Thông tư 25/2013/TT-BCT

CIRCULAR

STIPULATING ORDER OF AND PROCEDURES FOR GRANT, EXTENSION, AMENDMENT, SUPPLEMENTATION, WITHDRAWAL AND TIME LIMIT OF ELECTRICITY OPERATION LICENSES

Pursuant to Decree No. 95/2012/ND-CP dated 12 November 2012 of the Government stipulating functions, tasks, powers and organizational structure of the Ministry of Industry and Trade;

Pursuant to the Law on Electricity dated December 03^rd, 2004; the November 20^th, 2012 Law on amending and supplementing a number of articles of the Law on Electricity;

Pursuant to Decree No. 137/ND-CP dated October 21^st, 2013 of the Government detailing the implementation of a number of articles of the Law on Electricity and the Law on amendments, supplementation of a number of articles of the Law on Electricity;

At the proposal of the Director of the Electricity Regulatory Authority of Vietnam ("ERAV'"),

The Minister of Industry and Trade promulgates Circular stipulating order of and procedures for grant, extension, amendments, supplementation, withdrawal and time limit of Electricity Operation Licenses

Chapter 1.

GENERAL PROVISIONS

Article 1. Scope of regulation and subjects of application

1. This circular provides for order or and procedures for grant, extension, amendments, supplementation, withdrawal, time limit and sample of electricity operation license.

2. This circular is applied for organizations, individuals that participate in electrical activities as follows:

a) Consultancy on electrical sector, including:

- Consultancy on the planning on national electricity development; to provide consultancy on the planning on provincial-level electricity development and the planning on hydroelectricity.

- Consultancy on investment in building power plant projects; to provide consultancy on investment in building lines and substations;

- Consultancy on supervising the execution of power plant projects; to provide consultancy on supervising lines and substation projects.

b) Power generation;

c) Power transmission;

d) Power distribution;

e) Power trade;

f) Power retail;

g) Power import, export.

Article 2. Cases of exemption from electricity operation licenses

1. Generating power for own use, without selling power to other organizations, individuals.

2. Generating power with the installation capacity of under 50kW for selling power to other organizations, individuals.

3. Trading in power in rural areas, mountainous areas, sea islands and buying power with capacity of less than 50kV from the distribution power grids for selling directly to customers who use electricity in rural areas, mountainous areas or sea islands.

4. Moderation of the national power system and management over transactions on power market.

Article 3. Principal of granting electricity operation licenses

1. Electricity operation licenses shall be only granted to organizations, individuals that fully meet conditions for each sectors as specified in Decree No. 137/2013/ND-CP dated October 21^st, 2013 of the Government detailing the implementation of a number of articles of the Law on Electricity and the Law amending and supplementing a number of articles of the Law on Electricity and comply with provisions of this Circular.

2. Electricity operation licenses are granted to organizations, individuals for implementation of one or more electric activities as follows: consultancy on electric sector, power transmission, power distribution, power wholesale-retail and power import - export.

3. Power generation licenses are granted to organizations for executing power generation of each power plant.

Article 4. Principal of withdrawing electricity operation licenses

1. Electricity operation licenses shall be revoked in case the electric units violate Article 37 of the Law on Electricity; have demands on termination of their operation or transfer of their licensed activities to other units.

2. Electricity operation licenses shall be revoked according to each sector, each scope of activity.

3. The agencies that granted electricity operation licenses shall be competent to withdraw electricity operation licenses within their jurisdiction of granting licenses.

Article 5. Time limit of electricity operation licenses

Electricity operation licenses being granted with different time limits for electricity activities based on scope of activities, types of power projects, registration duration, capacity, qualification of electricity operation units, but no exceeding time limits as specified in the following Table:

Article 6. Scope of activities of electricity operation licenses

1. Licenses on electric consultancy shall be valid nationwide.

2. Licenses on power generation shall be valid for each power plant.

3. Licenses on power transmission, power distribution shall be valid within specific scope of management, operation of power grids.

4. Licenses on power wholesale, retail shall be valid within specific administrative areas

5. Licenses on power import, export shall be valid according to specific limits of the power transmitting and receiving units.

