FiT was introduced to support early development of renewable energy sources by providing a guaranteed, above-market price for producers to sell energy back to the grid.
The rush to invest in wind energy to take advantage of the Government''s pricing incentives could lead to overloading of the national grid in a repeat of the solar scenario.
Bidding for electricity projects instead of using the feed-in tariff price mechanism would make Viet Nam''s electricity more transparent and offer cheaper consumer power prices.
Many businesses and investors are waiting for the Government’s decision on FiT rate for solar power projects nationwide, to set up long-term investments in solar power projects.