04 cases in which the electricity seller is permitted to suspend electricity supply when the organization violates legal regulations in Vietnam

04 cases in which the electricity seller is permitted to suspend electricity supply when the organization violates legal regulations in Vietnam​ (Image from Internet)

On February 1, 2025, the Minister of Industry and Trade of Vietnam promulgated Circular 04/2025/TT-BCT stipulating the procedures for suspending or reducing electricity supply.

04 cases in which the electricity seller is permitted to suspend electricity supply when the organization violates legal regulations in Vietnam

Pursuant to Article 7 of Circular 04/2025/TT-BCT, the electricity seller is authorized to suspend electricity supply when organizations or individuals violate legal regulations:

- The electricity buyer does not pay for electricity as stipulated in clause 4, Article 48 of the Electricity Law 2024 regarding payment terms in the electricity purchase agreement for electricity users, specifically:

+ The electricity buyer fails to pay for electricity as agreed in the contract and has been notified about the payment twice by the electricity seller, with a minimum interval of 3 days between notifications, the seller is entitled to suspend the electricity supply. The time at which the seller can suspend supply is mutually agreed upon by both parties and specified in the electricity purchase agreement, but cannot exceed 10 days from the first notification by the seller.

+ The electricity seller must inform the electricity buyer at least 24 hours before suspending supply and is not liable for damages caused by the suspension. Once the buyer completes the payment and fulfills all procedural requirements to request the restoration of electricity supply under the electricity law, the seller must restore electricity in accordance with legal regulations.

- The electricity buyer engages in actions violating clauses 2, 4, 7, 8, 9, and clause 11 of Article 9 of the Electricity Law 2024 (Prohibited activities related to electricity operations and usage);

+ Theft of electricity.

+ Destruction of electrical equipment, electric works.

+ Violation of regulations regarding protection of electrical works, electrical safety and dam, hydropower reservoir safety.

+ Performing activities such as planting trees, drilling, excavating, constructing works, mining minerals, docking ships, discharging wastewater, corrosive substances, kite flying, releasing flying objects and other activities infringing upon the legal corridor of the protection of safety for electrical works.

+ Using electricity as a direct means of protection, except as specified in clause 4, Article 69 of the Electricity Law 2024.

+ Obstructing competent authorities, organizations, or individuals from repairing, upgrading, solving incidents related to electric works, inspecting or supervising electrical activities and usage.

- As requested by a competent state authority to enforce coercive measures for suspending electricity supply under the Government's regulations on administrative penalties in the electricity field.

- As requested by a competent state authority in cases where organizations or individuals violate other legal regulations and require electricity suspension measures under the pertinent law.

More details can be found in Circular 04/2025/TT-BCT which takes effect from February 01, 2025. The Circular 22/2020/TT-BCT from the Minister of Industry and Trade stipulating conditions and procedures for suspending or reducing electricity levels, the Circular 34/2011/TT-BCT about the planning and implementation of electricity supply during national electricity shortage, and the Circular 23/2020/TT-BCT specifying the method for determining and the cost level for restoration of electricity supply cease to be effective from the date Circular 04/2025/TT-BCT comes into effect.

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