Proposal document for negotiation of power purchase agreements for new power plants from June 1, 2024 in Vietnam

Proposal document for negotiation of power purchase agreements for new power plants from June 1, 2024 in Vietnam

The documents for proposing negotiations for power purchase agreements for new power plants include but are not limited to the following documents:

- Draft power purchase agreement in accordance with the provisions of Appendix III issued together with Circular 07/2024/TT-BCT;

- Approval of investment policy or Decision on investment policy or Investment registration certificate of the project;

- Investment decision for the construction of works, including the explanatory statement and appraisal report of the project investment from the independent consultant, and the accompanying documents;

- Initial total investment approval decision or adjusted total investment decision of the project valid at the time of electricity price negotiation, and key contents in the basic design of the investment project related to power purchase agreement negotiations, basic design appraisal report, and the official notice of basic design appraisal results, and total investment appraisal by the state management agency on construction according to regulations (if any);

- Agreement on connecting the power plant to the national grid system, including the connection plan of the power plant;

- Loan agreements or documents between the Investor and the lending parties, the plan or actual disbursement of the loan sources;

- Fuel supply contracts for the power plant, clearly stipulating the fuel price for power generation, fuel transportation price, LNG storage price, regasification and gas distribution costs, and associated surcharges, delivery point, and fuel supply term;

- Documents calculating the capacity and energy losses of the transformer, the transmission line from the step-up transformer to the connection point with the national grid system, and documents calculating the auxiliary power consumption in the power plant;

- Documents calculating the specific fuel consumption rate for thermal power plants;

- Power price plan determined according to the methods specified in Section 1 and Section 3, Chapter II of Circular 07/2024/TT-BCT;

- Other related documents.

Refer to Circular 07/2024/TT-BCT effective from June 1, 2024.

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