CIRCULAR

ON DOSSIERS, PROCEDURES FOR CROSS-BORDER ELECTRICITY TRADING

Pursuant to the Law on Electricity dated November 30, 2024;

Pursuant to Decree No. 96/2022/ND-CP dated November 29, 2022 of the Government on the functions, tasks, powers, and organizational structure of the Ministry of Industry and Trade; Decree No. 105/2024/ND-CP dated August 01, 2024 of the Government on amendments to Decree No. 96/2022/ND-CP dated November 29, 2022 of the Government on the functions, tasks, powers, and organizational structure of the Ministry of Industry and Trade;

At the request of the Director General of the Electricity Regulatory Authority,

The Minister of Industry and Trade hereby issues this Circular on regulations on dossiers, procedures for cross-border electricity trading.

Chapter I

GENERAL PROVISIONS

Article 1. Scope

This Circular elaborates Clause 8, Article 46 of the Law on Electricity No. 61/2024/QH15 dated November 30, 2024, regarding dossiers, procedures for cross-border electricity trading.

Article 2. Regulated entities

This Circular applies to:

1. Vietnam Electricity (EVN);

2. Other organizations and individuals in Vietnam with demands for cross-border electricity trading.

Article 3. General requirements

1. The cross-border electricity trading for each electricity import-export project must obtain prior approval for the investment policy before implementation.

2. The electricity trading plan for the electricity import-export project must align with the approved Strategy for Cross-Border Electricity Trading within the Vietnam Electricity Industry Development Strategy, the Power Development Plan, and the approved Implementation Plan of the Power Development Plan.

3. If the electricity trading plan for the electricity import-export project aligns with the Strategy for Cross-Border Electricity Trading and the Power Development Plan, but the power grid connection plan does not involve Vietnam's territory or does involve Vietnam's territory but has not yet been included in the implementation plan of the Power Development Plan, the Minister of Industry and Trade shall approve the investment policy for electricity import-export for the project and supplement the power grid connection plan into the implementation plan of the Power Development Plan.

4. If the electricity trading plan for the electricity import-export project does not align with the Strategy for Cross-Border Electricity Trading, the Power Development Plan, and the implementation plan of the Power Development Plan, the project must undergo procedures to supplement and amend the Strategy for Cross-Border Electricity Trading, the Power Development Plan, and the implementation plan of the Power Development Plan before obtaining approval for electricity import-export investment policy.

5. If the cross-border electricity trading involves using the power grid of another grid operator, the organization or individual must obtain a written agreement with the grid operator.

6. Vietnam Electricity (EVN) shall be responsible for conducting cross-border electricity trading through the national power system.

7. Other organizations and individuals in Vietnam wishing to trade electricity with foreign entities shall conduct electricity trading without using the national power system.

Chapter II

PROCEDURES FOR CROSS-BORDER ELECTRICITY TRADING

Article 4. Dossier for approval of cross-border electricity trading policy

1. The dossier for approval of cross-border electricity trading policy through the national power system includes:

a) An application for approval of cross-border electricity trading;

b) A copy of the application for electricity purchase or the approval for electricity sale from the foreign party;

c) A copy of the agreement from the grid operator in case of the provisions stipulated in Clause 5, Article 3 of this Circular;

d) A copy (translated into English or Vietnamese) of legal documents issued by the competent authority of the host country (the electricity exporting country or electricity importing country), providing information on the project owner’s capacity and experience, as well as project details.

dd) Proposed cross-border electricity trading plan includes the following contents:

- A preliminary description of the current status of the power grid in the connection area serving the electricity export-import project;

- Electricity demand: capacity, energy, annual load profile, and projected typical daily load curve for each year within the period aligned with the approved power development plan and implementation plan. For electricity export-import projects connected at a voltage level of 110 kV or above, additional information must be provided: Preliminary analysis and selection of technology and technical solutions for the grid interconnection plan; land clearance and resettlement plan (if applicable); the project's impact on the environment, fire prevention and explosion control, and national security and defense (if applicable);

- A copy of the Power Grid Development Plan for the connection area of the two countries (for system-based cross-border electricity trading) or the interconnected transmission line linking the project (for project-based cross-border electricity trading) approved by the competent authority for voltage levels of 110 kV or above;

- Grid interconnection plan: Capacity, energy; estimated timeline for electricity purchase or sale; connected power grid and connection points; locations of metering equipment for electricity purchase or sale; voltage level for cross-border electricity trading; geographical map and grid connection diagram of the two countries illustrating the electricity trading plan for the project;

- Investment form, preliminary determination of construction volume, total investment cost, project implementation timeline, capital mobilization plan according to the schedule, economic-social efficiency of the project, and investment capital phasing (if applicable) from the Vietnamese side;

- Implementation solutions.

