Thông tư 24/2019/TT-BCT sửa đổi Thông tư 45/2018/TT-BCT quy định vận hành thị trường bán buôn điện cạnh tranh và sửa đổi Thông tư 56/2014/TT-BCT quy định phương pháp xác định giá phát điện, trình tự kiểm tra hợp đồng mua bán điện do Bộ trưởng Bộ Công thương ban hành

CIRCULAR

AMENDMENTS AND SUPPLEMENTS TO SEVERAL ARTICLES OF CIRCULAR NO. 45/2018/TT-BCT DATED NOVEMBER 15, 2018 OF MINISTER OF INDUSTRY AND TRADE ON OPERATION OF COMPETITIVE WHOLESALE ELECTRICITY MARKET, AND AMENDMENTS OR SUPPLEMENTS TO SEVERAL ARTICLES OF CIRCULAR NO. 56/2014/TT-BCT DATED DECEMBER 19, 2014 OF MINISTER OF INDUSTRY AND TRADE ON METHODS OF DETERMINATION OF ELECTRICITY GENERATION COSTS AND PROCESSES FOR INSPECTION OF POWER PURCHASE AGREEMENT

Pursuant to the Law on Electricity dated December 3, 2004 and the Law on Amendments and Supplements to certain Articles of the Law on Electricity dated November 20, 2012;

Pursuant to the Government's Decree No. 98/2017/ND-CP dated August 18, 2017, defining the functions, tasks, powers and organizational structure of the Ministry of Industry and Trade;

Pursuant to the Government’s Decree No. 137/2013/ND-CP dated October 21, 2013 elaborating on the implementation of certain articles of the Law on Electricity and the Law on Amendments to certain Articles of the Law on Electricity;

Upon the request of the Director of the Electricity Regulatory Authority,

Minister of Industry and Trade hereby promulgates the Circular on amendments and supplements to several articles of Circular No. 45/2018/TT-BCT dated November 15, 2018 of Minister of Industry and Trade on operation of competitive wholesale electricity market, and amendments or supplements to several articles of Circular No. 56/2014/TT-BCT dated December 19, 2014 of Minister of Industry and Trade on methods of determination of electricity generation costs, processes for inspection of power purchase agreement (PPA).

Article 1. Amendments and supplements to several Articles of Circular No. 45/2018/TT-BCT dated November 15, 2018 of Minister of Industry and Trade on operation of competitive wholesale electricity market, and amendments or supplements to several Articles of Circular No. 56/2014/TT-BCT dated December 19, 2014 of Minister of Industry and Trade on methods of determination of electricity generation costs, processes for inspection of power purchase agreement as follows:

1. Amending clause 13 of Article 3 as follows:

“13. Auxiliary services include secondary frequency control, fast start and must-run operation reserve provided in order to ensure power system security, voltage regulation and black start.”. 

2. Amending clause 14 of Article 3 as follows:

“14. Frequency control reserve service refers to an auxiliary service provided to support secondary frequency control in accordance with the Regulation on electricity transmission system promulgated by the Ministry of Industry and Trade.”.

3. Amending Article 7 as follows:

“Article 7. Registration for participation in the electricity market

1. Generating units

a) Any generating unit will be eligible to participate in the electricity market if they fully meet the following requirements:

- Their electricity activity license in the power generation industry remains valid;

- They have completed the pre-acceptance testing and commissioning of systems as provided in clause 5 of Article 4 of this Circular;

- They have already signed in the power purchase agreement and the document certifying the date of commercial operation of the power plant;

- They have agreed on a unit representing a group of cascade hydropower plants to make price offers (in case they are the representative for a group of cascade hydropower plants).

b) 07 working days before the deadline for participation in the electricity market as prescribed in Article 6 of this Circular, the generating unit shall send 01 registration package for electricity market participation on behalf of each power plant to the power system and market operating unit through the electricity market website. The power system and market operating unit shall provide relevant units with guidance on the components of the electricity generating unit's registration package for participation in the electricity market.

2. Wholesale buyers

a) Any wholesale buyer will be eligible to participate in the electricity market if they fully meet the following requirements:

- Their electricity activity license remains valid;

- They meet the regulations on metering of electrical power at their prescribed measurement and delivery boundary points;

- They have completed the acceptance testing, commissioning and operation of the remote measurement data collection system at measurement boundary points within their remit, the local area network for communication of information about the electricity market and their digital signature.

b) 07 working days before the deadline for participation in the electricity market as prescribed in point b of clause 2 of Article 6 of this Circular, the power wholesale buyer shall send 01 registration package for electricity market participation to the power system and market operating unit through the electricity market website. The power system and market operating unit shall provide relevant units with guidance on the components of the power wholesale buyer's registration package for participation in the electricity market.”.

4. Amending Article 16 as follows:

“Article 16. Determination of contractual output quantity

1. General provisions

a) The generating unit and the electricity buyer shall be responsible for negotiating, agreeing about and setting out terms and conditions of the power purchase agreement on the rate of output quantity of power settled at the contractual price within the price range specified at point b of this clause, or the contractual output produced in a year (or each year of a multi-year period);

Based on the annual output agreed upon in the power purchase agreement, the generating unit and the electricity buyer shall calculate the contractual output and shall agree to allocate them into specific months of a year. In case where contracting parties do not agree on the monthly contractual output, the electricity system and market operating unit shall calculate the monthly contract output under the provisions of this Circular.

b) Rate of output quantity of power settled at the contractual price shall not be greater than 100% and not be less than 60%;

c) For power plants bound by fuel underwriting arrangements and obtaining competent state agency's written consent to the horizontal transfer of their fuel underwriting regulations in the fuel supply agreement to the power purchase agreement: The generating unit and the buyer shall be responsible for reaching an agreement on the annual contract output under which the annual contract output must not be lower than the power output quantity corresponding to the annual fuel underwriting amount of the power plant with account taken of its usability during the year.

