Minister of Industry and Trade and the Minister of Finance for approval as
assigned by the Government, except for the case specified in clause 2
Article 62 of this Law. The Minister of Industry and Trade shall preside over
and cooperate with the Minister of Finance in providing guidance on the methods
for establishing the brackets of electricity generation prices, wholesale
electricity prices, electricity transmission prices, prices of ancillary
services for the power system, prices for power system dispatch and regulation
and prices for electricity market transaction regulation.
3. The electricity generation prices under
fixed-term PPAs and electricity wholesale shall be approved by electric
utilities but not exceed the approved brackets of electricity generation prices
and wholesale electricity prices.
4. Electricity spot prices shall be fixed at the
time of conducting a transaction on the electricity market and publicized by
the electricity market transaction regulation unit accordance with points e and
h clause 1 Article 21 of this Law.
Chapter V
ELECTRICITY LICENSES
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1. Organizations and individuals are granted a
license to involve in one or more electricity fields.
2. An organization or individual shall be granted
an electricity license or have their electricity license modified when fully
satisfying the following eligibility requirements:
a) There is a feasible electricity activity project
or plan;
b) There is an application for issuance or
modification of the electricity license;
c) The manager has managerial capability and
professional qualifications appropriate to the electricity fields.
3. Organizations and individuals applying for
issuance or modification of the electricity license shall pay fees under
regulations of law.
4. The Government shall elaborate eligibility
requirements for issuance of license to each electricity field.
5. The Ministry of Industry and Trade shall
prescribe procedures for issuance, extension and modification of electricity
license for each electricity field and validity period thereof.
Article 33. Applications for issuance or
modification of electricity licenses
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2. Electricity activity project or plan.
3. Environmental impact assessment report of the
electricity activity project approved by the competent authority.
4. List, profiles and diplomas proving capability
and professional qualifications appropriate of the electric utility manager.
Article 34. Electricity license exemptions
1. Cases in which exemption from the electricity
license is granted:
a) Organizations and individuals that invest in
construction of electricity generation establishments for self-consumption
purpose without selling electricity to any another organizations and
individuals;
b) Organizations and individuals engaging in
electricity generation with an installed power which is lower than the power
prescribed by the Ministry of Industry and Trade;
c) Electricity traders in rural areas, mountainous
areas or on islands purchases electricity with a power not exceeding 50 kVA
from the distribution grid to sell electricity directly to consumers in such
rural areas or mountainous areas or on such islands.
d) National load dispatch units and electricity
market transaction regulation units.
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3. Provincial People's Committees shall manage and
inspect organizations and individuals engaged in electricity activities
prescribed in points a, b and c clause 1 of this Article.
Article 35. Contents of an electricity license
1. Name and address of the electricity license
holder.
2. Business type.
3. Rights and obligations of the electricity license
holder.
4. Scope.
5. Techniques and technologies used to carry out
electricity activities.
6. Validity period of the electricity license.
Article 36. Time limit for issuance or
modification of electricity licenses
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Article 37. Revocation of electricity licenses
An organization or individual shall have their
electricity license revoked in the following cases:
1. Failure to carry out activities six months after
being granted the electricity license;
2. Failure satisfy conditions for conducting
electricity activities as prescribed by this Law;
3. Failure to comply with the regulations set out
in the electricity license;
4. Leasing or lending their electricity license or
modifying it without permission.
Article 38. Power to issue, modify or revoke
electricity licenses
1. The Ministry of Industry and Trade shall issue
electricity licenses to electricity generation units, electricity transmission
units and electricity distribution units establishing a connection to the
national power system, electricity wholesalers, electricity retailers and
electrical consulting service providers.
2. Provincial People's Committees shall grant
electricity licenses to organizations and individuals engaged in small-scale
electricity activities under the guidance of the Ministry of Industry and
Trade.
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4. The issuance of the electricity license covering
electricity generation, transmission or distribution must conform to the
approved power development planning.
Chapter VI
RIGHTS AND OBLIGATIONS OF ELECTRIC UTILITIES AND
ELECTRICITY CONSUMERS
Article 39. Rights and obligations of electric
utilities
1. An electricity generation unit has the right to:
a) Generate electricity and carry out other
activities under its electricity license;
b) Establish connection to the national power
system when satisfying the technical conditions and standards;
c) Sell electricity to electricity purchasers under
fixed term agreements and offer spot selling prices of electricity on the
electricity market;
d) Obtain necessary information relating to
electricity generation;
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e) Other rights prescribed by law.
2. An electricity generation unit has the
obligation to:
a) Comply with procedures and technical regulations
on operation of power plants and electrical grids; in the case of a hydropower
plant, comply with regulations on safety of hydropower plants and operation of
reservoirs;
b) Follow operation methods, command and control
orders of the national load dispatch unit;
c) Handle incidents;
d) Where human life and safety of equipment are
threatened, disconnect or reduce the electricity generation if no measure is
taken;
dd) Abide by regulations on electricity market of
this Law and other relevant regulations of law;
e) Report the
readiness for electricity generation, reserve power and adoption of methods for
power plant operation at the request of the national load dispatch unit,
electricity market transaction regulation unit, electricity regulatory agency
or competent authority;
g) Comply with regulations of law on environmental
protection during electricity generation;
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i) Invest in electrical substations, meters and
lines transmitting electricity to meters for the electricity purchaser, unless
otherwise agreed with the electricity transmission unit, electricity
distribution unit or electricity purchaser to safeguard interests of the parties
in compliance with regulations of law.
k) Other obligations prescribed by law.
Article 40. Rights and obligations of
electricity transmission units
1. An electricity transmission unit has the right
to:
a) Transmit electricity under its electricity
license;
b) Set and submit electricity transmission prices
for approval;
c) Obtain necessary information relating to
electricity transmission;
d) Request a competent authority to make amendments
to technical regulations, techno-economic standards and norms in service of
electricity transmission;
d1) Establish
connection to the transmission grid built by economic sectors when satisfying
the technical conditions and criteria;
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2. An electricity transmission unit has the
obligation to:
a) Ensure the transmission grid and electricity
transmission equipment operate in a safe, stable and reliable manner;
b) Provide transmission services and ancillary
services to relevant parties, except where the electrical grid is overloaded as
certified by the electricity regulatory agency;
c) Follow operation methods, command and control
orders of the national load dispatch unit;
d) Handle incidents;
dd) Where human life and safety of equipment are
threatened, disconnect or request the national load dispatch unit to reduce the
electricity supply if there is no alternative;
e) Formulate a plan for investment in transmission
grid development and invest in the transmission grid development to satisfy the
electricity transmission demands under the power development planning; invest
in electricity metering devices and auxiliary equipment, unless otherwise
agreed with the electricity transmission unit, electricity distribution unit or
electricity purchaser to safeguard interests of the parties in compliance with
regulations of law;
g) Report the readiness for electricity
transmission and reserve capacity of electricity transmission equipment
at the request of the national load dispatch unit, electricity market
transaction regulation unit, electricity regulatory agency or competent
authority;
h) Immediately notify the national load dispatch
unit and related organizations and individuals of any fault in the transmission
grid;
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i) Other obligations prescribed by law.
