Vietnam Blowin' in the Wind - The new Feed in Tariff (FIT) - what you must know:

1. Vietnam Blowin' in the Wind - The new Feed in Tariff (FIT) - what you must
know:
Decision No. 37 of the Prime Minister on supporting regime for wind power projects provides an
FIT of 7.8 UScent/ kWh. This FIT applies to two current projects in operation in Binh Thuan,
namely Phu Lac and Binh Thuan No. 1. For Bac Lieu near shore wind project, the FIT follows a
special financial regime, being 9.8 UScent/kWh. However, with the current FIT, the Ministry of
Industry and Trade (MOIT) opines that it will be difficult for these plants to recover their
investment capital.
Thus, the MOIT has recently proposed the Government to increase wind FIT for inland wind power
plants to 8.77 UScent/ kWh and to 9.97 UScent/kWh for near shore wind projects. This proposal
is expected to attract more investors in the market as well as create incentive for current projects
whose pre-feasibility reports have been approved by the MOIT to come into real operation.
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If you have any question on the above, please do not hesitate to contact Dr. Oliver Massmann
under omassmann@duanemorris.com. Dr. Oliver Massmann is the General Director of Duane
Morris Vietnam LLC.
Thank you very much!