2. Power plants already entering into agreements with the Vietnam Electricity

a) Annual contractual output:

- If the generating unit and the Vietnam Electricity agree on the rate of electricity settled at the contract price for year N + 1 (except the annual contractual output and the monthly contract output in year N + 1) according to point a of clause 1 of this Article, by November 15 of year N, they shall provide these data to the electricity system and market operating unit to calculate the contractual output of year N + 1 according to clause 1 of Article 27 of this Circular;

- If the generating unit and the Vietnam Electricity agree on the contractual output of year N + 1 according to point a of clause 1 of this Article, by November 15 of year N, they shall provide these data to the electricity system and market operating unit to calculate the contractual output of specific months of year N + 1 according to clause 2 of Article 27 of this Circular;

- If the generating unit and the Vietnam Electricity fail to agree on the rate of electricity settled at the contract price for year N + 1 and the annual contractual output for year N+1 to provide these data to the electricity system and market operating unit by November 15 of year N, regulations laid down in clause 5 of this Article must be observed.

b) Monthly contractual output quantity:

- If the generating unit and the Vietnam Electricity agree on the contractual output of specific months of the year according to point a of clause 1 of this Article, by November 15 of year N, they shall provide the data on the contractual output of specific months of year N+1 for the electricity system and market operating unit to allocate the contractual output over specific trading periods according to the provisions of Article 38 of this Circular. In year N + 1, in case where the generating unit and the Vietnam Electricity negotiate and agree on any adjustment of the contractual output of month M, they shall be responsible for providing these adjusted output data for the electricity system and market operating unit by the 20^th day of month M-1;

- If the generating unit and the Vietnam Electricity agree on the contractual output of specific months of the year, based on the annual contractual output quantity prescribed in point a this clause, the electricity system and market operating unit shall calculate the monthly contractual output according to the provisions of clause 2 of Article 27 herein as a basis for implementation by the generating unit and the Vietnam Electricity.

c) Contractual output quantities of specific trading periods: The electricity system and market operating unit shall calculate contractual output quantities of specific trading periods according to monthly contractual output quantities under the provisions of point b of this clause and in compliance with the principles specified in Article 38 herein.

3. As for any power plant that has signed agreements with the Vietnam Electricity, they shall be entitled to allocate the following output quantities to electricity wholesale buyers and power plants that have signed agreements with the electricity wholesale buyer:

a) Annual and monthly contractual output quantities conforming to regulations laid down in clause 1 of this Article and calculated according to the principles stipulated in clause 2 of this Article;

b) If the generating unit and the Vietnam Electricity fail to agree on the rate of electricity settled at the contractual price and the annual contractual output quantities of power plants, regulations laid down in clause 5 of this Article must be observed;

c) The contractual output quantities in specific trading periods of the power plant that are determined by the electricity system and market operating unit in the month-ahead operational plan based on the distribution of the monthly contractual output quantities into trading periods of the month shall comply with Article 40 herein;

4. As regards newly-built power plants (put into commercial use after the effective date of this Circular):

a) 90 days before the scheduled deadline for commercial operation of the power plant, the generating unit and the electricity buyer shall be responsible for negotiating and agreeing about the rate of output quantity of power settled at the contractual price or the annual contractual output prescribed in point a of clause 1 of this Article in the power purchase agreement;

b) Monthly contractual output quantities:

- If the generating unit and the power buyer negotiate and agree on contractual output quantities of specific months of the year in the power purchase agreement, by the 20^th day of month N, they shall provide data on the contractual output of month M+1 for the electricity system and market operating unit to allocate contractual output quantities into specific trading periods of month M+1;

- If the generating unit and the power buyer fail to agree on the contractual output quantities of specific months of the year, based on the annual contractual output quantity prescribed in point a of this clause, the electricity system and market operating unit shall calculate monthly contractual output quantities prescribed in clause 2 of Article 27 herein.

c) Contractual output quantities of specific trading periods: Unless otherwise agreed upon in the power purchase agreement, the contractual output quantities of specific trading periods of power plants shall be determined by the electricity system and market operating unit in the process of formulation of the month-ahead operation plan based on the distribution of the monthly contractual output quantities into monthly trading periods in accordance with Article 38 and 40 herein.