Article 41. Rights and obligations of
electricity distribution units
1. An electricity distribution unit has the right
to:
a) Distribute electricity and carry out other
activities under its electricity license;
b) (annulled)
c) Enter the electricity purchaser’s premises to
operate, maintain, repair or replace electrical equipment of the electricity
distribution unit;
d) Obtain necessary information relating to
electricity distribution;
dd) Request a competent authority to make
amendments to technical regulations, techno-economic standards and norms in
service of electricity distribution;
e) Other rights prescribed by law.
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a) Ensure the transmission grid and electricity
distribution equipment operate in a safe, stable and reliable manner;
b) Provide electricity distribution services for
electricity consumers, electricity retailers and electricity wholesalers in
compliance with technical standards, service quality and safety standards under
the agreement, except where the distribution grid is overloaded as certified by
the electricity regulatory agency;
c) Formulate a plan for investment in distribution
grid development and invest in the distribution grid development to satisfy the
electricity distribution demands under the power development planning; invest
in electricity meters and lines transmitting electricity to meters for the
electricity purchaser, unless otherwise agreed with the electricity purchaser
to safeguard interests of the parties in compliance with regulations of law;
d) Execute the national target program for demand
side management;
dd) Follow operation methods, command and control
orders of the national load dispatch unit;
e) Report the readiness for operation, reserve
capacity of the electrical grid and electricity distribution equipment,
electricity demands in its operating area at the request of the national load
dispatch unit, electricity market transaction regulation unit, electricity
regulatory agency or competent authority;
g) Handle incidents;
h) Where human life and safety of equipment are
threatened, disconnect or reduce the electricity distribution if there is no
alternative;
i) Resume the electricity supply within 2 hours
after detecting the fault or receiving the electricity purchaser’s
notification; in case of failure to do so within the abovementioned time limit,
immediately notify the electricity purchaser of the cause and estimated time of
electricity supply resumption;
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Article 42. Rights and obligations of the
national load dispatch unit
1. The national load dispatch unit has the right
to:
a) Command and control electricity generation
units, electricity transmission units and electricity distribution units to
follow the national power system operation method.
b) Adjust the plan and method for mobilizing
capacity of power plants;
c) Command the handling of emergency or unusual
situations in the national power system; mobilize capacity and electrical energy
of power plants in the national power system; command the operation of
transmission and distribution grids; disconnect or reduce the electricity
supply in case the safe and reliable operation of the national power system is
threatened;
d) Request relevant electric utilities to provide
information on technical specifications, readiness for participation in
operation and load carriage of equipment for electricity generation,
transmission and distribution; consumers’ electricity demands in order to determine
the method for operation of the national power system;
dd) Other rights prescribed by law.
2. The national load dispatch unit has the
obligation to:
a) Ensure safe, stable and economical operation of
the national power system;
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c) Comply with regulations on national load
dispatch on the electricity market, transmission grid and guidelines of the
electricity regulatory agency and electricity market transaction regulation
unit; electricity regulatory agency or competent authority; avoid
discrimination when mobilizing power and electricity of electric utilities in
the national power system;
d) Devise and follow the method for national power
system operation according to the plan and method for mobilizing power of power
plants and ancillary announced by the electricity market transaction regulation
unit;
dd) Notify the power, amount of electricity and
ancillary services mobilized so as for the electricity market transaction
regulation unit to prepare payment invoices;
e) Promptly report to the electricity regulatory
agency and notify the electricity market transaction regulation unit of the
emergency or unusual situations which seriously threaten safe and reliable
operation of the national power system;
g) Other obligations prescribed by law.
Article 43. Rights and obligations of
electricity wholesalers
1. An electricity wholesaler has the right to:
a) Sell electricity wholesale and carry out other
activities under its electricity license;
b) Directly purchase electricity from electricity
generation units under a fixed term agreement or under a spot agreement on the
electricity market;
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d) Use electricity transmission and distribution
services appropriate to each level of the electricity market;
dd) Enter the electricity purchaser’s premises to
check meters, and record their readings and contact consumers;
e) Obtain necessary information relating to
electricity wholesaling;
g) Other rights prescribed by law.
2. An electricity wholesaler has the obligation to:
a) Sell
electricity according to the quantity, quality and prices agreed upon in the
agreement;
b) Abide by regulations on electricity market of
this Law and other relevant regulations of law;
c) Pay compensation when causing damage to the
electricity purchaser or electricity seller according to regulations of law;
d) Provide necessary information relating to the
amount of electricity sold wholesale at the request of the national load
dispatch unit or competent authority;
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Article 44. Rights and obligations of
electricity retailers
1. An electricity retailer has the right to:
a) Retail electricity under its electricity
license;
b) Compete to purchase and sell electricity on the
electricity market;
c) Fix prices on the competitive retail electricity
market as prescribed in clause 1 Article 31 of this Law, except for the case
specified in clause 2 Article 62 of this Law;
d) Use electricity transmission and distribution
services appropriate to each level of the electricity market;
dd) Enter the electricity purchaser’s premises to
check meters and record their readings, and contact consumers;
e) Obtain necessary information relating to
electricity retail;
g) Other rights prescribed by law.
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a) Sell electricity according to the quantity,
quality and prices agreed upon in the agreement;
b) Abide by regulations on electricity market of
this Law and other relevant regulations of law;
c) Formulate and submit to the provincial People's Committee
for approval of the domestic retail electricity prices for rural areas,
mountainous areas and islands where the electricity production and supply under
the market mechanism fail to offset the costs incurred by the electricity
retailer;
d) Openly post at its premises and transaction the
approved electricity price tariff; documents providing guidance on the
procedures for electricity supply, electricity metering, counting, recording of
meter readings, invoice preparation, electricity bill collection and
termination of electricity services; contents of the electricity license and
technical standards applicable to holders of the electricity license covering
electricity retail; documents specifying the time and necessary costs of supply
of electricity to consumers establishing connection to the power system;
regulations on electricity supply disconnection and reduction according to
Article 27 of this Law;
dd) Provide electrical safety instructions for
electricity consumers;
e) Pay compensation when causing damage to the
electricity purchaser or electricity seller according to regulations of law;
g) Provide necessary information relating to the
amount of retailed electricity at the request of the competent authority;
h) Other obligations prescribed by law.
Article 45. Rights and obligations of electrical
consulting service providers
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a) Provide consulting services under its
electricity license;
b) Request a competent authority to make amendments
to technical regulations, techno-economic standards and norms in service of
electrical consulting;
c) Request relevant agencies to provide necessary
information in accordance with regulations of law in favor of the provision of
electrical consulting services;
d) Cooperate
with foreign organizations and individuals in electrical consulting;
dd) Other rights prescribed by law.
