Circular No. 06/2021/TT-BCT amending the Circular 16/2014/TT-BCT on electricity sale prices

CIRCULAR

Amending and supplementing a number of articles of the Minister of Industry and Trade’s Circular No. 16/2014/TT-BCT dated May 29, 2014, prescribing the implementation of electricity sale prices

________________

Pursuant to the Government’s Decree No. 98/2017/ND-CP dated August 18, 2017, defining the functions, tasks, powers and organizational structure of the Ministry of Industry and Trade;

Pursuant to the Electricity Law dated December 03, 2004 and the Law Amending and Supplementing a Number of Articles of the Electricity Law dated November 20, 2012;

Pursuant to the Government’s Decree No. 137/2013/ND-CP dated October 21, 2013, detailing a number of articles of the Electricity Law and the Law Amending and Supplementing a Number of Articles of the Electricity Law;

Pursuant to the Prime Minister’s Decision No. 28/2014/QD-TTg of April 7, 2014, prescribing the structure of electricity retail tariff;

Pursuant to the Prime Minister’s Decision No. 24/2017/QD-TTg of June 30, 2017, prescribing the mechanism for adjustment of the average retail electricity price;

At the proposal of the Director of the Electricity Regulatory Authority of Vietnam,

The Minister of Industry and Trade promulgates the Circular amending and supplementing a number of articles of the Minister of Industry and Trade’s Circular No. 16/2014/TT-BCT of May 29, 2014, prescribing the implementation of electricity sale prices.

Article 1. To amend and supplement a number of articles of the Minister of Industry and Trade’s Circular No. 16/2014/TT-BCT of May 29, 2014, prescribing the implementation of electricity sale prices

1. To amend Point b, Clause 1, Article 4 as follows:

“b) Electricity retailing units at industrial parks, industrial clusters”

2. To amend Point b, Clause 2, Article 5 as follows:

“b) Electricity retailing units at industrial parks, industrial clusters”

3. To replace the phrase “transformers and electricity output” in Clause 2, Article 5 with the phrase “transformers or electricity output”.

4. To amend the title of Clause 1, Article 6 as follows:

“1. The electricity retailing units in rural areas, dormitories, residential clusters, commercial - service - living complexes, markets, industrial parks, industrial clusters must fully satisfy the following conditions:”

5. To amend Point b, Clause 2, Article 9 as follows:

“b) Electricity used for general and community domestic purposes for residents in condominium quarters, urban areas; pumping water to serve daily-life in dormitories, residential areas.

6. To amend Article 11 as follows:

“Article 11. Electricity sale price in industrial parks where electricity is purchased from the national electric system simultaneously with other electric sources

The electricity retailing units in industrial parks where electricity is purchased from the national electric system combining simultaneously with other electric sources (on-spot power generation plants; purchasing electricity from on-site electricity sources such as wind electricity, solar electricity, biomass electricity) to retail electricity to their customers in the industrial parks shall be responsible for developing the scheme of electricity sale price for customers in the area for submission to the Department of Industry and Trade for verification, then submit to the provincial-level People’s Committee for annual approval.”

7. To supplement Clause 6, Article 14 as follows:

 “6. In case the commercial - service - living complex has customers using electricity for hospitals, nurseries, kindergarten, and high school, public lighting, administrative agencies, non-business units, the electricity wholesaling prices at the summation meter for the part of electricity output used by these objects shall not be subject to the three-tariff form and are prescribed as follows:

a) To apply the electricity sale prices for hospitals, nurseries, kindergarten, and high school, public lighting, administrative agencies, non-business units in accordance with Article 9 of this Circular;

b) The electricity retailing units shall be responsible for coordinating with the electricity wholesaling to install three-tariff meters to monitor the actual electricity output used and to record of meter index for customers on the same day as the index recording of summation meter to ensure accurate calculation of electricity output for the purposes of electricity use at the summation meter.” 

8. To amend Article 15 as follows:

 “Article 15. Electricity wholesaling price for industrial parks, industrial clusters

1. The electricity wholesaling prices at 110 kV bus bar of 110 kV substation of industrial parks, industrial clusters shall apply in case the electricity retailing units purchase electricity wholesale at the 110 kV bus bar of industrial parks, industrial clusters (110 kV substation invested by the purchaser) for retailing to customers using electricity in the industrial parks, industrial clusters.  The electricity wholesaling prices applied to each 110 kV substation shall be determined by reference to the total capacity of 110 kV transformers installed in industrial parks, industrial clusters.

2. The electricity wholesaling prices at medium voltage bus bar of 110 kV substation or the shunt of medium voltage line into industrial parks, industrial clusters shall be applied in case the electricity retailing units purchase electricity wholesale for retailing to customers using electricity in the industrial parks, industrial clusters on the medium voltage side.

3. The electricity wholesaling prices sold by the electricity company to the electricity retailing units in the medium voltage of the low voltage substations shall equal the electricity retailing prices applicable for production sectors at the corresponding medium voltage level.

4. The electricity wholesaling prices at 110 kV bus bar of 220 kV substation or the shunt of 110 kV line into industrial parks, industrial clusters shall be applied equally to the electricity retailing prices at the 110 kV level or higher in case the electricity retailing units purchase electricity wholesale for retailing to customers using electricity in the industrial parks, industrial clusters at the voltage level of 110 kV.”

9. To amend Clause 1, Article 16 and add Clause 3, Article 16 as follows:

“1. Electricity Regulatory Authority of Vietnam shall be responsible for:

a)  Submitting the Ministry of Industry and Trade’s leaders for promulgating a Decision on electricity sale prices applicable to groups of customers using electricity and electricity retailing units based on the Prime Minister’s Decision No. 28/2014/QD-TTg of April 7, 2014, prescribing the structure of electricity retail tariff and documents regulating electricity prices of the Government, Prime Minister.

b)  Submitting the Ministry of Industry and Trade’s leaders for promulgating guiding documents to handle problems arising in implementing electricity sale prices.

3. The Vietnam Electricity shall be responsible for reporting the Electricity Regulatory Authority of Vietnam about the proportion structure of electricity output,electricity retailing prices annual for each group of customers using electricity and estimate the electricity outputs’ proportion structure of groups of customers using electricity in the next year serving as the basis for determining the electricity retailing prices for groups of customers using electricity and electricity sale prices for electricity retailing units when adjusting the electricity sale prices.”

10. To annulment the phrase “in charge of inhabitants” at:

a) Point c, Clause 2 and Point c, Clause 6, Article 12;

b) Point b, Clause 2 and Point c, Clause 6, Article 13;

c) Point c, Clause 2 and Point c, Clause 5, Article 14;

Article 2. Effect

1. This Circular takes effect on September 25, 2021.

2. Any problems arising in the course of implementation should be reported to the Electricity Regulatory Authority of Vietnam for consideration and settlement according to its competence or reporting to the Ministry of Industry and Trade for settlement./.

The Minister

Nguyen Hong Dien