For solar plants without battery storage, the tariffs are set at VND 1,382.7 ($0.053) per kWh in northern Vietnam, VND 1,107.1 per kWh in the central region, and VND 1,012.0 per kWh in the southern region. For projects incorporating battery storage, the FiTs increase to VND 1,571.98 per kWh in the north, VND 1,257.05 per kWh in the central area, and VND 1,149.86 per kWh in the south.
Floating photovoltaic (PV) installations have distinct tariffs. Without storage, the rates are VND 1,685.8 per kWh in the north, VND 1,336.1 per kWh in the central region, and VND 1,228.2 per kWh in the south. For floating PV systems with battery storage, the tariffs are VND 1,876.57 per kWh in the north, VND 1,487.18 per kWh in the central region, and VND 1,367.13 per kWh in the south.
The MoIT has mandated that battery storage projects under the FiT scheme must have a capacity of at least 10% of the PV plant’s total capacity and provide a minimum of two hours of storage. This requirement ensures efficient energy management and grid stability, supporting Vietnam’s renewable energy objectives.
“These tariffs reflect our commitment to expanding renewable energy while ensuring fair incentives for investors across Vietnam’s diverse regions,” said a representative from the MoIT. “By incorporating storage requirements, we aim to enhance the reliability of solar power and support sustainable energy development.”
According to the International Renewable Energy Agency (IRENA), Vietnam had an installed PV capacity of approximately 18.66 GW by the end of 2024, with 79 MW added during the year. The new FiTs are designed to encourage further investment in solar energy, particularly in projects that integrate storage to improve energy reliability.
The regional tariff variations account for differences in solar potential and infrastructure across Vietnam’s northern, central, and southern areas. Floating PV systems, which leverage water bodies for installation, receive higher tariffs due to their unique construction and operational needs. The inclusion of battery storage in the FiT scheme underscores Vietnam’s focus on modernizing its energy grid and reducing reliance on non-renewable sources.
These measures align with Vietnam’s broader strategy to expand renewable energy capacity and meet growing electricity demand sustainably. By offering tailored incentives and clear guidelines, the MoIT aims to attract investment and foster innovation in the solar sector, ensuring long-term energy security and environmental benefits for the country.
