Format of domestic PPA from October 16, 2023

The Ministry of Industry and Trade issues the format of domestic power purchase agreement (hereinafter referred to as “PPA”) in the appendix attached with this Circular.

 Format of domestic PPA shall come in physical form or electronic form. The agreement shall be written in the Vietnamese language.

The parties may negotiate about using other ethnic dialects of Vietnam or foreign languages.

For the signers of domestic PPA, Article 4 prescribes that:

Signers of the Buyer shall be representatives of the buyers who must have full civil act capacity as prescribed by law and a written request for power purchase attached with the residence information of their households at the place of electricity purchase, or documents proving the ownership, management and use at the place of electricity purchase.
 

If the Buyer consists of multiple households sharing electricity under 1 agreement, signers shall be representatives of these households who are authorized by the households in writing.

Sharing households must have full civil act capacity as prescribed by law and a written request for power purchase attached with the residence information of their households at the place of electricity purchase, or documents proving the ownership, management, and use at the place of electricity purchase

The PPA shall specify the number of sharing households (with attached lists) and applicable electrify price according to regulations by the Ministry of Industry and Trade.

If the Buyer is a tenant, signers of the Buyer shall be identified in accordance with regulations on electricity retail price promulgated by the Ministry of Industry and Trade.

The effective period of PPAs shall be agreed upon by the parties. The effective period of PPAs shall start from the date of signing to the date of expiry as per the law unless otherwise agreed upon in detail by the parties.

The Circular No. 16/2023/TT-BTC takes effect on October 16, 2023.