5. If any power plant has signed agreements, but failed to agree to the rate of output of power settled at the contractual price or the contractual output quantity in year N + 1 with the Vietnam Electricity or the electricity wholesale buyer as prescribed in clause 1 of this Article to provide power quantity data to the electricity system and market operating unit by November 15 of year N:

a) The generating unit and the electricity buyer shall be responsible for reporting to the Electricity Regulatory Authority and keeping the electricity system and market operating unit updated with the followings by November 20 every year:

- Matters over which both units disagree and each unit's argument on unanimous issues;

- Statistics of actual generation output and contractual generation output recorded in the latest 5 years;

- Any estimated abnormalities arising in the upcoming year;

- Each contracting party’s recommendations about the rate of generation of power settled at the contractual price and contractual output quantities.

b) Based on the reports of the generating unit and the electricity buying unit, the electricity system and market operating unit shall be responsible for putting forward plans on the rate of output of power settled at the contractual price in the coming year as prescribed at point b of clause 1 of this Article, and sending the final report to the Electricity Regulatory Authority;

c) The Electricity Regulatory Authority shall take charge of and collaborate with the generating unit and the electricity buyer in enabling involved units to negotiate and agree on the rate of output of electricity settled at the contract price or the annual contractual output as prescribed in clause 1 of this Article;

d) In case where the contracting parties keep on disagreeing the rate of output of electricity settled at the contractual price or the annual contractual output, by December 10 of year N, based on calculation results of the electricity system and market operating unit specified at point b of this Clause, the Electricity Regulatory Authority shall announce the rate of output of electricity settled at the contractual price of year N + 1 in order for contracting parties to comply during the period of pending agreement in the power purchase agreement, subject to the following regulations:

- The rate of output of electricity settled at the contractual price announced by the Electricity Regulatory Authority falls within the range referred to in point b of clause 1 of this Article;

- Based on the rate of output of electricity settled at the contractual price announced by the Electricity Regulatory Authority, the electricity system and market operating unit shall have the burden of calculating the annual and monthly contractual output quantities prescribed in Article 27 in this Circular and notifying the generating unit and the electricity buyer to act in accordance with electricity market operation regulations laid down herein;

dd) During the period of application of the rate of output of electricity settled at the contractual price announced by the Electricity Regulatory Authority, the generating unit and the electricity buyer shall continue to reach agreement on the contract output quantities of the residual months in the year. In case where the generating unit and the power buyer have reached agreement on contractual output quantities of the remaining months of the year, and informing these output data to the power system and market operating unit, they shall be responsible for reporting on agreed-upon contractual output quantities and implementation schedule to the Electricity Regulatory Authority;

e) By June 15 of the year of operation, the Electricity Regulatory Authority shall take charge of and liaise with the generating unit and the electricity buyer, both of whom fail to agree on the contractual output, in clarifying options of both parties, negotiating and agreeing on a the contractual output quantities of the remaining months of the year. If the generating unit and the electricity buyer continue to disagree, the following actions shall be taken:

- The rate of output of electricity settled at the temporary contractual price announced by the Electricity Regulatory Authority at point d of this Clause shall remain in use until both parties reach agreement or until the end of the year of operation, whichever comes first;

- Agreement on the rate of output of power settled at the contractual price and the contractual output shall continue to be sought.  If both parties reach agreement, they shall notify the electricity system and market operating unit according to the schedule of operation of the monthly electricity market operation plan and report to the Electricity Regulatory Authority.”.

6. Adjustment of contractual output quantities:

a) Adjustment of monthly contractual output quantities:

- If the generating unit and the electricity buyer agree on the monthly contract output, or clauses regarding adjustment of the monthly contract output (cases of adjustment, adjustment principles) in the power purchase agreement before the month of operation, the adjustment of the monthly contract output shall adhere to terms and conditions of the power purchase agreement, not falling within the scope of application of this Circular. The involved units shall be responsible for informing the electricity system and market operating unit of the agreed-upon clauses to support electricity market operation activities;

- If the monthly contractual output is calculated by the system and market operating unit in accordance with clause 2 of Article 27 herein, and unless otherwise agreed upon in terms of adjustment of the monthly contractual output in the power purchase agreement, contractual output adjustment shall be subject to the principles prescribed in Article 37 herein.

b) Adjustment in contractual output quantities of specific trading periods:

- If the generating unit and the electricity buyer agree on the contractual output quantities of specific trading periods, or clauses regarding adjustment of the contractual output quantities of specific trading periods (e.g. cases of adjustment, adjustment principles) in the power purchase agreement, the adjustment of the contractual output quantities of specific trading periods shall adhere to terms and conditions of the power purchase agreement. The involved units shall be responsible for informing the electricity system and market operating unit of the agreed-upon clauses to support electricity market operation activities;

- If the contractual output quantities of specific trading periods are calculated by the system and market operating unit in accordance with Article 38 and Article 40 herein, and unless otherwise agreed upon in terms of adjustment of the contractual output quantities of specific transaction periods in the power purchase agreement, the adjustment of contractual output quantities of specific trading periods shall be subject to the principles prescribed in Article 39 herein.

5. Amending clause 1 of Article 20 as follows:

“1. Types of auxiliary services rendered to operate the electricity system in the power market, including:

a) Secondary frequency control;

b) Fast start;

c) Voltage regulation;

d) Black start;

dd) Must-run operation reserve rendered for electricity system security purposes.”.

6. Amending clause 2 of Article 23 as follows:

“2. The price ceiling of electricity market for year N is not higher than 115% of the highest price ceiling amongst quotations that thermopower generating sets are directly providing in the electricity market.”.