2. An electrical consulting service provider has
the obligation to:
a) Apply Vietnam’s technical regulations,
techno-economic standards and norms in relation to electrical planning and
construction consulting. In case a foreign technical regulation or foreign
standard is applied, it must be approved by a competent authority.
b) Apply advanced technologies and calculation
methods in order to formulate an power development planning scheme, and files
and documents on investment in construction of electricity works according to
the requirements for modernization in the field of electricity generation,
electricity transmission and electricity distribution, thereby increasing the
economic efficiency and ensuring safety and high reliability in construction of
electricity works;
c) Take responsibility for quality of the products
and services provided;
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Article 46. Rights and obligations of
electricity consumers
1. An electricity consumer has the right to:
a) Select the electricity seller in the competitive
retail electricity market;
b) Receive adequate amount of power and electricity
of the quality agreed upon in the agreement;
c) Request the
electricity seller to promptly resume the electricity supply after blackouts;
e) Obtain information relating to the sale of
electricity and electrical safety instructions;
dd) Receive compensation for the damage caused by
the electricity seller according to regulations of law;
e) Request the
electricity seller to check quality of electricity services, accuracy of
electricity metering equipment and electricity bill payable;
g) Complain about and denounce violations against
regulations of law on electricity committed by the electricity seller;
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2. An electricity consumer has the obligation to:
a) Pay fully
and on schedule electricity bills and adhere to other agreements in the PPA;
b) Use electricity in a safe, economical and
efficient manner; comply with regulations on demand side management;
c) Promptly disconnect the electricity supply or
reduce the electricity consumption upon receipt of the electricity seller’s
notification in the cases prescribed in Article 27 of this Law;
d) Notify the electricity seller five days in
advance of their need to suspend the PPA or fifteen days in advance of their
need to terminate the PPA;
dd) Promptly notify the electricity seller of the
unusual events that may cause a blackout or threaten safety of people and
property;
e) Prime the electricity seller to check meters and
record their readings, and make contact;
g) Ensure electrical equipment satisfies technical
standards and electrical safety requirements;
h) Pay compensation when causing damage to the
electricity seller according to regulations of law;
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k) Other obligations prescribed by law.
Article 47. Rights and obligations of large
electricity consumers
1. A large electricity consumer has the right to:
a) The rights specified in clause 1 Article 46 of
this Law;
b) Directly purchase electricity from electricity
generation units under a fixed term agreement or under a spot agreement on the
electricity market;
c) Establish direct connection to the national
transmission grid.
2. A large electricity consumer has the obligation
to:
a) The obligations specified in clause 2 Article 46
of this Law;
b) Implement the regime for electricity use at the
request of the national load dispatch unit, measures to satisfy the voltage
standards and ensure electrical safety and other regulations agreed upon in the
PPA and electricity transmission agreement;
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d) Obey operation orders of the national load
dispatch unit.
Chapter VII
PROTECTION OF ELECTRICAL EQUIPMENT, ELECTRICITY WORKS
AND ELECTRICAL SAFETY
Article 48. Responsibility for protection of
electrical equipment, electricity works and electrical safety
1. Organizations and individuals shall comply with
regulations of law on protection of electrical equipment, electricity works and
electrical safety.
2. Organizations and individuals shall promptly
notify electric utilities or competent authorities of electrical unsafety and
violations against regulations on protection of electrical equipment,
electricity works and electrical safety upon the detection thereof.
3. Ministries, ministerial agencies, Governmental
agencies and People's Committees at all levels shall organize and direct the
observance of regulations of law on protection of electrical equipment,
electricity works and electrical safety.
Article 49. Responsibility for cooperation upon
construction, renovation and termination of operation of electricity works and
other works
1. If the construction, renovation or expansion of
public works or other works potentially affects the safety of electrical
equipment, electricity works and electrical safety, the investor must cooperate
with electric utilities for actions.
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3. Where the involved parties fail to reach agreement,
they may request a competent authority to take actions and abide by the
competent authority’s decision.
4. When an electricity work is no longer in
operation, it must be handled and managed for safety as prescribed by the
Government.”
Article 50. High voltage electrical grid safety
corridors
1. A high voltage electrical grid safety
corridor is the delimited space along an electricity transmission line or
around an electrical substation and specified according to each voltage level.
2. High voltage electrical grid safety corridors
include:
a) Safety corridors of overhead transmission lines;
b) Safety corridors of underground electric cables;
c) Safety corridors of transformer substations;
3. The Government shall elaborate on high voltage
electrical grid safety corridors.
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1. The owner or occupier of a house or work which
is permitted to exist within the safety corridor of overhead transmission lines
must not use the roof or any part of such house or work for the purposes which
may encroach upon the safety distance of electrical discharge by voltage
level and must comply with regulations on assurance of overhead transmission
line safety upon repair and renovation of houses and works.
2. Before granting an organization or individual
the license for construction, expansion or renovation of their house or work
within the overhead transmission line safety corridor, the licensing authority
must request the investor in such house or work to reach a written agreement
with the unit in charge of management of high voltage electrical grids on the
measures to assure the safety of the overhead transmission lines and the safety
during the construction, expansion, renovation or use of such house or work.
3. Houses and works where people regularly live or
work are not permitted to exist within safety corridors of overhead
transmission lines of 500 kV or higher, except for specialized works in service
of operation of such electrical grid.
4. All activities which involve the use of
equipment, instruments or vehicles which may encroach upon the safety distance
of electrical discharge by voltage level are banned from being carried out
within safety corridors of overhead transmission lines. In case of emergency
for national defense and security reasons, it is required to reach an agreement
with the unit in charge of management of electrical grids on the necessary
safety assurance measures.
3. The electricity generation prices under
fixed-term PPAs and electricity wholesale shall be approved by electric
utilities but not exceed the approved brackets of electricity generation prices
and wholesale electricity prices.
4. Electricity spot prices shall be fixed at the
time of conducting a transaction on the electricity market and publicized by
the electricity market transaction regulation unit accordance with points e and
h clause 1 Article 21 of this Law.
Chapter V
ELECTRICITY LICENSES
Article 32.
Eligible entities, eligibility requirements and modification of
electricity licenses
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2. An organization or individual shall be granted
an electricity license or have their electricity license modified when fully
satisfying the following eligibility requirements:
a) There is a feasible electricity activity project
or plan;
b) There is an application for issuance or modification
of the electricity license;
c) The manager has managerial capability and
professional qualifications appropriate to the electricity fields.
3. Organizations and individuals applying for
issuance or modification of the electricity license shall pay fees under
regulations of law.
4. The Government shall elaborate eligibility
requirements for issuance of license to each electricity field.
5. The Ministry of Industry and Trade shall
prescribe procedures for issuance, extension and modification of electricity
license for each electricity field and validity period thereof.
Article 33. Applications for issuance or
modification of electricity licenses
1. An application form for issuance or modification
of the electricity license.
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3. Environmental impact assessment report of the
electricity activity project approved by the competent authority.
4. List, profiles and diplomas proving capability
and professional qualifications appropriate of the electric utility manager.