Article 7. Verification fees and charges for granting electricity operation licenses

1. Organizations, individuals being granted with electricity operation licenses shall pay fees for granting licenses and verification charges for granting electricity operation licenses in compliance with legal provisions.

2. The state agencies which grant electricity operation licenses shall use licensing fees and verification fees for granting electricity operation licenses in order to serve inspection works, grant of licenses, inspection and management of use of electricity operation licenses. Receipt, submission and use of licensing fees, verification fees for granting electricity operation licenses shall comply with legal provisions.

Chapter 2.

DOSSIERS OF REQUEST FOR GRANT, EXTENSION, AMENDMENT AND SUPPLEMENTATION OF ELECTRICITY OPERATION LICENSES

Article 8. Dossiers of request for grant, amendment, supplementation of licenses for consultancy on electricity

1. A request for grant, amendment or supplementation of an electricity operation license (comply with the sample at Annex 1 which is enclosed with this Circular).

2. A certified copy of the Business Registration License, the Establishment Decision or the Establishment Certificate of organization, individual that requested to be granted with the license.

3. The list of managerial officers, principal consultancy specialists (comply with Annex 7a which is enclosed with this Circular), and certified copies of the certificate of graduation, the practicing certificate and the labor contract signed with the consultancy organization.

4. List of projects having similar scale in which the consultancy organization or the principal consultancy specialists have executed.

5. List of equipments, technical means, and application software to serve consultancy works.

Article 9. Dossiers of request for grant, amendment, supplementation of licenses on power generation

1. A request for grant, amendment or supplementation of the electricity operation license (comply with the sample at Annex 1 which is enclosed with this Circular)

2. A certified copy of the Business Registration License, the Establishment Decision or the Establishment Certificate of organization, individual that requested to be granted with the license.

3. The list of managerial officers (the management board, the person who directly manage engineering and operation of the power plant), being enclosed with a certified copy of the diploma or the certificate of graduation. Documents which prove the training of workers who are directly involved in operation.

4. A copy of the Decision on the approval of investment project on power plant which was granted by the competent authority.

5. List of main electric work items of the power plant.

6. A copy of the technical documents which determine the installation capacity of each set of engines, agreement on connection of the power plant to the system, agreement on system of metering electricity in compliance with provisions.

7. Plan on fuel supply (for the thermoelectric plant)

8. A copy of the Report on environmental impact assessment or Commitment on environmental protection of the electric plant investment project which was approved or accredited by the competent authority.

9. A copy of the signed contract of electricity sale and purchase or the agreement on electricity sale and purchase.

10. A copy of the paper which certifies the verification result meeting technical requirements of equipments which were strictly requested with labor safety.

11. A certified copy of the paper which certifies the assurance of conditions on fire prevention and fighting in compliance with provisions.

12. A copy of the operation process of hydropower reservoir which was approved by the competent authority (for hydropower plant)

13. A copy of the Process of coordination in operating the electricity plant with the Electric system moderation unit, the process of operation and problem settlement, the list of equipment operation processes.

14. The acceptance minutes on infrastructural system of information technology, the control system of inspection and collection of databases serving the operation of electric system, electricity market in compliance with provisions.

15. The acceptance minutes on hydropower dam and energy gland and the registration on safety of the dam which was sent to competent authority; Report on verification result of the dam (for hydropower dam which was up to the verification period).

16. A copy of the acceptance minutes for each item of main electric works of the power generation project, the acceptance minutes of commissioning without conveyance or with conveyance of each set of engines, the acceptance minutes of total engine combination with conveyance of each set of engines.

Article 10. Dossiers of request on grant, amendment, supplementation of the licenses of power transmission, power distribution

1. A request for grant, amendment, supplementation of the electricity operation license (comply with the sample at Annex 1 which is enclosed to this Circular).

2. A certified copy of the Business registration certificate, the establishment decision or the establishment certificate of the organization which requested to be granted with the license.

3. The list of managerial officers (the management board, the person who directly manage engineering and operation of the power transmission / distribution grids), being enclosed with a certified copy of the diploma or the certificate of graduation. Documents which prove the training of workers who are directly involved in operation.

4. List of work items of main power grid which is operated by the current managing organization or is about to receive according to a decision of the competent authority.

5. A certified copy of documents which prove the assurance of conditions on fire prevention and fighting in compliance with provisions.