7. Amending clause 1 of Article 27 as follows:

 “1. Determination of the annual contractual output quantity

Aggregate annual contractual output of the power plant shall be determined according to the following steps:

a) Formulating the next year’s plan for operation of the electricity system according to the approach to the conditional generation scheduling.  Input parameters used for planning the formulation of the next year’s electricity system are variable prices of thermal power plants, hydrological characteristics and technical specifications of power plants;

b) Aggregate annual planned output of the power plant shall be calculated according to the following formula:

AGO = EGO if a x GO ≤ EGO ≤ b x GO

AGO = a x GO if EGO < a x GO

AGO = b x GO if EGO > b x GO

Where:

AGO: Year-N aggregate annual planned output of the power plant (kWh);

EGO: Year-N estimated generation output of the power plant specified in the plan for operation of the next year’s power system which is converted at metering points (kWh);

GO: Average multi-year generation output of the power plant which is regulated in the power purchase agreement (kWh);

a, b: Variable coefficient of annual generation output announced by the Ministry of Industry and Trade, unless otherwise agreed upon by the generating unit and the electricity buyer in the power purchase agreement.

c) Aggregate annual contractual output of the power plant shall be calculated according to the following formula:

Q_c = α x AGO

Where:

Q_c: Year-N gross contractual generation quantity of year N (kWh);

AGO: Year-N aggregate annual planned output of the power plant (kWh);

α: Rate of output of electricity settled at the contractual price in year N (%).”.

8. Amending point b of clause 2 of Article 29 as follows:

“b) Written confirmation in electronic form or paper form (in case the electronic document management system fails) of the annual and monthly contractual output quantities of the power plant between the generating unit and the Vietnam Electricity.”.

9. Amending point b of clause 3 of Article 29 as follows:

“b) The generating unit and the wholesale buyer shall give written confirmation in electronic form or paper form (in case the electronic document management system fails) of the annual and monthly contractual output quantities of the power plant”.

10. Amending Article 36 as follows:

“Article 36. Calculation of the monthly output quantities of power plants newly participating in the electricity market that operate in the middle of year

Except if the contractual output is negotiated and agreed upon in the power purchase agreement, the contractual output of the power plant newly entering into the electricity market in the middle of the operation year shall be determined according to the following steps:

1. By the 20^th day of month M, any generating unit that plans to put their power plant into commercial operation in the month M + 1 shall be responsible for providing economic and technical information of that power plant to the electricity system and market operating unit to calculate the operational plans for the next month and later in the year N.

2. The electricity system and market operating unit shall be responsible for calculating the monthly contractual output for the power plant (from the month of entrance to the electricity market until the end of year N) in the month-ahead electricity market operation plan.

3. The monthly contractual output of this power plant shall be calculated according to the following formula:

Where:

: Monthly contractual output of the power plant (kWh);

: Planned output determined according to the updated approach to operation of the electricity system in the next month and the remaining months of year N of the power plant, being converted at the delivery point (kWh);

α: Rate of output of electricity settled at the contractual price in year N (%).”.

11. Amending clause 3 of Article 37 as follows:

“3. Adjustment of monthly contractual output quantities of hydropower plants with reservoirs storing water for more than 1 week:

a) The monthly contractual output of a hydropower plant with its reservoir storing water for more than 1 week may be adjusted if there is any variable in the following data:

- Historical average water flow and forecasted water flow data used for formulating the next year's operational plan;

- Actual generation output of the power plant is converted at the delivery point and the contractual output;

- The proposed usable volume at the beginning of the calculation period in the month M + 1 and the usable volume of the reservoir at the beginning of the calculation month specified in the annual plan;

- Monthly contractual output of month M+1 and expected mobilized output converted at the delivery point in the approved operation plan of month M+1;

- Estimated water level at the beginning of the month M + 1 and the minimum water level specified in the reservoir operation procedures issued by competent authorities.

b) Increasing adjustment of the contractual output of the hydropower plant with its reservoir storing water for more than one week may be made only if the aggregate monthly contractual output of the power plant participating in the electricity market is lower than 95% of total planned generation output (converted at the delivery point) of power plants according to the monthly operation plan;

c) Specific conditions for consideration of contractual output adjustment and adjustment principles shall conform to the provisions of the settlement calculation procedures in the electricity market issued by the Electricity Regulatory Authority.”.

12. Amending clause 5 of Article 37 as follows:

“5. If the approved usable monthly output of month M + 1 of the power plant does not correspond to the monthly contractual output, the monthly contractual output may be adjusted to be equal to the usable output of that month. The generating unit shall be responsible for providing the electricity system and market operating unit with information on the plan for supply of fuels (certified by the fuel supplier) to the thermal power plant by the 20^th day of month M in the coming month as a basis for calculation of data for formulation of the month-ahead operation plan and consideration of any contractual output adjustment in this case (if necessary).”.

13. Supplementing point d of clause 1 of Article 39 as follows:

“d) In case where the coal-fired power plant suffers a shortage of fuel, resulting in the situation where the power output corresponding to the capacity specified in the next day's price offer of the power plant is lower than its contractual output.”.

14. Amending clause 4 of Article 39 as follows:

“4. In the cases specified at point c and d of clause 1 of this Article, the contractual output of gas turbine and coal-fired thermal power plants in trading periods shall be adjusted to be equal to the actual output at the delivery point of the power plant.”.

