Vietnam to amend regulations on retail price of electricity for tenants as of June 15, 2023

Amendments to regulations on retail price of electricity for tenants as of June 15, 2023

Circular No. 09/2023/TT-BCT has amended Point a and Point c Clause 4 Article 10 of Circular No. 16/2014/TT-BCT (amended by Circular No. 25/2018/TT-BCT) as follows:

- At each house for rent, the seller shall only make one PPA (Power Purchase Agreement). House owners shall provide information on residence at the electricity use locations of tenants.

- In case the tenant is a student or worker (not a household):

+ If the tenant has a rental agreement of 12 months or more and has registered for temporary residence or permanent residence (determined according to the information on residence at the electricity use location), the house owner or a representative of the tenant shall conclude the PPA (enclosed with a payment commitment by the house owner);

+ In case the renting period is less than 12 months and the house owner has not adequately declared the number of electricity users, the level 3 retail price of electricity shall apply: from 101-200 kWh for the entire amount of electricity measured at the meter.

If the house owner has adequately declared the number of electricity users, the seller shall set a quota for the house owner based on the information on residence at the electricity use location. Every 4 occupants shall be considered as a household for determination of the quota for application of the retail price of electricity, specifically:  

++ 1 occupant is equivalent to 1/4 of the quota;

++ 2 occupants are equivalent to 1/2 of the quota;

++ 3 occupants are equivalent to 3/4 of the quota;

++ 4 occupants are equivalent to the whole quota.  

When there are changes to the number of tenants, the house owner shall notify the seller of the changes for adjustments to the quota for determining the electricity price.

The seller may request the buyer to provide information on residence at the electricity use location as the basis for determining the number of occupants for quota determination when calculating the electricity bill.

(Circular No. 09/2023/TT-BCT has replaced the requirement for temporary residence books or documents confirming temporary residence with  the requirement for information on residence at the electricity use location of the tenant.)

See more details in Circular No. 09/2023/TT-BCT of the Ministry of Finance of Vietnam, effective as of June 15, 2023.

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE