VIETNAM Law and Practice Contributed by: Adam Moncrieff and Thuy Huynh, Orrick
a standalone energy ownership ceiling. Even where formal competition risk is low, a buyer may still face intense regulatory scrutiny if the asset is strategically important or if the transaction affects a project with a significant public profile. A prospective electricity generation investor is not subject to a single statutory fitness test for all elec- tricity asset acquisitions, but capability still matters. Regulators and counterparties commonly look at whether the incoming investor has financial capacity, development, operational and technical experience and capability, and a credible plan to complete or operate the project. Under Vietnam’s PPP Law (Law No. 64/2020/QH14), investors in BOT power projects must satisfy specific eligibility criteria covering finan- cial standing, equity contribution capacity and rel- evant technical track record. That point is especially important for projects that remain under development, because the state is increasingly focused on wheth- er awarded capacity will actually reach commercial operation rather than remain tied up in what might in reality be a speculative venture designed to leverage a development right. 1.5 Central Planning Authorities Vietnam has a centralised planning model for the electricity. The MOIT remains the principal policy and regulatory authority, but major planning and invest- ment decisions still involve the Prime Minister and, depending on the issue, provincial people’s commit- tees and other ministries. The national electricity sec- tor planning basis is the Revised PDP8, together with its implementing regulations. In practice, these instru- ments do more than provide state policy direction; they decide which technologies, regions and project plans are politically acceptable. The NSMO is central to dispatch, balancing and mar- ket operations, while EVN and EVNNPT are the main bodies responsible for procurement, grid rollout and practical system management. Vietnam’s planning and operating model is still therefore highly state- planned. Developers therefore need to follow both the formal plan and the informal implementation signals that come from the MOIT and other state authorities.
Provincial authorities also matter more than overseas investors sometimes expect. Even when national poli- cy is supportive, a power generation project can stall if local land clearance, environmental approvals, access approvals or administrative co-ordination are weak. Often this is because of the experience and the ability to implement, or lack thereof, of state authorities. The relationship between central planning and provincial execution is therefore one of the defining features of power sector development in Vietnam, and explains why the same national policy can produce very differ- ent project outcomes across provinces. 1.6 Recent Changes in Law or Regulation The past year and the first half of 2026 have seen quite a bit of legislative change for Vietnam’s power sector, although how this plays out in terms of bringing much- needed new investment remains to be seen. The 2024 Electricity Law came into force in 2025 and was fol- lowed by many implementing decrees that now frame project development, licensing, direct power sales, and renewable or new energy policy. Taken together, they represent a real effort to modernise the sector’s legal architecture while preserving the state’s planning and system-control role. There is a plan to amend the Electricity Law as well. Several changes stand out. Decree No 56 reshaped the rules on power project development planning, pro- ject development and investor selection. Decree No 57 replaced the earlier direct electricity selling rules and strengthened the framework for direct power pur- chase arrangements between renewable generators and large consumers. Decree No 58 dealt with renew- able and new energy development, while Decree No 61 refreshed the licensing regime. Alongside those decrees, the MOIT also updated tariff and power pur- chase documentation for certain project categories and continued refining market and technical rules. PDP8 was updated in 2025. It increased 2030 capac- ity targets across a range of generating types, raised the target capacities of solar, wind, imported power and storage, and reintroduced nuclear generation into the medium-term policy picture. For industry spon- sors, lenders and large-scale electricity buyers, the most important message is that Vietnam is trying to ramp up electricity generating capacity faster than
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