15. Amending clause 1 of Article 42 as follows:

“1. The electricity system and market operating unit shall be responsible for calculating and announcing weekly contractual output and distributing weekly contractual output quantities into each week trading period of the hydropower plant with its reservoir storing water for the period from 02 days to 1 week according to the following principles:

a) By 15h00 Wednesday each week, the electricity system and market operating unit shall be responsible for calculating the weekly contractual output of the power plant with its reservoir storing water from 02 days to 1 week according to the following formula:

Where:

: Week-ahead contractual generation quantity (kWh);

EGO_T: Week-ahead estimated output of the power plant according to the electricity system and market operation plan (kWh);

α: Rate of output of electricity settled at the contractual price (%) of the power plant which is agreed upon between the generating unit and the electricity buyer in the power purchase agreement as specified at point b of clause 1 of Article 16 herein. If the generating unit and the electricity buyer do not reach any agreement, the rate of output of electricity settled at the contractual price shall be determined according to clause 5 of Article 16 in this Circular.”.

b) By 15h00 Wednesday every week, the electricity system and market operating unit shall be responsible for allocating weekly contractual output quantities of power plants with their reservoirs storing water from 02 days to 1 week according to the following formula:

Where:

i: Trading period i within week;

I: Total number of trading periods within week;

: Contractual output of the power plant in the trading period i (kWh);

: Expected generation quantity of the power plant in the trading period i according to the electricity system and market operation plan in the next week (kWh);

: Weekly contractual output of the power plant calculated at point a of this clause (kWh).

c) If the contractual output of hydroelectric plants is smaller than the lowest stable generation capacity, it may be adjusted to 0 MW or the lowest stable generation capacity;

d) During the flood control and irrigation period, in case where the contractual output of the hydropower plant in the trading period i is lower than the generation capacity to ensure the minimum water release requirement, the contractual output of the power plant in these periods may be adjusted accordingly so that the hydropower plant ensures the fulfillment of requirements regarding flood prevention and irrigation;

dd) The aggregate output difference due to adjustment prescribed at point c of this Clause shall be allocated in ratio to power demand according to the principle of ensuring that the weekly contractual output is kept unchanged.”.

16. Amending Article 43 as follows:

“Article 43. Price ceilings of quotations/quoted price ceilings of hydropower plants

1. Except for the case specified in clause 3 of this Article, the price ceiling of quotation of the hydropower plant with its reservoir storing water for over 1 week shall be determined based on the week-ahead water value of that power plant which is announced in accordance with the provisions of Article 41 in this Circular, specifically as follows:

a) Quoted price ceiling/price ceiling of quotation equals the greatest value of:

- 120% of water value of the hydropower plant;

- Average price of price ceilings of quotations of thermopower generating sets participating in the electricity market specified in the monthly operation plan.

b) Every month, the electricity system and market operating unit shall be responsible for announcing the average price of price ceilings of quotations of thermopower generating sets in the next month to hydroelectric plants and the schedule of announcement of price ceilings of thermopower plants in the next month.

2. Except for the case specified in clause 3 of this Article, the price ceiling of quotation of the hydropower plant with its reservoir storing water from 2 days to 1 week shall be equal to the greatest value of:

- 120% of the greatest water value of the hydropower plant participating in the electricity market;

- Average price of price ceilings of quotations of thermopower generating sets participating in the electricity market specified in the monthly operation plan.

3. Price ceilings of quotations of hydropower plants determined in special cases

a) The price ceiling of quotation of the hydropower plant in the cases specified at points b and c of this clause shall be determined according to the following formula:

P_tr = 1.2 x max (P_gtn ; P_DOmax)

Where:

P_tr: Price ceiling of quotation of hydropower plant applied in special cases (VND/kWh);

P_gtn: water value of hydropower plant (VND/kWh);

P_DOmax: Variable cost of the most expensive DO-engine thermopower generating set (d/kWh).

b) In case where the reservoir of the hydropower plant violates the water level limit of the first week, the price ceiling of quotation of this hydropower plant applying in the next week shall be determined according to point a of this clause. When ensuring that the weekly water level limit is not violated, the power plant may continue to apply the price ceiling of quotation as prescribed in clause 1 or clause 2 of this Article from Tuesday of the following week. Every month, the electricity system and market operating unit shall be responsible for announcing the variable cost of the most expensive DO-engine thermopower generating set in the electricity system;

c) In case where the hydropower plant is located in an area with the power reserve of less than 5% as announced under the provisions of the Procedures for medium and short-term electricity system security assessment issued by the Electricity Regulatory Authority for the purposes of guiding the implementation of the Regulation on electricity transmission systems promulgated by the Ministry of Industry and Trade, the price ceiling of quotation of any hydropower plant in this area within the assessment week shall be determined under the provisions of point a of this clause. When the power reserve of an area is equal to or higher than 5%, the power plant in this area continues to apply the price ceiling of quotation prescribed in clause 1 and clause 2 of this Article.

4. Every week, the electricity system and market operating unit shall assume the following responsibilities:

a) Calculating the price ceiling of quotation of generating sets of power plants participating in the electricity market in accordance with clause 1, clause 2 and clause 3 of this Article;

b) Announcing the results of calculation of the price ceiling of quotation of each generating set of the hydropower plant participating in the electricity market applicable for the coming week and input data used for calculation, including those data regarding water value, variable cost of the most expensive DO-engine thermopower set within the power system, average price of price ceilings of quotations of thermopower generating sets participating in the electricity market according to the monthly operation plan.

5. Hydropower plants participating in the electricity market shall assume the following responsibilities:

a) Making price offers in compliance with regulations of quoted price ceilings and price floors;

b) Meeting requirements for downstream water demand constraints and other hydrological constraints”.

