The Ministry of Industry and Trade will submit to the Government new scenarios for solar power prices in two regions on September 15 based on recommendations the ministry received after presenting its proposal on the matter to the Government’s standing board on July 31.

Solar panels on the roof of the headquarters of the EVN Central Power Corporation
(Photo: VNA)

Deputy Minister of Industry and Trade Do Thang Hai released the information at the regular Government press conference on August 1. 

He said the new prices of solar energy will be set based on levels of solar radiation of regions instead of the current single price of 9.35 US cent per kWh.

In the previous scenarios, the ministry proposed four levels of prices corresponding to four ranges of solar radiation.

Based on recommendations from ministries, sectors and the Government’s standing board, it later changed to two levels of prices for two regions, one of which comprises six provinces with high solar radiation (including Binh Thuan, Ninh Thuan, Dak Lak and Phu Yen) and the other covers all the remaining localities. Accordingly, the price of solar power in the first region is projected at 1,916 VND (8.38 US cent) per kWh, and 1,758 VND (7.09 US cent) in the second region. 

The ministry’s statistics showed total solar power capacity of proposed projects has added up to 25,000 MW and that of wind power 16,500 MW. As of the end of June, 89 solar power plants had been commissioned with total capacity of nearly 4,500 MW. 

At present, nearly 400 solar power projects are waiting to be added to the power development plans, but they face hurdles posed by the new Planning Law which took effect on January 1 this year.