Under the new PPA model, LA MOIT has cancelled the general but important obligation to acquire Vietnam Electricity (EVN) as a public electricity supplier and electricity buyer, to acquire all of the electricity power of solar power projects. In this context, EVN, as a pantographer, is responsible, in accordance with Decision 13 (Article 4.1), to purchase all electrical power from grid-connected solar power projects in accordance with the rules governing the operation of national energy systems and technical standards of the energy industry and to prioritize the loading of the load in order to use the full capacity of solar electricity projects and to generate electricity from electricity. Therefore, the cancellation of EVN`s load loss obligation in the new PPA model may not only be inconsistent with Decision 13, but it also creates contractual uncertainties from an energy developer/seller`s perspective, taking into account the existing reduction risks and limited transmission capacity faced by developers. Compensation in the event of termination, commonly referred to as the “buyback amount” is the primary commercial means used by developers (and their lenders) to control the risk that, if AAEs are terminated without fail, they will not be transferred to a failed asset of a value only “of scrap” (since, without AAEs, there is no right to sell to another buyer (provided it is worth it). Although there is the possibility of moving to a direct electricity purchase contract (DPPA) mechanisms (whether on-site/physical “behind the DPPA or off-site virtual /DPPA) with private electricity consumers, separate legal issues must be taken into account. An investor makes equity available and obtains tax advantages from the federal state and the federal states for which the system is eligible. In certain circumstances, the investor and the solar service provider may together form an ad hoc entity so that the project is a legal entity that receives payments from tax benefits and the sale of the system delivery and distributes it to the investor. An important point in this regard is that AAEs are not leasing contracts. That`s because customers buy electricity, not a solar installation. Der Vorteil ist dabei, dass die Kosten der Solaranlage im Gegensatz zu einem Mietvertrag nicht in der Bilanz des Kunden erscheinen, was fer Unternehmen hilfreich sein kann. These PPAs are well suited to businesses, schools and other organizations that like the idea of going solar and paying less for electricity, but don`t want to pay anything in advance and don`t have to monitor or maintain the system. In addition, Circular 18 imposes the following procedures for the development of a solar power system connected to the grid on the roof, which is relevant to the “before the meter” model, in the event that electricity developers or consumers sell electricity to the EVN grid. Circular 18 provides, among other things, the following requirements for solar power projects: A solar power purchase contract (SPPA) is a financial agreement in which a third-party developer owns, operates and maintains the photovoltaic (PV) installation, and a host customer agrees to operate the facility on its land and purchases the electrical power of the facility from the solar service provider for a predetermined period.
This financial agreement allows guest customers to obtain stable and often inexpensive electricity, while the solar service provider or any other party acquires valuable financial benefits, such as tax credits and revenue from the sale of electricity. Preconditions for the development of solar power projects If you rent, a 10-year contract could be a problem. We understand that. The installer designs the system, indicates the components of the system and can track the life of the photovoltaic installation.