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Rooftop solar sales surplus limited to 10 percent of capacity

Deputy Prime Minister Tran Hong Ha ordered the Ministry of Industry and Trade (MoIT) on July 10 to present a plan that would allow households to sell surplus solar power generated from their rooftops, up to 10 percent of their total capacity.

In its latest draft, presented in June, on self-produced and self-consumed rooftop solar, MoIT reiterated its position that this type of energy should be generated solely for on-site use, and not sold to other organisations or individuals, or fed into the national grid. Off-grid rooftop solar development will not be restricted, but on-grid systems cannot exceed the capacity allocated under the Energy Development Plan VIII (PDP8) (2,600 MW).

Rooftop solar sales surplus limited to 10 percent of capacity

To promote clean energy sources, DPM Ha has directed MoIT to pilot a scheme to allow the sale of unused surplus power to the national grid. However, the surplus sold cannot exceed 10 per cent of the total capacity.

The Ministry of Finance and MoIT have been tasked with formulating price regulations based on the principle of “harmonized benefits and shared risks.” The state-owned utility company EVN will be responsible for purchasing excess electricity, ensuring system security.

Ha also stressed the urgency of these tasks and directed MoIT to submit the proposal by July 11 so that it can be issued by July 12.

There are currently about 103,000 rooftop solar projects nationwide, with a combined capacity exceeding 9,500 MW. According to PDP8, this source is expected to grow by an additional 2,600 MW by 2030, or reach 50 percent of government and residential buildings.

MoIT noted that the policy is not conducive to trading solar power due to its volatility and complete dependence on weather conditions. Moreover, to buy the surplus power, the state would incur significant investment costs in storage and transmission systems, as well as operational and maintenance costs.

The ministry said the government is encouraging the installation of self-produced and self-consumed rooftop solar systems to reduce financial burdens, rather than for commercial purposes, with preferential treatment as before. According to MoIT, allowing organisations and individuals to feed surplus energy into the grid should be considered a privilege.

However, many experts have suggested allowing households with solar installations to sell surplus energy to the grid, but limits on surplus should be introduced to prevent abuse of this policy, especially in industrial zones.

In addition to the solar trading pilot programme, Ha also tasked MoIT and other relevant authorities with developing rules to prevent corruption, negative practices and waste of resources.

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By Celine Luu