2. Dossier for approval of cross-border electricity trading via direct connection, without using the national power system, includes:

a) An application for approval of cross-border electricity trading;

b) A copy of the application for electricity purchase or the approval for electricity sale from the foreign party;

c) A copy of the agreement from another grid operator in cases specified in Clause 4, Article 3 of this Circular;

d) A copy (translated into English or Vietnamese) of legal documents issued by the competent authority of the electricity exporting country or electricity importing country, demonstrating information on the investor’s capacity and experience, as well as project details and the proposed cross-border electricity trading plan.

Article 5. Procedures for approval of cross-border electricity trading policy

1. Vietnam Electricity (EVN) and organizations or individuals in Vietnam intending to engage in cross-border electricity trading shall be responsible for preparing the dossier for approval of cross-border electricity trading as stipulated in Article 4 of this Circular and shall ensure the accuracy and truthfulness of the dossier.

2. Methods of dossier submission:

a) EVN and organizations or individuals in Vietnam intending to engage in cross-border electricity trading may choose one of the following methods to submit their dossiers to the Ministry of Industry and Trade (MOIT): in person, online, or via postal services;

b) In case of online submission: The dossier for approval of cross-border electricity trading shall be submitted via the National Public Service Portal. If the electronic dossier is too large or contains documents that, by law, cannot be transmitted via electronic networks, the applicant may submit the dossier in person or via postal services;

c) Number of copies required in case of submission in person or via postal services: 05 sets.

3. Approval procedures for electricity trading investment policy:

a) Within 05 working days from the date of dossier receipt, MOIT shall provide a written response specifying the completeness and validity of the dossier in accordance with Article 4 of this Circular;

b) Within 10 working days from the date of receipt of a complete and valid dossier as prescribed in Article 4 of this Circular, MOIT shall conduct an appraisal and request written opinions on the electricity trading plan for the electricity import/export project from the following authorities and units:

- Ministries, sectors, and local authorities concerned for electricity import-export projects connected at voltage levels of 220 kV or above;

- Local authorities and relevant power entities for electricity import-export projects connected at voltage levels below 220 kV;

c) EVN and other organizations or individuals in Vietnam intending to engage in cross-border electricity trading shall be required to provide explanations for the appraisal opinions or facilitate on-site evaluation of the electricity by the Appraisal Authority, if necessary;

d) Within 15 working days from the completion of the written consultation process with ministries, sectors, local authorities, and relevant power entities, the Minister of Industry and Trade shall review and approve the electricity trading investment policy for electricity import-export projects.

Article 6. Dossier and procedures for cross-border electricity trading

1. After the electricity trading investment policy has been approved, EVN, organizations, and individuals intending to engage in cross-border electricity trading shall be responsible for negotiating and signing the electricity trading contract with the counterpart in compliance with applicable regulations and submitting the electricity trading dossier to MOIT no later than 07 days before the electricity trading activity takes place.

2. Dossier for electricity export:

a) Signed electricity trading contract between the parties;

b) Grid connection agreement for each electricity trading project with foreign entities.

Chapter III

IMPLEMENTATION

Article 7. Implementation

1. The Ministry of Industry and Trade (MOIT) shall be responsible for disseminating, providing guidelines, and inspecting the implementation of this Circular.

2. Vietnam Electricity (EVN) shall be responsible for directing its affiliated units to comply with this Circular.

Article 8. Entry into force

1. This Circular comes into force as of February 1, 2025. Circular No. 09/2015/TT-BCT dated May 29, 2015 of the Minister of Industry and Trade on guidelines for procedures for cross-border electricity trading shall cease to be effective from the date this Circular comes into force.

2. For dossiers submitted by organizations or individuals to MOIT for appraisal of the electricity trading investment policy before the effective date of this Circular, MOIT shall continue to conduct the appraisal based on the submitted dossiers.

3. During the implementation of this Circular, if any difficulties arise or new matters emerge, relevant units shall be responsible for reporting them to MOIT for amendments to this Circular as appropriate./.