Article 34. Electricity license exemptions
1. Cases in which exemption from the electricity
license is granted:
a) Organizations and individuals that invest in
construction of electricity generation establishments for self-consumption
purpose without selling electricity to any another organizations and
individuals;
b) Organizations and individuals engaging in
electricity generation with an installed power which is lower than the power
prescribed by the Ministry of Industry and Trade;
c) Electricity traders in rural areas, mountainous
areas or on islands purchases electricity with a power not exceeding 50 kVA
from the distribution grid to sell electricity directly to consumers in such
rural areas or mountainous areas or on such islands.
d) National load dispatch units and electricity
market transaction regulation units.
2. Organizations and individuals exempted from
electricity licenses under clause 1 of this Article must follow the procedures
and technical regulations on management and operation and regulations on
electricity prices, technical conditions and safety prescribed in this Law.
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Article 35. Contents of an electricity license
1. Name and address of the electricity license
holder.
2. Business type.
3. Rights and obligations of the electricity
license holder.
4. Scope.
5. Techniques and technologies used to carry out
electricity activities.
6. Validity period of the electricity license.
Article 36. Time limit for issuance or
modification of electricity licenses
Within thirty days from the receipt of a sufficient
application, the competent authority shall issue or modify the electricity
license; in case of rejection of the application, a written explanation shall
be provided.
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An organization or individual shall have their
electricity license revoked in the following cases:
1. Failure to carry out activities six months after
being granted the electricity license;
2. Failure satisfy conditions for conducting
electricity activities as prescribed by this Law;
3. Failure to comply with the regulations set out
in the electricity license;
4. Leasing or lending their electricity license or
modifying it without permission.
Article 38. Power to issue, modify or revoke
electricity licenses
1. The Ministry of Industry and Trade shall issue
electricity licenses to electricity generation units, electricity transmission
units and electricity distribution units establishing a connection to the
national power system, electricity wholesalers, electricity retailers and
electrical consulting service providers.
2. Provincial People's Committees shall grant
electricity licenses to organizations and individuals engaged in small-scale
electricity activities under the guidance of the Ministry of Industry and
Trade.
3. The authority issuing electricity licenses is
entitled to modify or revoke electricity licenses. The modification of an
electricity license shall be appropriate to the capacity of the license holder.
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Chapter VI
RIGHTS AND OBLIGATIONS OF ELECTRIC UTILITIES AND
ELECTRICITY CONSUMERS
Article 39. Rights and obligations of electric
utilities
1. An electricity generation unit has the right to:
a) Generate electricity and carry out other
activities under its electricity license;
b) Establish connection to the national power
system when satisfying the technical conditions and standards;
c) Sell electricity to electricity purchasers under
fixed term agreements and offer spot selling prices of electricity on the
electricity market;
d) Obtain necessary information relating to
electricity generation;
dd) Request a competent authority to make
amendments to technical regulations, techno-economic standards and norms in
service of electricity generation;
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2. An electricity generation unit has the
obligation to:
a) Comply with procedures and technical regulations
on operation of power plants and electrical grids; in the case of a hydropower
plant, comply with regulations on safety of hydropower plants and operation of
reservoirs;
b) Follow operation methods, command and control
orders of the national load dispatch unit;
c) Handle incidents;
d) Where human life and safety of equipment are
threatened, disconnect or reduce the electricity generation if no measure is
taken;
dd) Abide by regulations on electricity market of
this Law and other relevant regulations of law;
e) Report the
readiness for electricity generation, reserve power and adoption of methods for
power plant operation at the request of the national load dispatch unit,
electricity market transaction regulation unit, electricity regulatory agency
or competent authority;
g) Comply with regulations of law on environmental
protection during electricity generation;
h) Immediately notify the national load dispatch
unit and related organizations and individuals of any fault in electricity
generation;
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k) Other obligations prescribed by law.
Article 40. Rights and obligations of
electricity transmission units
1. An electricity transmission unit has the right
to:
a) Transmit electricity under its electricity
license;
b) Set and submit electricity transmission prices
for approval;
c) Obtain necessary information relating to
electricity transmission;
d) Request a competent authority to make amendments
to technical regulations, techno-economic standards and norms in service of
electricity transmission;
d1) Establish
connection to the transmission grid built by economic sectors when satisfying
the technical conditions and criteria;
dd) Other rights prescribed by law.
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a) Ensure the transmission grid and electricity
transmission equipment operate in a safe, stable and reliable manner;
b) Provide transmission services and ancillary
services to relevant parties, except where the electrical grid is overloaded as
certified by the electricity regulatory agency;
c) Follow operation methods, command and control
orders of the national load dispatch unit;
d) Handle incidents;
dd) Where human life and safety of equipment are
threatened, disconnect or request the national load dispatch unit to reduce the
electricity supply if there is no alternative;
e) Formulate a plan for investment in transmission
grid development and invest in the transmission grid development to satisfy the
electricity transmission demands under the power development planning; invest
in electricity metering devices and auxiliary equipment, unless otherwise
agreed with the electricity transmission unit, electricity distribution unit or
electricity purchaser to safeguard interests of the parties in compliance with
regulations of law;
g) Report the readiness for electricity
transmission and reserve capacity of electricity transmission equipment
at the request of the national load dispatch unit, electricity market
transaction regulation unit, electricity regulatory agency or competent
authority;
h) Immediately notify the national load dispatch
unit and related organizations and individuals of any fault in the transmission
grid;
h1) Protect the
right of organizations and individuals conducting electricity activities to establish
connection to the transmission grid they build; in the case of refusing the
connection, follow the regulations laid down by the Minister of Industry and
Trade;
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Article 41. Rights and obligations of
electricity distribution units
1. An electricity distribution unit has the right
to:
a) Distribute electricity and carry out other
activities under its electricity license;
b) (annulled)
c) Enter the electricity purchaser’s premises to
operate, maintain, repair or replace electrical equipment of the electricity
distribution unit;
d) Obtain necessary information relating to
electricity distribution;
dd) Request a competent authority to make
amendments to technical regulations, techno-economic standards and norms in service
of electricity distribution;
e) Other rights prescribed by law.
2. An electricity distribution unit has the
obligation to:
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b) Provide electricity distribution services for
electricity consumers, electricity retailers and electricity wholesalers in
compliance with technical standards, service quality and safety standards under
the agreement, except where the distribution grid is overloaded as certified by
the electricity regulatory agency;
c) Formulate a plan for investment in distribution
grid development and invest in the distribution grid development to satisfy the
electricity distribution demands under the power development planning; invest
in electricity meters and lines transmitting electricity to meters for the
electricity purchaser, unless otherwise agreed with the electricity purchaser
to safeguard interests of the parties in compliance with regulations of law;
d) Execute the national target program for demand
side management;
dd) Follow operation methods, command and control
orders of the national load dispatch unit;
e) Report the readiness for operation, reserve
capacity of the electrical grid and electricity distribution equipment,
electricity demands in its operating area at the request of the national load
dispatch unit, electricity market transaction regulation unit, electricity
regulatory agency or competent authority;
g) Handle incidents;
h) Where human life and safety of equipment are
threatened, disconnect or reduce the electricity distribution if there is no
alternative;
i) Resume the electricity supply within 2 hours
after detecting the fault or receiving the electricity purchaser’s
notification; in case of failure to do so within the abovementioned time limit,
immediately notify the electricity purchaser of the cause and estimated time of
electricity supply resumption;
k) Other obligations prescribed by law.
