Vietnam's potential for developing solar power
According to the Viet Nam Clean Energy Association, Viet Nam is one of the countries with the greatest amount of sun in the world's solar radiation map. On average, total solar radiation in our country ranges from 4.3-5.7 million kWh/m2. In the Central Highland and Southern Central, the number of sunshine hours is quite high, reaching 2,000-2,600 hours per year. Average solar radiation of 150 kcal/m2 lasts about 2,000-5,000 hours per year, with estimated theoretical potential of about 43.9 billion TOE.
Apart from natural conditions, enterprises also enjoy other benefits from the Government's approved policy. According to deision No. 11/2017/QD-TTg on incentives for the development of solar power projects in Viet Nam, effective from June 1, 2017 to June 30, this is as follows:
Incentives on investment capital and taxes
Mobilization of investment capital: Organizations and individuals participating in the development of solar electricity projects are entitled to mobilize legal capital from domestic and foreign organizations and individuals for investment in the implementation of solar power projects under the current law.
Import tax: Solar power projects are exempted from import duties on goods imported to create fixed assets for the project; complying with the current provisions of law on import tax and export tax on goods for production of projects being raw materials, supplies and semi-finished products which can not be produced at home.
Enterprise income tax: The exemption and reduction of enterprise income tax for solar power projects shall be the same as for projects in the field of investment incentives under the current tax law.
Land incentives
Firstly, solar power projects, transmission lines and transformer stations for connection to power grids shall be exempted from or be entilted for reduction in land use levies, land rents and water surface rents in accordance with the current law for projects in the field of investment incentives.
Secondly, based on the planning approved by the competent authorities, provincial people's committees shall create conditions for arranging land funds for investors to carry out solar power projects. Compensation and support for ground clearance shall comply with the current land law.
Electricity selling price
According to decision No. 11/2017/QD-TTg, EVN is required to purchase all electricity from grid connected solar projects, the price of solar electricity for EVN will be 9.35 Uscent / KWh, significanty higher than the average retail price of $USD7.3 per kWh. Electricity prices are adjusted by the exchange rate of USD / VND (this price applies only to grid connected projects with the efficiency of solar cell, which is greater than 16% or module is greater than 15% .)
After the Government promulgated preferential policy for solar power, solar power has become a “fever”in Viet Nam. Investment in a few provinces extremely bustling. Especially in the South of Central Coast region which has great sunshine potential. Hundreds of projects of domestic and foreign investors are registered, the energy investment market is “hotter” than ever. Below are tables describing the status of solar power development in each province and an detailed list of current solar power projects:
Table . Status of solar power development of each province in Viet Nam
| province | Number of investor | Number of project | Installed capacity(MW) | Status | ||||
| In operation | Under construction | Investment project | Under consideration | |||||
| 1 | An Giang | 1 | 1 | 210 | 1 | |||
| 2 | Ba Ria – Vung Tau | 1 | 1 | 100 | 1 | |||
| 3 | Bac Lieu | 1 | 1 | 300 | 1 | |||
| 4 | Binh Duong | 1 | 1 | 0.5 | 1 | |||
| 5 | Binh Dinh | 1 | 7 | 621.63 | 1 | 6 | ||
| 6 | Binh Phuoc | 1 | 1 | 200 | 1 | |||
| 7 | Binh Thuan | 15 | 15 | 888.72 | 15 | |||
| 8 |
Dak Lak |
1 | 5 | 3467 | 1 | 4 | ||
| 9 | Dak Nong | 1 | 5 | 324.4 | 1 | 4 | ||
| 10 | Dong Nai | 1 | 1 | 126 | 1 | |||
| 11 |
Gia Lai |
2 | 2 | 98 | 2 | |||
| 12 |
Ha Tinh |
2 | 2 | 80 | 2 | |||
| 13 | Hau Giang | 2 | 2 | 71 | 2 | |||
| 14 |
Hue |
1 | 1 | 35 | 1 | |||
| 15 | Kon Tum | 1 | 1 | 49 | 1 | |||
| 16 | Khanh Hoa | 10 | 12 | 712.765 | 12 | |||
| 17 |
Long An |
1 | 1 | 100 | 1 | |||
| 18 | Ninh Thuan | 15 | 16 | 1063 | 5 | 11 | ||
| 19 |
Phu Yen |
4 | 5 | 449.104 | 5 | |||
| 20 | Quang Binh | 1 | 1 | 49.5 | 1 | |||
| 21 | Quang Ngai | 3 | 3 | 218.808 | 1 | 1 | 1 | |
| 22 | Quang Tri | 2 | 2 | 79.5 | 2 | |||
| 23 |
Son La |
1 | 1 | 30 | 1 | |||
| 24 |
Tay Ninh |
5 | 9 | 774 | 9 | |||
| 25 | Thanh Hoa | 1 | 1 | 160 | 1 | |||
| 26 | Vinh Long | 1 | 1 | 49 | 1 | |||
|
Total
|
76 | 98 | 8,937.57 | 1 | 8 | 74 | 15 | |
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