17. Amending point d of clause 1 of Article 46 as follows:

“d) Contain information about technical parameters of a generating set, including:

- Announced generation capacity of the generating set for day D;

- Lowest stable generation capacity of the generating set;

- Speed ​​of increase and decrease of the maximum capacity of the generating set;

- Technical restrictions in case of concurrent operation of generating sets;

- Fuel condition of the thermopower plant.”.

18. Amending point g of clause 1 of Article 46 as follows:

“g) Hydropower plants can make quotations including the first capacity ranges of 0 MW in each trading period.  As for hydropower plants with water-regulating capacity of more than 02 days, the last quoted capacity range must be equal to the announced capacity. If the water level of the hydropower reservoir falls to the dead water level, they can adjust the announced capacity to 0 MW;”

19. Amending point b of clause 2 of Article 46 as follows:

“b) Quotation of any hydropower plant violating the water level limit for 02 consecutive weeks:

- The portion of output corresponding to the demand for downstream water supply at the request of the competent authority may be quoted at the floor price.

- The residual output may be quoted at the price ceiling of the quotation applied to the hydropower plant that violates the water level limit for 02 consecutive weeks as provided at point a of clause 3 of Article 43 herein.”.

20. Amending point c of clause 1 of Article 47 as follows:

 “c) If generating sets face any breakdown that stops or reduces the usable capacity, or are serviced or repaired off the plan approved by the electricity system and market operating unit according to the Regulation on transmission electricity systems promulgated by the Ministry of Industry and Trade, the bidding unit may make adjustment to reduce the announced capacity and resubmit the price quotation for these generating sets;”.

21. Amending clause 1 of Article 54 as follows:

“1. Estimated mobilized capacity, including the capacity mobilized for frequency control reserve service of generating sets in each day-ahead trading period, and the area-specific margin prices in specific day-ahead trading periods.”.

22. Amending Article 59 as follows:

“Article 59. Adjustment of announced generation output quantities of power plants

Before the scheduling of mobilization of output quantities in the next trading period, the electricity system and market operating unit may adjust the generation quantities of the multi-purpose strategic hydropower plant and the power plants that automatically control the active generation output in accordance with the provisions of the national electricity system dispatch procedures issued by the Ministry of Industry and Trade for the next trading period which has been announced under clause 1 of Article 54 in this Circular.

1. The output quantities of multi-purpose strategic hydropower plants for the next trading period shall be adjusted in the following cases:

a) Any hydrological anomalies occur;

b) Any warnings about shortage in capacity compared to the day-ahead mobilization schedule are issued;

c) Written directives issued by competent state authorities for regulating reservoirs of multi-purpose strategic hydropower plants to serve flood control and irrigation purposes.

2. The range of adjustment of the announced output of a multi-purpose strategic hydropower plant in the cases specified at points a and b of clause 1 of this Article is ± 5% of total installed capacity of multi-purpose strategic hydropower plants in the power system, exclusive of the capacity portion intended for frequency control reserve service.

3. For power plants carrying out self-control of generation of active power as prescribed in the national electricity system dispatch procedures issued by the Ministry of Industry and Trade, the announced output shall be adjusted to suit the actual operating conditions of these power plants and the power system.”.

23. Amending point a of clause 2 of Article 60 as follows:

“a) The electricity system and market operating unit shall set the schedule for mobilization of generating sets in the following order:

- Quotations intended for setting that schedule;

- Adjusted generation output provided by multi-purpose strategic hydroelectric plants;

- Generating sets providing fast-start reserve service according to day-ahead mobilization schedules;

- Generating sets providing must-run operation reserve service for electricity system security purposes;

- Reductions in the capacity of frequency control reserve service to the permissible lowest level.”.

24. Amending clause 3 of Article 60 as follows:

“3. Scheduling of mobilization of the next trading period in case of capacity redundancy

The electricity system and market operating unit shall be responsible for adjusting the schedule of the mobilization of generation output quantities for the next trading period by taking measures in the following order:

a) Halting generating sets voluntarily stopping power generation;

b) Minimizing the generation capacity of generating sets providing frequency control reserve service;

c) Gradually decreasing the generation capacity of generating sets appearing in mobilization order in the list of generating sets that has been compiled in accordance with Article 53 in this Circular;

d) Decommissioning generating sets with slow start-up in mobilization order in the list of generating sets that has been compiled in accordance with Article 53 in this Circular.”.

25. Amending clause 2 of Article 63 as follows:

“2. In case where the reservoir of the power plant has violated the weekly water level limit for 02 consecutive weeks, starting from 00:00 a.m. of Tuesday in the next week, the electricity system and market operating unit shall schedule mobilization of this power plant based on the default quotation specified at point b of clause 2 of Article 46 in this Circular to bring the reservoir's water level to the weekly water level limit.”.

26. Amending clause 2 of Article 64 as follows:

“2. In case of power market interference, the electricity system and market operating unit shall be responsible for mobilizing generating sets to ensure the targets in the following priority order:

a) Ensuring the balance between power generation and power demand;

b) Meeting frequency control reserve service requirements;

c) Meeting voltage quality requirements.”