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1. The national load dispatch unit has the right
to:
a) Command and control electricity generation
units, electricity transmission units and electricity distribution units to
follow the national power system operation method.
b) Adjust the plan and method for mobilizing
capacity of power plants;
c) Command the handling of emergency or unusual
situations in the national power system; mobilize capacity and electrical
energy of power plants in the national power system; command the operation of
transmission and distribution grids; disconnect or reduce the electricity
supply in case the safe and reliable operation of the national power system is
threatened;
d) Request relevant electric utilities to provide
information on technical specifications, readiness for participation in
operation and load carriage of equipment for electricity generation,
transmission and distribution; consumers’ electricity demands in order to
determine the method for operation of the national power system;
dd) Other rights prescribed by law.
2. The national load dispatch unit has the
obligation to:
a) Ensure safe, stable and economical operation of
the national power system;
b) Satisfy standards in national power system
frequency and voltage on the national transmission grid;
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d) Devise and follow the method for national power
system operation according to the plan and method for mobilizing power of power
plants and ancillary announced by the electricity market transaction regulation
unit;
dd) Notify the power, amount of electricity and
ancillary services mobilized so as for the electricity market transaction
regulation unit to prepare payment invoices;
e) Promptly report to the electricity regulatory
agency and notify the electricity market transaction regulation unit of the
emergency or unusual situations which seriously threaten safe and reliable
operation of the national power system;
g) Other obligations prescribed by law.
Article 43. Rights and obligations of
electricity wholesalers
1. An electricity wholesaler has the right to:
a) Sell electricity wholesale and carry out other
activities under its electricity license;
b) Directly purchase electricity from electricity
generation units under a fixed term agreement or under a spot agreement on the
electricity market;
c) Fix wholesale electricity price within the
wholesale electricity price bracket approved to compete to purchase and sell
electricity on the electricity market;
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dd) Enter the electricity purchaser’s premises to
check meters, and record their readings and contact consumers;
e) Obtain necessary information relating to
electricity wholesaling;
g) Other rights prescribed by law.
2. An electricity wholesaler has the obligation to:
a) Sell
electricity according to the quantity, quality and prices agreed upon in the
agreement;
b) Abide by regulations on electricity market of
this Law and other relevant regulations of law;
c) Pay compensation when causing damage to the
electricity purchaser or electricity seller according to regulations of law;
d) Provide necessary information relating to the
amount of electricity sold wholesale at the request of the national load
dispatch unit or competent authority;
dd) Other obligations prescribed by law.
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1. An electricity retailer has the right to:
a) Retail electricity under its electricity
license;
b) Compete to purchase and sell electricity on the
electricity market;
c) Fix prices on the competitive retail electricity
market as prescribed in clause 1 Article 31 of this Law, except for the case
specified in clause 2 Article 62 of this Law;
d) Use electricity transmission and distribution
services appropriate to each level of the electricity market;
dd) Enter the electricity purchaser’s premises to
check meters and record their readings, and contact consumers;
e) Obtain necessary information relating to
electricity retail;
g) Other rights prescribed by law.
2. An electricity retailer has the obligation to:
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b) Abide by regulations on electricity market of
this Law and other relevant regulations of law;
c) Formulate and submit to the provincial People's
Committee for approval of the domestic retail electricity prices for rural
areas, mountainous areas and islands where the electricity production and
supply under the market mechanism fail to offset the costs incurred by the
electricity retailer;
d) Openly post at its premises and transaction the
approved electricity price tariff; documents providing guidance on the
procedures for electricity supply, electricity metering, counting, recording of
meter readings, invoice preparation, electricity bill collection and
termination of electricity services; contents of the electricity license and technical
standards applicable to holders of the electricity license covering electricity
retail; documents specifying the time and necessary costs of supply of
electricity to consumers establishing connection to the power system;
regulations on electricity supply disconnection and reduction according to
Article 27 of this Law;
dd) Provide electrical safety instructions for
electricity consumers;
e) Pay compensation when causing damage to the
electricity purchaser or electricity seller according to regulations of law;
g) Provide necessary information relating to the
amount of retailed electricity at the request of the competent authority;
h) Other obligations prescribed by law.
Article 45. Rights and obligations of electrical
consulting service providers
1. An electrical consulting service provider has
the right to:
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b) Request a competent authority to make amendments
to technical regulations, techno-economic standards and norms in service of
electrical consulting;
c) Request relevant agencies to provide necessary
information in accordance with regulations of law in favor of the provision of
electrical consulting services;
d) Cooperate
with foreign organizations and individuals in electrical consulting;
dd) Other rights prescribed by law.
2. An electrical consulting service provider has
the obligation to:
a) Apply Vietnam’s technical regulations,
techno-economic standards and norms in relation to electrical planning and
construction consulting. In case a foreign technical regulation or foreign
standard is applied, it must be approved by a competent authority.
b) Apply advanced technologies and calculation
methods in order to formulate an power development planning scheme, and files
and documents on investment in construction of electricity works according to
the requirements for modernization in the field of electricity generation,
electricity transmission and electricity distribution, thereby increasing the
economic efficiency and ensuring safety and high reliability in construction of
electricity works;
c) Take responsibility for quality of the products
and services provided;
d) Other obligations prescribed by law.
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1. An electricity consumer has the right to:
a) Select the electricity seller in the competitive
retail electricity market;
b) Receive adequate amount of power and electricity
of the quality agreed upon in the agreement;
c) Request the
electricity seller to promptly resume the electricity supply after blackouts;
e) Obtain information relating to the sale of
electricity and electrical safety instructions;
dd) Receive compensation for the damage caused by
the electricity seller according to regulations of law;
e) Request the
electricity seller to check quality of electricity services, accuracy of
electricity metering equipment and electricity bill payable;
g) Complain about and denounce violations against
regulations of law on electricity committed by the electricity seller;
h) Other rights prescribed by law.
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a) Pay fully
and on schedule electricity bills and adhere to other agreements in the PPA;
b) Use electricity in a safe, economical and
efficient manner; comply with regulations on demand side management;
c) Promptly disconnect the electricity supply or
reduce the electricity consumption upon receipt of the electricity seller’s
notification in the cases prescribed in Article 27 of this Law;
d) Notify the electricity seller five days in
advance of their need to suspend the PPA or fifteen days in advance of their
need to terminate the PPA;
dd) Promptly notify the electricity seller of the
unusual events that may cause a blackout or threaten safety of people and
property;
e) Prime the electricity seller to check meters and
record their readings, and make contact;
g) Ensure electrical equipment satisfies technical
standards and electrical safety requirements;
h) Pay compensation when causing damage to the
electricity seller according to regulations of law;
i) Take responsibility for investing in
transmission lines connecting meters to consumers;
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Article 47. Rights and obligations of large
electricity consumers
1. A large electricity consumer has the right to:
a) The rights specified in clause 1 Article 46 of
this Law;
b) Directly purchase electricity from electricity
generation units under a fixed term agreement or under a spot agreement on the
electricity market;
c) Establish direct connection to the national
transmission grid.
