Decree No. 105/2024/ND-CP Issued by the Government Amending Decree No. 96/2022/ND-CP and Decree No. 26/2018/ND-CP

1. Transfer of Command and Operation Functions

The responsibility for commanding and operating the production, transmission, distribution, and allocation of electricity within the national power system will be transferred from Vietnam Electricity (EVN) to the Ministry of Industry and Trade.

2. Amendments to MOIT’s Functions, Tasks, Powers, and Organizational Structure

MOIT will now preside over and coordinate with the Ministry of Finance to approve the pricing framework for electricity generation, wholesale electricity, electricity transmission, electricity distribution, and ancillary services. This excludes cases specified in Clause 2, Article 62 of the Electricity Law, which pertains to electricity selling prices in rural, mountainous, border, and island areas not connected to the national grid.

3. Revisions to EVN's Organizational and Operational Regulations

EVN's role in managing and operating the national power system will be redefined from overseeing the entire national power system to focusing on systems within its specific management scope.

New obligations for EVN include ensuring timely payment for electricity and adhering to other responsibilities as outlined in the Electricity Purchase Agreement.

Decree No. 105/2024/ND-CP reflects the Government’s efforts to enhance the efficiency of managing and operating the national power system, while also strengthening the role of the Ministry of Industry and Trade in regulating the electricity market.

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Hoang Pham (James) / Managing Partner at: hoang.pham@vselawyers.com

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