27. Amending point c of clause 2 of Article 74 as follows:

“c) Before 12:00 p.m. of the day D + 4, the transmission network operator, the generating unit and the electricity buyer shall check and reconcile power measurement data, detecting any changes and events leading to differences in generation output quantities, and sending confirmation about reconciled measurement data to the electricity system and electricity market operating unit. After this time, the electricity system and market operating unit will not receive any feedback on changes related to the measurement data of day D. In case where there is no response from the relevant units sent to the power market website before 12:00 p.m. of day D + 4, it shall be considered that they have confirmed, and the electricity system and market operating unit are not responsible for addressing any late feedbacks;”.

28. Amending clause 2 of Article 92 as follows:

“2. The cost of electricity purchase in the spot electricity market of the electricity wholesale buyer 1 in the settlement period for the power plant g having the power purchase agreement with the electricity wholesale buyer shall be determined according to the following formula:

Where:

i: Trading period i belonging in the settlement period;

I: Total number of trading periods in the settlement period;

g: Power plant entering into the power purchase agreement with the electricity wholesale buyer;

TCm2(l,g,M): The cost of electricity purchase in the spot electricity market of the electricity wholesale buyer 1 in the settlement period M from power plants g entering into the power purchase agreement with the electricity wholesale buyer (Vietnam dong);

Cm2 (l,g,i): The cost of electricity purchase at the spot electricity buying price of the electricity wholesale buyer 1 in the trading period i from the power plant g entering into the power purchase agreement with the electricity wholesale buyer (Vietnam dong);

UpliftM(g): Variable share of the spot electricity market price applicable to the wholesale buyer of the power plant g in the settlement period M which is calculated by the electricity system and market operating unit on the basis of data provided by the generating unit after the month of operation according to the following formula:

Where:

g: Power plant entering into the power purchase agreement with the electricity wholesale buyer;

i: Trading period i belonging in the settlement period M;

I: Total number of trading periods belonging in the settlement period M;

L: Total number of wholesale buyers;

Rg (M): Total settlements made at the system marginal price in the settlement period M of the power plant g according to the monthly electricity market settlement statement issued by the electricity system and market operating unit. This is calculated according to the provisions of Article 88 of this Circular (Vietnam dong);

R^g_can (M): Total revenue determined at the capacity-add-on price in the settlement period M of the power plant g according to the monthly electricity market settlement statement issued by the electricity system and market operating unit. This is calculated under the provisions of Article 89 in this Circular (Vietnam dong);

Cm₂ (l,g,i): The cost of electric power purchased at the spot electricity market price of the electricity wholesale buyer 1 in the trading period i from the power plant g. This is calculated according to point b of clause 3 of Article 91 in this Circular (Vietnam dong);

Qm₂ (l,g,i): The quantity of electric power purchased at the electricity market price of the electricity wholesale buyer 1 in the trading period i from the power plant g. This is calculated according to point c of clause 2 of Article 91 in this Circular (kWh).”.

29. Amending clause 1 of Article 96 as follows:

“1. Settlements made at the electricity market price: These settlements shall be subject to regulations laid down in clause 2 and 6 of Article 88 and 89 in this Circular.”.

30. Amending clause 2 of Article 97 as follows:

“2. If the thermoelectric generator set has to stop as prescribed at point d of clause 3 of Article 60 in this Circular, or a boiler of that set has to stop to reduce the capacity as prescribed at point b of clause 3 of Article 60 in this Circular, start-up costs under terms and conditions of the power purchase agreement between the Vietnam Electricity and the generating unit shall be settled. The electricity system and market operating unit shall confirm this event for the set announced by the generating unit as a basis for the electricity buyer to settle start-up costs.”.

31. Amending clause 7 of Article 97 as follows:

“7. In case where the hydropower generating set has to have the generation capacity greater than the announced capacity specified in the quotation for scheduling of mobilization of generation quantities for the next trading period at the request of the electricity system and market operating unit for system security reasons. The total output of the plant’s generation of power to the grid during this period shall be paid in accordance with terms and conditions of the power purchase agreement with the Vietnam Electricity.”.

32. Supplementing clause 9 of Article 97 as follows:

 “9. In case where a gas turbine plant operates in the simple-cycle process, or lacks main fuel, leading to use of part or all of the auxiliary fuel as ordered by the electricity system and market operating unit to ensure electricity system security, settlements shall be made under auxiliary service agreements.”.

33. Amending point b of clause 1 of Article 98 as follows:

“b) If the thermoelectric generator set has to stop as prescribed at point d of clause 3 of Article 60 in this Circular, or a boiler of that set has to stop to reduce the capacity as prescribed at point b of clause 3 of Article 60 in this Circular, start-up costs under terms and conditions of the power purchase agreement between the electricity wholesale buyer and the generating unit shall be settled. The electricity system and market operating unit shall confirm this event for the set announced by the generating unit as a basis for the electricity buyer to settle start-up costs;”.

34. Amending clause 3 of Article 109 as follows:

“3. Settlements made at the electricity wholesale price by the Vietnam Electricity to the wholesale buyer for the upstream power generation quantities remaining after subtraction of the portion of settlement output in accordance with Article 91, point c and d of clause 1 of Article 98, 99 and 100 herein.”. 