2. A large electricity consumer has the obligation
to:
a) The obligations specified in clause 2 Article 46
of this Law;
b) Implement the regime for electricity use at the
request of the national load dispatch unit, measures to satisfy the voltage
standards and ensure electrical safety and other regulations agreed upon in the
PPA and electricity transmission agreement;
c) Ensure that electrical equipment and connection
equipment satisfy technical regulations and electrical safety requirements for
connection to the national transmission grid;
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Chapter VII
PROTECTION OF ELECTRICAL EQUIPMENT, ELECTRICITY WORKS
AND ELECTRICAL SAFETY
Article 48. Responsibility for protection of
electrical equipment, electricity works and electrical safety
1. Organizations and individuals shall comply with
regulations of law on protection of electrical equipment, electricity works and
electrical safety.
2. Organizations and individuals shall promptly
notify electric utilities or competent authorities of electrical unsafety and
violations against regulations on protection of electrical equipment,
electricity works and electrical safety upon the detection thereof.
3. Ministries, ministerial agencies, Governmental
agencies and People's Committees at all levels shall organize and direct the
observance of regulations of law on protection of electrical equipment,
electricity works and electrical safety.
Article 49. Responsibility for cooperation upon
construction, renovation and termination of operation of electricity works and
other works
1. If the construction, renovation or expansion of
public works or other works potentially affects the safety of electrical
equipment, electricity works and electrical safety, the investor must cooperate
with electric utilities for actions.
2. If the repair, renovation, construction and
installation of electrical equipment and electricity works potentially affect
public works or other works, the electric utility must cooperate with
organizations and individuals for actions.
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4. When an electricity work is no longer in
operation, it must be handled and managed for safety as prescribed by the
Government.”
Article 50. High voltage electrical grid safety
corridors
1. A high voltage electrical grid safety
corridor is the delimited space along an electricity transmission line or
around an electrical substation and specified according to each voltage level.
2. High voltage electrical grid safety corridors
include:
a) Safety corridors of overhead transmission lines;
b) Safety corridors of underground electric cables;
c) Safety corridors of transformer substations;
3. The Government shall elaborate on high voltage
electrical grid safety corridors.
Article 51. Protection of safety corridors of
overhead transmission line
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2. Before granting an organization or individual
the license for construction, expansion or renovation of their house or work
within the overhead transmission line safety corridor, the licensing authority
must request the investor in such house or work to reach a written agreement
with the unit in charge of management of high voltage electrical grids on the
measures to assure the safety of the overhead transmission lines and the safety
during the construction, expansion, renovation or use of such house or work.
3. Houses and works where people regularly live or
work are not permitted to exist within safety corridors of overhead
transmission lines of 500 kV or higher, except for specialized works in service
of operation of such electrical grid.
4. All activities which involve the use of
equipment, instruments or vehicles which may encroach upon the safety distance
of electrical discharge by voltage level are banned from being carried out
within safety corridors of overhead transmission lines. In case of emergency
for national defense and security reasons, it is required to reach an agreement
with the unit in charge of management of electrical grids on the necessary
safety assurance measures.
5. At the intersection
between an overhead transmission line and a road or railway, the minimum height
of the transmission line at the lowest point of the line in the maximum
deflection is 4.5 meters plus the safety distance of electrical discharge by
voltage level.
Where the highest point of the means of transport
is more than 4.5 meters in height, its owner must contact the unit in charge of
management of electrical grids means for adoption of necessary safety measures.
5a. At the intersection between an overhead
transmission line and a road or railway, the vertical distance from the lowest
point of the road surface to the lowest point of the power line running above
the road must not be less than the road’s clearance height plus the safety
distance of electrical discharge by voltage level.
Where the highest point of the means of transport
is of a height greater than the distance specified in this clause, its owner
must contact the unit in charge of management of electrical grids for adoption
of necessary safety measures.
6. At the intersections between an overhead
transmission line and a railway reserved for electric trams, the minimum height
of the transmission line at the lowest point of the line in the maximum
deflection is 7.5 meters plus the safety distance of electrical discharge by
voltage level.
7. At the intersections between an overhead
transmission line and inland waterway, the minimum height of the transmission
line at the lowest point of the line in the maximum deflection equals the
overhead clearance height according to technical class of the inland
waterway plus the safety distance of electrical discharge by voltage
level. The height of the waterway vehicle traveling through the intersections
between a transmission line and inland waterway must not exceed overhead
clearance height according to technical class of such inland waterway.
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8. If the activities carried out on land or
underground near or within the overhead transmission line safety corridor
potentially affect the normal operation of the transmission lines or threaten to
cause electrical incidents or accidents, the unit carrying out such activities
must agree with the unit in charge of management of electrical grids about
necessary safety assurance measures.
Article 52. Assurance of safety of underground
electrical cables
1. It is forbidden to dig holes, load goods, drive
piles, plant trees, build houses and other works, anchor vessels within safety
corridors of underground electrical cables.
2. It is forbidden to discharge water and
substances causing corrosion on electrical cables and equipment into safety
corridors of underground electrical cables.
3. In case of discharging water and other
substances outside safety corridors of underground electrical cables which may
infiltrate, corrode and damage cables, the owners or managers/users of houses
and works from which such water or substances are discharged shall treat them
so as not to affect the cables.
4. When constructing works on land or dredging
river and lake beds within safety corridors of underground electrical cables,
the construction unit must notify the unit in charge of management of elctrical
grids at least ten days in advance and apply measures to assure the safety of
underground electric cables.
Article 53. Assurance of safety of electrical
substations
1. It is not permitted to build houses and works or
plant trees with a height of more than 2 meters within safety corridors of
electrical substations; not permitted to encroach upon entrances to electrical
substations.
2. Houses and works built near safety corridors of
electrical substations must not damage any part of the stations.
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1. Power plants and power stations must be strictly
protected and surrounded by protection walls, electric safety and fire signs;
unauthorized persons are not permitted to enter power plants and power
stations.
Reservoirs, dams and auxiliary works in service of
hydropower plants must be built, managed and protected to ensure safe operation
of power plants and downstream areas. All acts of encroaching upon dams and
lake beds and polluting water sources which affect the capacity for electricity
generation are strictly prohibited.
2. Electrical equipment rooms must be safely
protected against fire and explosion; have danger signs, exit signs, adequate
lighting system, air cooling system and air ventilation louvers must be
net-protected to prevent the entry of animals and minimize adverse impacts on
environment.
