Procedures for approving the policy on buying and selling electricity with foreign countries in Vietnam according to Circular 03/2025

Procedures for approving the policy on buying and selling electricity with foreign countries in Vietnam according to Circular 03/2025​ (Image from the Internet)

On February 01, 2025, the Minister of Industry and Trade issued Circular 03/2025/TT-BCT regulating the dossier, procedures, and process for electricity trading with foreign countries.

Procedures for approving the policy on buying and selling electricity with foreign countries in Vietnam according to Circular 03/2025

The procedure for approving the policy on electricity trading with foreign countries is implemented as stipulated in Clause 3, Article 5 of Circular 03/2025/TT-BCT as follows:

- Within 5 working days from the date of receipt of the dossier, the Ministry of Industry and Trade is responsible for responding in writing, clearly stating the completeness and validity of the dossier as specified in Article 4 of Circular 03/2025/TT-BCT;

- Within 10 working days from the date of receipt of a complete and valid dossier as specified in Article 4 of Circular 03/2025/TT-BCT, the Ministry of Industry and Trade is responsible for organizing appraisal and obtaining written opinions on the plan for electricity trading with foreign countries for electricity import and export projects from the following agencies and units:

+ Ministries, sectors, and local authorities involved in electricity import and export projects connected to the power grid at a voltage level of 220 kV or higher;

+ Local authorities and power units involved in electricity import and export projects connected to the power grid at a voltage level below 220 kV.

- Request Vietnam Electricity Group and other organizations and individuals in Vietnam desiring to engage in electricity trading with foreign countries to explain appraisal opinions or organize the Appraisal Authority to review and evaluate the electricity import and export project on-site if necessary.

- Within 15 working days from the completion of obtaining written opinions from relevant ministries, sectors, local authorities, and power units on the plan for electricity trading with foreign countries, the Minister of Industry and Trade reviews and approves the policy for electricity import and export projects.

07 common requirements in electricity trading with foreign countries in Vietnam

The common requirements in electricity trading with foreign countries are specifically stipulated in Article 3 of Circular 03/2025/TT-BCT including:

- Electricity trading with foreign countries for each electricity import and export project must be approved in principle before implementation.

- The plan for electricity trading with foreign countries for electricity import and export projects must align with the approved Foreign Electricity Trading Strategy in Vietnam's Electricity Industry Development Strategy, electricity development planning, and the approved implementation plan.

- If the plan for electricity trading with foreign countries for electricity import and export projects aligns with the Foreign Electricity Trading Strategy, electricity development planning, but the grid connection plan does not occur on Vietnam's territory or does occur but is not updated in the implementation plan, the Minister of Industry and Trade will approve the electricity import and export policy for the project and update the grid connection plan into the implementation plan.

- If the plan for electricity trading with foreign countries for electricity import and export projects does not align with the Foreign Electricity Trading Strategy, electricity development planning, and the implementation plan, the electricity import and export project needs to undergo procedures for supplementing and adjusting the Foreign Electricity Trading Strategy, electricity development planning, and the implementation plan before obtaining policy approval for the project.

- If electricity trading with foreign countries involves using a power grid managed by another power grid management unit, the organization or individual must reach a written agreement with this grid management unit.

- Vietnam Electricity Group is the entity that performs electricity trading with foreign countries through the national power system.

- Other organizations or individuals in Vietnam desiring to engage in electricity trading with foreign countries do so without going through the national power system.

More details can be found in Circular 03/2025/TT-BCT effective from February 01, 2025.

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