6. A copy of the connection agreement or contract.

7. A map on the boundary of power grids and scope of activities.

Article 11. Dossiers of request on grant, amendment, supplementation of the power wholesale or retail.

1. A request for grant, amendment, supplementation of the electricity operation license (comply with the sample at Annex 1 which is enclosed to this Circular).

2. A certified copy of the Business registration certificate, the establishment decision or the establishment certificate of the organization or individual that requested to be granted with the license.

3. The list of managerial officers (the management board, the person who directly manage engineering), being enclosed with a certified copy of the diploma or the certificate of graduation.

Article 12. Dossiers of grant, amendment, supplementation of the power import-export licenses

1. A request for grant, amendment, supplementation of the electricity operation license (comply with the sample at Annex 1 which is enclosed to this Circular).

2. A certified copy of the Business registration certificate, the establishment decision or the establishment certificate of the organization which requested to be granted with the license.

3. A copy of the document which approved the policies for the sale and purchase of electricity with foreign countries, plans of connection with power grid which have been approved for sale and purchase of electricity with foreign countries.

4. A copy of the power import-export contract; a copy of the paper suggested to purchase electricity or accepted to sale electricity of the foreign countries.

5. The principal diagram of power grid relating to power sale and purchase point and the coordination process of operation and problem settlement between the power seller and the power purchaser (if any).

6. A certified copy of the paper which confirmed the assurance of conditions on fire prevention and fighting at substations in compliance with provisions.

Article 13. Dossiers of request for extension of the electricity operation licenses

1. A request for extension of the electricity operation license (comply with the sample at Annex 1 which is enclosed to this Circular)

2. A copy of the Electricity Operation License and a certified copy of Business registration certificate, the establishment decision or the prevailing establishment certificate of the electricity unit which requested to be granted with the license.

3. Documents which proved the maintenance of conditions on licensed activities.

Chapter 3.

ORDER OF AND PROCEDURES FOR GRANT, EXTENSION, AMENDMENTS, SUPPLEMENTATION AND WITHDRAWAL OF ELECTRICITY OPERATION LICENSES

Article 14. Order of and procedures for grant, amendment and supplementation of electricity operation licenses

1. The organization, individual that has suggestion on grant, amendment, supplementation of the electricity operation license shall submit a dossier to the authority which grants the electricity operation license in compliance with provisions in Chapter II of this Circular and be responsible for the precision, fidelity of the dossier of suggestion for licensing (the dossier can be sent directly or sent via postal service).

2. Within 05 working days since the day of receiving a dossier of suggestion for grant, amendment, supplementation of the electricity operation license, the licensing authority shall be responsible for notifying in writing to the unit that requested to be granted with the license if the dossier is invalid and insufficient. In the written notification, reasons must be clearly stated and requests for supplementation or amendment of figures, documents and related information to complete the dossier.

3. In case the licensing authority requests for supplementation, amendment of figures, documents and related information, the unit that requested to be granted with the license shall amend, supplement and respond in writing within 15 working days since the date of receiving the request.

4. Within 30 working days since the date of receiving a valid and sufficient dossier, the licensing authority of the electricity operation license shall be responsible for carrying out inspection on the dossier, check at facility (if necessary) and grant, amendment or supplementation of the license.

5. During the dossier appraisal, practical inspection, if there is not sufficient conditions as specified in contents of the dossier, the licensing authority of the electricity operation certificate shall request the unit that requested to be granted with the license to supplement conditions or shall refuse to grant the license by a written document in which reasons shall be clearly stated.

6. The electricity operation license shall be made in 03 originals, 01 shall be given to the licensed unit, and 02 shall be filed at the licensing authority.

Article 15. Extension of electricity operation licenses

1. The electricity operation license shall be extended for each sector if it fully meets conditions as defined in Decree No. 137/2013/ND-CP of October 21^st, 2013 of the Government detailing the implementation of a number of articles of the Law on Electricity and the Law amending, supplementing a number of articles of the Law on Electricity.

2. Three months before the expiry of the electricity operation license, the electricity operation unit must prepare a dossier as defined in Article 13 of this Circular to request for an extension of the electricity operation license and perform according to order, procedures as specified in Article 14 of this Circular. In case the electricity operation license was expired or the licensed unit does not carry out order as specified in this Article, then the formation of dossier and order, procedures for request of granting the electricity operation license shall be applied as the first licensing.

