{"id":3008,"date":"2025-02-13T03:43:05","date_gmt":"2025-02-13T03:43:05","guid":{"rendered":"https:\/\/staging.otracorp.com\/?p=3008"},"modified":"2025-02-13T03:43:05","modified_gmt":"2025-02-13T03:43:05","slug":"common-questions-about-joining-the-dppa-mechanism","status":"publish","type":"post","link":"https:\/\/staging.otracorp.com\/ko\/common-questions-about-joining-the-dppa-mechanism\/","title":{"rendered":"Common Questions About Joining the DPPA Mechanism"},"content":{"rendered":"

In the implementation of the Direct Power Purchase Agreement (DPPA), a critical aspect is the identification of eligible participants, particularly large electricity consumers and electricity retailers. This article aims to address key questions surrounding the criteria for determining eligibility for participation by large electricity consumers and retailers in the DPPA. By providing a detailed analysis of the specific requirements and criteria, this article seeks to offer clarity on the eligibility process. Additionally, it proposes potential solutions for exceptional cases, thereby ensuring transparency and efficiency in the implementation of the DPPA. Ultimately, this effort contributes to the sustainable development of Vietnam’s electricity market.<\/span><\/p>\n<\/div>

Question 1<\/u>: <\/span><\/strong>What types of electricity consumers are eligible to participate in the DPPA mechanism? Are residential customers, commercial-service customers, or industrial customers eligible to participate in the DPPA under the two scenarios: direct power purchase through a dedicated private connection line or the national electricity grid?<\/strong><\/p>\n

Answer<\/u>: <\/b><\/span>Under the DPPA mechanism, industrial customers are the primary and most likely participants due to their high and consistent electricity demand resulting from production activities. Commercial-service customers and certain entities within high-tech zones may also participate, especially if they are committed to meeting sustainability standards.<\/span><\/p>\n

However, residential customers are currently not suitable for this mechanism due to their smaller scale and the challenges of managing transactions. Households and residential electricity consumers are excluded from participating in the DPPA since they are generally not classified as large electricity consumers.<\/p>\n

According to Decree No. 80\/2024\/ND-CP<\/b>, large electricity consumers are those with an average monthly electricity consumption of 200,000 kWh or more (Clause 12, Article 3).<\/p>\n

In the case of direct power purchase through a dedicated private connection line<\/b>: Participants must be large electricity consumers (Point b, Clause 1, Article 2).<\/p>\n

In the case of direct power purchase through the national electricity grid<\/b>: Participants must be large electricity consumers serving production purposes, with connections at a voltage level of 22kV or higher (Point b, Clause 2, Article 2).<\/p>\n<\/div>

Question 2<\/u>: Are electricity retailers within industrial zones eligible to purchase electricity from generators under the DPPA mechanism?<\/strong><\/h5>\n

Answer<\/u>: <\/b><\/span>The DPPA mechanism allows large enterprises to buy electricity directly from renewable energy generators and offers an opportunity for electricity retailers within industrial zones (IZs) to participate. However, retailers must meet certain legal, technical, and financial criteria.<\/span><\/p>\n

According to Decree No. 80\/2024\/ND-CP<\/b>:<\/p>\n

\u2022 For direct power purchase through a dedicated private connection line<\/b>: Electricity retailers in IZs are not eligible to participate, as only large electricity consumers are allowed to engage in this mechanism.<\/p>\n

\u2022 For direct power purchase through the national electricity grid:<\/b> Large electricity consumers in IZs can delegate purchasing rights to an authorized retailer within the zone.<\/p>\n

\u2022 The authorized retailer will sign long-term contracts with renewable energy generators and fulfill registration and participation requirements.<\/p>\n

\u2022 Retailers and large consumers must agree on retail costs within the IZs and any costs arising from the contracts with renewable energy generators (Article 23, Decree No. 80\/2024\/ND-CP<\/b>).<\/p>\n<\/div>

Question 3<\/u>: Is the 200,000 kWh per month threshold based on the electricity purchased from the generator or the total electricity consumption of the customer?<\/b><\/p>\n