3. Depending on technical specifications and
protection requirements specific to each type of electrical equipment, it is
requied to put up protection nets, partitions and safety signs; the safety
distance from the protection nets or partitions to the live parts of equipment
must not be shorter than the prescribed distance and measures must be taken to
minimize adverse environmental impacts on operation of electrical equipment.
4. In areas where inflammable substances
exist, the power system must be designed and installed according regulations on
fire and explosion prevention and fighting; only specialized equipment and
tools for fire and explosion preventing and fighting shall be used.
5. An electrical cable system in a power plant or
power station must comply with the following safety regulations:
a) Electrical cables must be arranged by their
type, technical specifications and voltage level and placed on shelves.
Electric cables running through areas affected by high temperature must be
heat-insulated and placed in protection tubes;
b) Cable tunnels and ditches must be tightly
covered with lids, well drained, kept clean and dry. It is not permitted
to let water, oil, chemicals and sundries be accumulated in cable tunnels and
ditches. Cable tunnels must have walls intended for preventing rapid spread of
fires; be equipped with automatic fire alarm system and lighting system using
safe voltage in conformity with technical regulations and technical standards
on electrical safety.
6. Lightning protection and earthing equipment and
systems in power plants, power stations and distribution substations must be
installed according to their design, tested, commissioned and periodically
inspected according to technical regulations, and technical standards on
electrical safety.
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1. Owners of electrical grids shall:
a) Put up electrical safety signs at electrical
substations and utility poles;
b) Paint and place signal lights on tops of poles
with a special height and in special positions in order to safely protect high
voltage electrical grids.
2. At the intersections between overhead high
voltage transmission lines, underground electrical cables and railways, land
and inland waterways, the placement and management of signs and “no overtaking”
signs for means of transport shall comply with the regulations imposed by the
Ministry of Transport. Investors in the subsequently built works must bear the
costs of placement of such signs.
3. When transferring an electrical grid, the
investor in such electrical grid must transfer to the unit in charge of
electrical grid operation all technical documentation, commissioning records,
decision on land allocation or land lease and documents relating to
compensation and land clearance according to regulations of law.
4. The unit in charge of operation of electrical
grids must periodically organize the inspection, technical maintenance and
overhaul of electrical grids, ensuring that the system operates safely
according to; conduct regular checks, detect and prevent violations against
regulations on electrical safety and assurance of safety of high voltage
electrical grids and cooperate in implementation of technical solutions and
optimal operation in order to reduce power loss in the course of electricity
transmission.
5. When repairing or maintaining an electrical
grid, the unit in charge of operation of electrical grids and unit in charge of
repair or maintenance must fully and strictly follow procedures for
implementing safety measures in accordance with technical regulations on
electrical safety.
6. The high voltage transmission line sections
running over the houses and/or works where people permanently live or work must
be supported with steel or concrete poles, and conductors must not have joints
in a pole span, except for the conductors with a cross-section of at least 240
mm2 which may have a joint for one phase and must meet other
standards on assurance of safety of high voltage electrical grids. The unit in
charge of operation of electrical grids must not overload such transmission
lines.
7. Electrical cables running underground or lying
in the structure of other works or running together with communications lines
must maintain a safety distance prescribed by technical regulations on
electrical equipment and other relevant regulations of law.
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Article 56. Safety in connection to national
power system
1. Electricity generation units, electricity
transmission units, distribution generation units and electricity consumers
that meet the connection conditions, technical standards and procedures
provided for by the Ministry of Industry and Trade are entitled to connect
their own power systems to the national power system.
2. Independent electrical grids which satisfy
conditions and technical standards prescribed by the Ministry of Industry and
Trade are entitled to connect their own power systems to the national power
system.
Article 57. Safety in use of electricity for
production
1. Organizations and individuals using electricity
for production must comply with regulations on electrical safety, technical
regulations and technical standards on electrical safety in conformity with
Vietnam standards.
2. Electrical equipment, electrical systems,
lightning protection and earthing systems must be installed according to their
design, tested, commissioned and periodically and extraordinarily inspected
according to technical regulations, and technical standards on electrical
safety. The diagrams of these systems must reflect their actual status and
archived together with inspection records throughout their operation.
3. Internal electrical substations, high voltage
equipment and high voltage transmission lines must be installed and managed
according to technical regulations, and technical standards on electrical
safety.
4. Electrical equipment must conform to “Vietnam
standard - Low-voltage electrical equipment - General requirements for
prevention of electric shock” and “Vietnam standard - Code of Practice of
ground connection and “O” connection of electrical equipment” to prevent
electric shocks.
5. Transmission lines and conductors must be
designed and installed so that production premises are clear and airy, thus
avoiding mechanical or chemical impacts which may cause breakdowns. Metal
structures of factories, machinery and metal tubes must not be used as “neutral
conductors”, except for special cases where separate designs approved by a
competent authority are required.
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7. Electrical equipment used for minerals
exploitation, in electric instruments, mobile electrical equipment, welding
machine, electrolysis and electroplating must conform to related technical
regulations and technical standards on safety.
Article 58. Safety in use of electricity for
domestic purposes and service provision
1. The total power of electrical equipment used in
offices, for domestic purposes and service provision must conform to the design
power; the cross-sections and insulation of conductors must conform to
technical standards.
2. Heat-generating electrical equipment must not be
placed near inflammable items.
3. Electrical equipment must be checked and
maintained according to regulations, satisfy electrical safety technical
standards and not cause danger to users.
4. Electricity users shall inspect safety of their
respective power systems, promptly detect and prevent the risk of electrical
incidents or accidents.
5. Low-voltage electrical grids shall be built only
after their designs are approved.
6. Transmission line branches conducting
electricity to houses ad works must satisfy electrical safety conditions,
ensure aesthetic appearance and not hinder means of transports, ambulances and
fire engines.
7. In three-phase four-wire circuits, circuit
breakers, knife-switches, fuses and other switchgears must not be connected to
neutral conductors.
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Article 59. Using electricity as direct means of
protection
1. Using electricity as a direct means of
protection means the use of electric source with an appropriate voltage for
direct connection with fences, barriers or shields of the protected areas
(hereinafter referred to as “electric fences”) in order to prevent the
infiltration into the protected areas and give alarm signals to persons
protecting such areas.
2. Electricity shall be used as a direct means of
protection only when other protection measures have been applied inefficiently,
and such must be permitted by a competent authority.
3. Electric fences must be designed and installed
so as to avoid all accidental contacts with people and cattle, not to affect
the operation of the power system and not to cause danger to vicinity and
living environment. Danger signs are required to be erected. Electric fence
managers and users must be provided with professional training in electricity.
4. The Minister of Public Security and the Minister
of Defense shall, within their jurisdiction, prescribe areas where electric
fences are permitted for erection.
5. The Minister of Industry and Trade shall
prescribe standards and conditions for using electricity as direct means of
protection.
Article 59a. Handling of electrical incidents
1. In case an electrical incident occurs, the
electric utilities shall, within their jurisdiction, handle it as prescribed by
law.