3. The time limit of extension for electricity activities must not exceed half of the time limit of operation of such sector as defined in the electricity operation license which was granted for the first time.

Article 16. Order of withdrawal of the electricity operation licenses

1. Order of issuing a decision on withdrawal of an electricity operation license

a) In case the electricity operation unit violates Article 37 of the Law on Electricity and the agency issuing the sanctioning decision is the one granting the electricity operation license, the agency granting the electricity operation license shall be responsible for issuing a decision on withdrawal of the electricity operation license and a sanctioning decision at the same time;

b) In case the electricity operation unit violates Article 37 of the Law on Electricity and the state agency issuing the sanctioning decision is not the one granting the electricity operation license, the state agency granting the electricity operation license shall be responsible for issuing a decision on withdrawal of the electricity operation license according to the time limit as specified in the sanctioning decision. In case or refusal for withdrawal, the agency granting the electricity operation license shall reply in writing clearly stating reason thereof for the person signed decision on sanctioning violation;

c) In case the electricity operation unit has demand in terminating its operation or transferring its licensed activities to other organization or individual, within 30 working days since the date of receiving a request of the electricity operation unit or a request of a competent state agency and related documents, the state agency granting the electricity operation license shall be responsible for issuing a decision on withdrawal of the electricity operation license.

2. Within 02 working days since the date of issuing the decision on withdrawal of the electricity operation license, the agency granting the electricity operation license shall be responsible for sending the withdrawal decision to the unit being revoked the license and relevant state agencies or units; notifying information on the withdrawal of the license on the website of the licensing authority.

3. In case the electricity operation license is being revoked according to each operation sector or scope of activities, the agency granting the electricity operation license shall be responsible for amending the granted electricity operation license in accordance with the time of withdrawal according to the decision on withdrawal of the license.

4. In case the electricity operation unit violates provisions of clause 6 of Article 19 of this Circular, the state agency granting the electricity operation license is entitled to issue a decision on withdrawal of the electricity operation license and to notify information on the website of the licensing authority.

Chapter 4.

COMPETENCY IN GRANTING AND MANAGING THE USE OF ELECTRICITY OPERATION LICENSE

Article 17. Competency in granting electricity operation licenses

1. The Ministry of Industry and Trade shall grant electricity operation licenses for the following sectors:

a) Activities of power generation of big power plants which are of great importance on society-economy, national defense and security within the list being approved by the Prime Minister;

b) Activities of power transmission;

c) Activities of power import-export.

2. The Electricity Regulatory Authority of Vietnam ("ERAV'") shall grant electricity operation licenses for the following sectors:

a) Activities of power generation of power plants having scale of capacity from 03MW or more and not belong to the case as specified in point a of clause 1 of this Article;

b) Activities of power distribution;

c) Activities of power wholesale;

d) Activities of power retail;

e) Consultancy on electrical sector.

3. Provincial-level People's Committees shall grant or authorize the Department of Industry and Trade to grant electricity operation licenses for the following sectors:

a) Activities of power generation of power plants with the capacity scale of under 03 MW in the localities;

b) Activities of rural electricity distribution in the localities;

c) Activities of power distribution which is up to 35 kV voltage and the total installation capacity of substations is under 03 MVA for urban areas in the localities;

d) Activities of power retail which is up to 0.4 KV voltage in the localities;

e) Consultancy on electrical sector shall include:

- Investment consultancy on building projects of lines and substations having the voltage level of up to 35 kV, registering business in the localities;

- Supervision consultancy on executing projects of lines and substations having the voltage level of up to 35 kV, registering business in the localities;

5. In case the organization, individual that requests to be granted with the license for various activities in electrical consultancy, in which at least one activity is under the jurisdiction of the Electricity Regulatory Authority of Vietnam, then the electric operation license for these activities shall be granted by the Electricity Regulatory Authority of Vietnam.

Article 18. Obligations of the licensing authority of electricity operation

1. Receipt, appraisal, inspection and management of dossiers requesting for grant, extension, amendment and supplementation of electricity operation licenses. Guiding electricity units to comply with contents, order of and procedure for request of grant, extension, amendment and supplementation of electricity operation licenses in this Circular.

