Vietnam raises cap on rooftop solar excess electricity sales

The government issued Decree No. 243/2026/ND-CP on June 26, 2026, amending and supplementing several provisions of Decree No. 57/2025/ND-CP, dated March 3, 2025, on the direct power purchase mechanism between renewable energy generators and large electricity consumers, and Decree No. 58/2025/ND-CP, dated March 3, 2025, detailing several provisions of the Electricity Law on the development of renewable and new energy.

One of the key amendments under Decree No. 243/2026/ND-CP revises Article 14 of Decree No. 58/2025/ND-CP on the purchase and sale of excess electricity generated by self-produced, self-consumed rooftop solar systems.

Under the revised rules, eligible systems include rooftop solar installations at detached homes, systems connected to the national grid at the low-voltage level, systems installed in mountainous, border and island areas where local power grids exist but are not connected to the national grid, systems installed on public assets, and other self-produced, self-consumed rooftop solar systems connected to the national grid that fall within the capacity specified in power development plans, power development implementation plans or provincial power network development plans.

For rooftop solar systems installed on public assets, the sale of excess electricity must comply with the decree, regulations on the management and use of public assets, other relevant laws, and be consistent with the functions and responsibilities of the seller.

The volume of excess electricity eligible for sale includes excess electricity generated by rooftop solar systems and electricity discharged from energy storage systems charged by rooftop solar installations, where applicable. The volume of excess electricity is measured at the inverter output.

Under the new decree, buyers and sellers may agree on the volume of excess electricity to be traded, provided it does not exceed 50% of the electricity generated by the rooftop solar system based on solar irradiance. The cap was previously set at 20% under Decree No. 58/2025/ND-CP.

The decree also requires organizations and individuals selling excess electricity to obtain an electricity operation license, except where exemptions apply under the law.

From the decree's effective date of June 26, 2026, through Dec. 31, 2030, buyers and sellers may agree to trade excess electricity exceeding the 50% cap if the local grid has sufficient capacity to absorb the electricity and the transactions comply with grid safety requirements and power system operating regulations.

For mountainous, border and island areas that are not yet supplied by the national grid, sales of excess electricity will not be subject to any limit. Payments will be based on the total electricity supplied to the purchaser's grid, as measured by electricity meters. Once these areas are connected to the national grid, the sale of excess electricity will be subject to the corresponding provisions of the decree.

Hai Phong News