Contents of the explanation of the annual average price of Vietnam Electricity

This is a notable content of Circular No. 12/2014/TT-BCT of the Ministry of Finance of Vietnam on the calculation of the average retail price of electricity, issued on March 31, 2014.

Nội dung Báo cáo giải trình phương án giá bán điện hàng năm phải có , Thông tư 12/2014/TT-BCT

 

Specifically, according to the Appendix on the explanation of the average price of Vietnam Electricity enclosed with Circular No. 12/2014/TT-BCT of the Ministry of Finance of Vietnam, the explanation of the annual average price of Vietnam Electricity shall have the following contents:

1. Analysis and assessment of the electricity generation and sale in year N-2 and estimate figures in year N-1.

2. Calculation and explanation average price in year N, which include: Total cost of the generation and business of electricity in year N which is determined according to the method prescribed in this Circular; Estimated monthly electricity generation and electricity sold to the system of each power plan in year N; the energy loss at the phases of transmittal and electric power distribution – retail.

3. Input parameters used for determining average price in year N which include:

- Foreign exchange rates which are determined according to the daily average foreign exchange rates from the nearest adjustment day to the day on which the electricity price is set.

- Price of the fuels used for electricity generation in year N. With regard to the fuels of which the prices are adjusted according to the market price, the prices of the fuels used for electricity generation shall be the daily average price of the fuels from the latest date of the adjustment to the date of the proposal of the electricity price. In case the prices of the fuels used for electricity generation have been set by the competent State agencies, those prices shall be used.

- The electricity price of each power plant shall be the contractual price in the Power purchase agreements.

- The analysis and explanation of the expenditure limits and the unit price which are used for calculating the estimated expenditure in year N.

4. Explanation of the costs of the production and business of electricity which are not yet included in the electricity price being used and the remaining amount that shall be included in the electricity price in year N.

5. Electricity price table in year N applied to groups of customers, analysis of the impact of new electricity price on each group of customers.

View more details at Circular No. 12/2014/TT-BCT of the Ministry of Finance of Vietnam, issued on March 31, 2014.

Le Vy

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