2. Settlement complaints on electricity operation licenses within the jurisdiction.

3. Inspection, supervision on the maintenance of conditions in the electricity operation licenses.

4. Withdrawal of electricity operation licenses within the jurisdiction according to the order specified in Article 16 of this Circular.

5. Proposing competent authorities to handle violations of electricity units according to legal provisions.

Article 19. Obligations of units being granted with electricity operation licenses

1. To operate electricity in compliance with contents as specified in the license.

2. To request extension or supplementation of electricity operation activities as having sufficient conditions according to provisions.

3. To maintain conditions of electricity operation as registered and licensed during the operation period.

4. To pay all types of fees and charges which are related to the electricity operation license in accordance with legal provisions.

5. To report to the state agency granting the electricity operation license, within 60 days before the termination of electricity operation or the transfer of electricity operation.

6. To report to the state agency granting the electricity operation license within 30 days when the address of the headquarters stating in the electricity operation license is changed.

7. Not to lease, rent or change contents in the electricity operation license itself.

8. To be subject to check, inspection and implementation of decision on settlement of competent authorities regarding the use of the license and operation conditions as registered.

9. To report the state agencies granting the electricity operation licenses and the local Department of Industry and Trade on the situation of yearly production and trade in the licensed sector before March 1^st of the following year.

Chapter 6.

ORGANIZATION OF IMPLEMENTATION

Article 20. Checking the electricity operation licenses

1. The Electricity Regulatory Authority of Vietnam shall be responsible for checking the implementation of this Circular in the whole country; handling difficulties and proposing contents for reporting the Ministry of Industry and Trade to amend or supplement this Circular.

2. Provincial-level People's Committees shall check the implementation of this Circular within the scope of management; handle difficulties and propose the Ministry of Industry and Trade to amend or supplement this Circular.

Article 21. Obligation of implementation

1. The Electricity Regulatory Authority of Vietnam is the state agency that receives and handles appraisal procedures for dossiers requesting grant, extension, amendment or supplementation or withdrawal of the electricity operation license for licenses under the jurisdiction of the Electricity Regulatory Authority of Vietnam and the Ministry of Industry and Trade.

2. The Departments of Industry and Trade are the state agencies that receive and handle appraisal procedures for dossiers requesting grant, extension, amendment or supplementation or withdrawal of the electricity operation license for licenses under the jurisdiction of the provincial-level People's Committees.

3. The units being granted with the electricity operation licenses shall be responsible for sending copies of the electricity operation licenses to the state-management agencies of electricity operation sector in the localities for reporting.

4. By January 15 of every year, Departments of Industry and Trade shall report to the Ministry of Industry and Trade on the situation of grant, extension, amendment, supplementation and withdrawal of electricity operation licenses in the localities.

Article 22. The implementation effect

1. This Circular takes effect on December 15^th, 2013. Decision No. 32/2006/QD-BCN of September 6^th, 2006 of the Minister of Industry promulgating Provisions on conditions, orders and procedures of grant, amendment, supplementation, withdrawal and management of the use of electricity operation licenses and Decision No. 15/2008/QD-BCT of July 1^st, 2008 of the Minister of Industry and Trade regarding the amendment, supplementation of a number of articles of Provisions which were promulgated together with Decision No. 32/2006/QD-BCN shall be ineffective on the effective date of this Circular.

2. Electricity operation licenses had been granted according to provisions of Decision No. 32/2006/QD-BCN and Decision No. 15/2008/QD-BCT shall continue being effective according to contents, time limit as stated in the license.

2. Director of the Electricity Regulatory Authority of Vietnam, Head of the Governmental Office, Chief of ministry-level Inspectorate, Directors of Departments, General Director of the General Department of Energy, Heads of relevant units under the Ministry of Industry and Trade, People’s Committees of provinces and central-affiliated cities and electricity operation units shall implement this Circular.

LIST ANNEXES

(Promulgated together with the Circular No. 25/2013/TT-BCT of October 29, 2013 of the Minister of Industry and Trade stipulating orders, procedures for grant, extension, amendment, supplementation, withdrawal and time limit of electricity operation licenses)