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Purchase price for biomass power adjusted up

The Prime Minister has promulgated a decision adjusting up the purchasing price for biomass power.

Under Decision 08/2020/QD-TTg, which amends and supplements several articles of Decision 24/2014/QD-TTg on mechanisms to support the development of biomass power in Vietnam, the purchase price for electricity generated by combined heat and power generation (CHP) projects at the delivery point is 1,634 VND (7.03 US cents) per kWh, higher than the 1,220 VND per kWh in the previous regulation (according to the VND/USD exchange rate announced by the State Bank of Vietnam (SBV) on February 21, 2020).

For other projects, the purchase price at the delivery point is 1,968 VND (8.47 US cents) per kWh.

The above-mentioned prices do not include value added tax and are adjusted following the fluctuation of the US dollar based on the reference exchange rate announced by the SBV on the date that the seller issues the invoice.

Biomass power projects that have generated electricity before March 5, 2020 are subject to the above-mentioned electricity purchase price from April 25.

Biomass power projects use biomass energy, such as by-products and waste in agricultural production, to produce electricity./