Answer<\/u>: <\/b><\/span>In the DPPA mechanism, when referring to electricity consumption, it is important to clarify whether the 200,000 kWh per month threshold is based on the electricity purchased from the renewable energy generator under the DPPA, or the total electricity consumption of the customer (including electricity from <\/span>National Electricity Corporation<\/span> (EVN) or other sources).<\/span><\/p>\n

The 200,000 kWh per month value refers to the total electricity consumption of the customer; it is not the amount of electricity the customer purchases from the renewable energy generator or from the EVN.<\/p>\n<\/div>

Question 4<\/span><\/u>: For large electricity consumers with an average monthly consumption of 200,000 kWh, is the calculation based on multiple measurement points (electricity meters) at a single location, or only one measurement point (with multiple meters at the same location)?<\/span><\/b><\/h5>\n

Answer<\/u>: <\/b><\/span>In principle, the calculation of electricity consumption for large electricity consumers is based on the Power Purchase Agreement with the electricity utility, not on individual measurement points at the same location.<\/span><\/p>\n

The large electricity consumer and the electricity corporation will negotiate, agree upon, and sign the Power Purchase Agreement based on the main provisions outlined in Appendix II of Decree No. 80\/2024\/ND-CP<\/b>.<\/p>\n<\/div>

Question 5<\/u>: In the case of direct power purchase through the national electricity grid: Are customers leasing land in IZs, export processing zones, or high-tech zones, but engaged in sectors such as IT, software design, or product testing, eligible to meet the criteria of large electricity consumers for production purposes?<\/b><\/h5>\n

Answer<\/u>: <\/b>In the DPPA mechanism through the national electricity grid, the criteria for large electricity consumers serving production purposes play a crucial role in determining eligibility for participation. However, for sectors such as IT, software design, and product testing within IZs, export processing zones (EPZs), or high-tech zones, whether they meet the criteria must be assessed based on the legal provisions outlined in <\/span>Decree No. 80<\/b><\/span>.<\/span><\/p>\n

\u2022 According to Clause 2, Article 2 of Decree No. 80\/2024\/ND-CP<\/b>, for direct power purchase through the national electricity grid, large electricity consumers must be organizations\/individuals purchasing electricity for production purposes, with connections at a voltage level of 22kV or higher.<\/p>\n

\u2022 Additional information regarding customer categories (e.g., production, business, administrative, and residential) can be found in the Circular on electricity pricing issued by the Ministry of Industry and Trade (Consolidated Document No. 13\/VBHN-BCT dated April 27, 2023).<\/p>\n<\/div>

Source:<\/u><\/strong>
\nElectricity Regulatory Authority of Vietnam, 2025. M\u1ed9t s\u1ed1 v\u1ea5n \u0111\u1ec1 h\u1ecfi \u0111\u00e1p khi tham gia DPPA. Retrieved from: M\u1ed9t s\u1ed1 v\u1ea5n \u0111\u1ec1 h\u1ecfi \u0111\u00e1p khi tham gia DPPA<\/a><\/em><\/p>\n<\/div><\/div><\/div><\/div><\/div>","protected":false},"excerpt":{"rendered":"","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"om_disable_all_campaigns":false,"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_uf_show_specific_survey":0,"_uf_disable_surveys":false,"footnotes":""},"categories":[1],"tags":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/staging.otracorp.com\/ko\/wp-json\/wp\/v2\/posts\/3008"}],"collection":[{"href":"https:\/\/staging.otracorp.com\/ko\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/staging.otracorp.com\/ko\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/staging.otracorp.com\/ko\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/staging.otracorp.com\/ko\/wp-json\/wp\/v2\/comments?post=3008"}],"version-history":[{"count":3,"href":"https:\/\/staging.otracorp.com\/ko\/wp-json\/wp\/v2\/posts\/3008\/revisions"}],"predecessor-version":[{"id":3012,"href":"https:\/\/staging.otracorp.com\/ko\/wp-json\/wp\/v2\/posts\/3008\/revisions\/3012"}],"wp:attachment":[{"href":"https:\/\/staging.otracorp.com\/ko\/wp-json\/wp\/v2\/media?parent=3008"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/staging.otracorp.com\/ko\/wp-json\/wp\/v2\/categories?post=3008"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/staging.otracorp.com\/ko\/wp-json\/wp\/v2\/tags?post=3008"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}