2. In case of catastrophic electrical failure, the
declaration of state of emergency and application of response measures must
comply with regulations of law on state of emergency.
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ELECTRICITY IN SERVICE OF RURAL AREAS, MOUNTAINOUS
AREAS, BORDER AREAS AND ON ISLANDS
Article 60. Policies on development of
electricity in rural areas, mountainous areas, border areas and on islands
1. Attract all resources for investment in
construction of electricity infrastructures, accelerate the process of
electrification in rural areas, mountainous areas, border areas and on islands.
2. Prime the people in remote and isolated areas,
ethnic minority areas and extremely disadvantaged areas to use electricity for
production and activities of daily living.
3. Organizations and individuals in all economic
sectors involved in electricity generation, distribution and trading in rural
areas, mountainous areas, border areas and on islands which are disadvantaged
and extremely disadvantaged are entitled to investment and financial incentives
and other incentives under regulations of law on investment promotion.
4. Organizations and individuals are encouraged to
invest in construction of electrical grids or power stations using local
energy, new energy and renewable energy to supply electricity to rural areas,
mountainous areas, border areas and islands.
5. Prioritize the adequate and timely supply of
electricity to water pumping stations in service of irrigation and prevention
of waterlogging and drought.
Article 61. Investment in development of
electricity in rural areas, mountainous areas, border areas, and on islands
1. The State shall adopt policies to assist
electric utilities operating in areas where electricity investment and
electricity-activities bring no economic efficiency.
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3. The State's assistance policies consist of:
a) Assistance in investment capital;
b) Assistance in investment loan interest rates;
c) Tax incentives.
The Ministry of Finance shall preside over and
cooperate with the Ministry of Industry and Trade in providing guidelines for
implementation of assistance policies.
4. People's Committees at all levels shall have to
prime organizations and individuals to invest in building, renovating or
upgrading electrical grids in rural areas, mountainous areas, border areas, and
on islands.
Article 62. Electricity selling prices in rural
areas, mountainous areas, border areas, and on islands
1. Electricity selling prices in rural areas,
mountainous areas, border areas, and on islands which are connected to the
national power grid shall comply with the regulations laid down in Article 31
of this Law.
2. Electricity selling prices in rural areas,
mountainous areas, border areas, and on islands which have yet to be connected
to the national power grid shall comply with following regulations:
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b) Other
electricity prices shall be set by relevant electric utilities and decided by
provincial People's Committees in a manner that fully covers costs and
generates reasonable profits for the electric utilities by conferring the
electric utilities.
Article 63. Payment of irrigation electricity
bills
1. The deadline for payment of bills for
electricity used by hydraulic structure operating enterprises for irrigation
and water drainage for rice, vegetables, subsidiary food crops, industrial
plants intercropped with rice, vegetables or subsidiary food plants shall be
agreed upon by electricity purchasers and sellers but shall not exceed one
hundred and twenty days from the date of receiving the electricity bills.
2. The State shall provide funding for payment of
the excess bills for electricity used for waterlogging and drought prevention
according to regulations of law on operation and protection of hydraulic
structures.
3. The Ministry of Finance shall preside over and
cooperate with the Ministry of Agriculture and Rural Development in providing
guidelines for implementing the regulations set out in this Article.
Article 64. Electrical safety in rural areas,
mountainous areas, border areas, and on islands
1. Organizations and individuals conducting
electricity activities and/or using electricity in rural areas, mountainous
areas, border areas, and on islands shall strictly comply with technical
regulations and technical standards on electrical safety.
2. Any person carrying out electrical operation and
repair in rural areas, mountainous areas, border areas, and on islands shall
satisfy the following standards:
a) He/she is aged 18 or older;
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c) He/she has a certificate or diploma in
electrical engineering conferred by a vocational training school;
d) He/she has a safety card issued by a provincial
authority in charge of electricity activities and electricity use.
3. Only electric utilities operating electrical
grids may organize the repair and installation of electrical equipment and
electricity supply systems in areas under their respective management.
4. The Ministry of Industry and Trade shall
prescribe technical standards on electrical safety, issue electrical safety
cards and provide guidance on electrical safety measures in rural areas,
mountainous areas, border areas, and on islands.
Chapter IX
STATE MANAGEMENT OF ELECTRICITY ACTIVITIES AND
ELECTRICITY USE
Article 65. Responsibility for state management
of electricity activities and electricity use
1. The Government shall perform uniform management
of electricity activities and electricity use nationwide.
2. The Ministry of Industry and Trade shall be
responsible to the Government for state management of electricity activities
and electricity use.
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4. People’s Committees at all levels shall, within
their jurisdiction, perform state management of electricity activities and
electricity use in their provinces.
Article 66. Regulation of electricity activities
1. Regulation of electricity activities shall
include:
a) Formulating regulations on operation of
competitive electricity market and providing guidelines for implementation
thereof;
b) Considering and proposing solutions for
adjusting electricity demand and supply and managing the process of electricity
demand and supply balance;
c) Issuing, modifying and revoking electricity
licenses as prescribed in clauses 1 and 3 Article 38 of this Law;
d) Providing guidance on conditions and procedures
for electricity supply suspension and disconnection, electricity consumption
reduction, conditions and procedures for connection to the national power
system;
dd) Establishing the average retail electricity
price bracket, price adjustment mechanism and electricity retail tariff; organizing
implementation of electricity price mechanisms and policies;
e) (annulled)
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h) Monitoring the implementation of plans and
projects on investment in development of electricity sources, transmission
grids and distribution grids in order to ensure the development conforms to the
approved power development planning;
i) Determining the
power ratio and electricity ratio between fixed-term agreement and spot
agreement according to level of the electricity market;
k) Inspecting and supervising the adjustment and
application of electricity prices;
l) Settling complaints and disputes on the
electricity market;
m) Inspecting fixed-term PPAs between electricity
generation units and electricity purchasers and fixed-term wholesale power
agreements as prescribed by the Government;
n) Inspecting and imposing penalties for
violations against regulations on electricity as prescribed by law.
2. The Prime Minister shall elaborate on
organizational structure, functions, tasks and powers of the electricity
regulatory agency.
Article 67. Electricity inspectorate
Electricity inspectorate shall comply with
regulations of law on inspection.
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IMPLEMENTATION CLAUSE
Article 68. Regulations applicable to
organizations and individuals conducting electricity activities
1. Validity period of the written contracts or
written agreements related to electricity activities which have existed before
the effective date of this Law remains unchanged.
2. After the effective date of this Law, the
amendments to the contracts or agreements prescribed in clause 1 of this
Article must made in compliance with the regulations enshrined in this Law.
3. The Government shall prescribe the conditions
and time so as for organizations and individuals conducting electricity
activities to adjust their organizational structures and activities in
accordance with regulations of this Law.
Article 69. Effect
This Law comes into force from July 01, 2005.
Article 70. Guidelines for implementation
The Government shall elaborate and provide
guidelines for implementation of this Law./.
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CERTIFIED BY
CHAIRMAN
Bui Van Cuong