35. Amending Article 124 as follows:

“Article 124. Electricity market operational reports

1. Monthly electricity market operational reports of the electricity system and market operating unit:

a) Report title:  Electricity market operational report of month M;

b) Report contents: They shall be subject to regulations laid down in Appendix 6 hereto;

c) Report maker: Electricity system and market operating unit;

d) Report recipient: Electricity Regulatory Authority;

dd) Submission method: Reports are sent via emails;

e) Deadline: By the 20^th day of month M+1, reports on operation of electricity market for month M must be sent;

g) Frequency: On a monthly basis.

2. Monthly electricity market operational reports of the electricity system and market operating unit:

a) Report title:  Electricity market operational report of year N;

b) Report contents: They shall be subject to regulations laid down in Appendix 6 hereto;

c) Report maker: Electricity system and market operating unit;

d) Report recipient: Electricity Regulatory Authority;

dd) Submission method: Reports are sent to receiving authorities via:

- Emails;

- Postal services.

e) Deadline: By the 1^st day of March of year N+1, reports on operation of electricity market for year N must be sent.

g) Frequency: On a yearly basis.

3. Yearly electricity market operational reports of the directly-trading generating unit:

a) Report title:  Electricity market operational report of year N;

b) Report contents: They shall be subject to regulations laid down in Appendix 6 hereto;

c) Report maker: Directly-trading generating units;

d) Report recipient: Electricity Regulatory Authority;

dd) Submission method: Reports are sent to receiving authorities via:

- Emails;

- Postal services.

e) Deadline: By the 1^st day of March of year N+1, reports on operation of electricity market for year N must be sent;

g) Frequency: On a yearly basis.

4. Yearly electricity market operational reports of the electricity buyer

a) Report title:  Electricity market operational report of year N;

b) Report contents: They shall be subject to regulations laid down in Appendix 6 hereto;

c) Report maker: All electricity buyers participating in the competitive electricity wholesale market;

d) Report recipient: Electricity Regulatory Authority;

dd) Submission method: Reports are sent to receiving authorities via:

- Emails;

- Postal services.

e) Deadline: By the 1^st day of March of year N+1, reports on operation of electricity market for year N must be sent;

g) Frequency: On a yearly basis.

5. Ad-hoc reports

a) Ad-hoc reports made in case of any electricity market intervention

- Report title: Electricity market intervention reports.

- Contents of reports on electricity market interventions: Detailed reports on electricity market intervention events (e.g. time, causes, intervention measures, impact assessment, etc.);

- Report maker: Electricity system and market operating unit;

- Report recipient: Electricity Regulatory Authority;

- Submission method: Emails;

- Time limit for sending reports: 24 hours from the time of electricity market intervention.

b) The electricity system and market operating unit, the generating unit and the electricity buyer shall be responsible for sending ad-hoc reports on electricity market operation upon the request of the Electricity Regulatory Authority.”.

36. Supplementing the Appendix 6 hereto.

Article 2. Entry into force

1. This Circular shall enter into force on January 1, 2020.

2. In the course of implementation of this Circular, if there is any difficulty that may arise, entities concerned shall send feedbacks to the Electricity Regulatory Authority to seek its decision within its jurisdiction or for its reporting to the Ministry of Industry and Trade to consider any possible solutions./.

APPENDIX 6

SAMPLE ELECTRICITY MARKET OPERATIONAL REPORT

(To the Circular No. 24/2019/TT-BCT dated November 14, 2019 of the Minister of Industry and Trade on amendments and supplements to several articles of Circular No. 45/2018/TT-BCT dated November 15, 2018 of Minister of Industry and Trade on operation of competitive wholesale electricity market, and amendments or supplements to several articles of Circular No. 56/2014/TT-BCT dated December 19, 2014 of Minister of Industry and Trade on methods of determination of electricity generation costs, processes for inspection of power purchase agreement)

Sample 01

Electricity market operational report of month …

To: Electricity Regulatory Authority

Report contents:

1. Proportion of power plants’ participation in the electricity market.

2. Power market planning, scheduling of mobilization of power plants and real-time dispatch.

3. Electricity market price (power generation and purchase stages).

4. Calculation of settlement and confirmation of electricity market settlement statements.

5. Market revenue of power plants and purchase costs of wholesale buyers.

6. Situations of the acquisition of metering data and operation of information technology systems serving the electricity market and the electricity system, and the public disclosure of electricity market information at the generation and purchase stages.

7. Issues and recommendations.

Sample 02

Electricity market operational report of year …

To: Electricity Regulatory Authority

Report contents:

1. Proportion of power plants’ participation in the electricity market.

2. Power market planning, scheduling of mobilization of power plants and real-time dispatch.

3. Electricity market price (power generation and purchase stages).

4. Calculation of settlement and confirmation of electricity market settlement statements.

5. Market revenue of power plants and purchase costs of wholesale buyers.

6. Situations of the acquisition of metering data and operation of information technology systems serving the electricity market and the electricity system, and the public disclosure of electricity market information at the generation and purchase stages.

7. Issues and recommendations.

Sample 03

Electricity market operational report of year …

To: Electricity Regulatory Authority

Report contents:

1. Assessment of compliance with electricity market regulations.

2. Results of generation output and revenue.

3. Issues and recommendations.

Sample 04

Electricity market operational report of year …

To: Electricity Regulatory Authority

Report contents:

1. Assessment of compliance with electricity market regulations.

2. Provision and confirmation of metering data.

3. Demand forecast.

4. Requirements concerning electricity market settlement statements.

5. Results of purchase costs on the competitive electricity wholesale market.

6. Issues and recommendations.