Reporting at the meeting, Mr. Tran Minh Duc from the Licensing Office (Electricity Authority of Vietnam) presented a summary report on obstacles and bottlenecks in electricity licensing, while proposing several amendments aimed at strong and substantive reform.

According to the Licensing Office, the amendment of Decree 61 is being implemented in close alignment with the major policies of the Party and State, particularly the Politburo's resolutions on science and technology development, international integration, innovation in legislation, private economic development, and national energy security. Based on the review, issues related to electricity licensing have been identified into three focus groups: administrative procedure reform; removing institutional bottlenecks in planning, licensing, and capital mobilization; and implementing strong, clear decentralization.

Simultaneously, the Licensing Office synthesized numerous recommendations from local authorities and organizations, focusing on issues such as: licensing authority for electricity distribution, wholesale, and retail activities spanning two or more provinces; procedures related to rooftop solar; and methods for determining cases for new issuance versus amendment or supplementation of licenses.

On this basis, the Electricity Authority has developed amendments to Decree 61/2025/NĐ-CP, ensuring they fall within the scope of the 2024 Electricity Law, while also recommending content that requires amendment at the Law level for further improvement in the coming period.

A major highlight of the Draft Decree is the drastic and substantive reduction of administrative procedures in electricity licensing. Implementing the Politburo's Resolution No. 70-NQ/TW on ensuring national energy security and the Prime Minister's Decision No. 2671/TTg-CP dated December 10, 2025, on plans to cut and simplify administrative procedures, the Electricity Authority has comprehensively reviewed all conditions and dossier components in Decree 61.

Accordingly, the Draft Decree proposes to abolish 46 clauses and amend or replace 30 clauses related to licensing conditions and dossier components. Many documents deemed repetitive or no longer necessary have been proposed for removal. Notably, the Draft also abolishes the requirement to submit a "Rooftop Solar Development Registration Certificate" in the licensing dossier to synchronize with the Draft Amending Decrees No. 57 and 58 currently under development.

Review results show that the number of conditions and dossier components in many articles of Decree 61 has been significantly reduced. Some provisions were cut from 9 items down to 2. Many articles regarding dossiers saw their requirements halved compared to current regulations.

Clarifying Decentralization and License Exemptions

In addition to procedural reform, the Draft Decree amending Decree 61 also focuses on eliminating overlapping and inconsistent regulations, particularly in rooftop solar development. Practical implementation has shown that Decree 61 requires rooftop solar projects participating in the Direct Power Purchase Agreement (DPPA) mechanism to have a development registration certificate, while Decree 58 has not clearly specified the issuance process for this model. This lack of synchronization has been reported by many localities.

Overview of the drafting committee meeting for the Draft Decree amending and supplementing Decree No. 61/2025/NĐ-CP on electricity licensing.

To rectify this, the Electricity Authority proposes to abolish the requirement for the rooftop solar development registration certificate in licensing dossiers, ensuring consistency across legal documents as approved by the Prime Minister in the administrative procedure reduction plan.

Another important content is the clear definition of authority for issuing electricity licenses in distribution, wholesale, and retail sectors operating across two or more provinces. According to the proposal approved by Deputy Minister Nguyen Hoang Long, this authority will belong to central state management agencies to facilitate businesses and align with the 2025 Law on Local Government Organization.

The Draft also expands the scope of electricity license exemptions. For power generation facilities for self-use (not for sale), the proposed exemption has no capacity limit, even if connected to the national power system, provided there is no back-feeding to the grid. For rooftop solar selling surplus electricity or participating in the DPPA mechanism, the capacity limit for license exemption is proposed to be raised to 3 MW, aiming to promote this model and contribute to the implementation of the adjusted Power Development Plan VIII (PDP8).

Notably, the Draft Decree also clarifies, for the first time, the licensing of Battery Energy Storage Systems (BESS). According to the proposal, BESS systems intended for power generation whether installed alongside generation projects or operating independently must obtain an electricity license in the field of power generation. Conversely, BESS systems for self-use that do not sell electricity or feed into the grid will be considered in a manner consistent with operational reality.

In addition to the major points above, the Draft Decree proposes to abolish several transitional provisions that increase administrative burdens, adds regulations on the form of leasing or using premises for rooftop solar projects, clarifies dossiers for M&A or the separation of organizations and electricity assets, and supplements documents to determine the remaining operational period of projects during license renewal.

Technical adjustments regarding the deadlines for dossier supplementation and appraisal fee payments are also proposed to be extended, creating more favorable conditions for organizations and businesses during the administrative process.

Parallel to the amendment of Decree 61, the Electricity Authority is also implementing amendments to the Electricity Law, continuing to propose procedural simplification, thorough decentralization, and ensuring synchronization with regulations on planning and renewable energy development.

With a series of far-reaching reform proposals, the Draft Decree amending Decree 61/2025/NĐ-CP is expected to remove many bottlenecks in electricity licensing, creating a more transparent and favorable investment and business environment for energy projects, thereby contributing to national energy security in the coming period.

Source: Vietnam Industry and Trade Newspaper