DECIDED

APPROVAL OF ELECTRICITY SUPPLY PROGRAM FOR RURAL, MOUNTAINS AREA

AND THE ISLANDS, PERIOD 2013 - 2020

------------------------

PRIME MINISTER

Pursuant to the Law on Organization of the Government of December 25, 2001;

Pursuant to the Electricity Act December 14, 2004 and the Law amending and supplementing some articles of the Law on Electricity November 20, 2012;

Pursuant to the State Budget Law December 16, 2002;

At the proposal of the Minister of Industry and Trade,

DECIDED:

Article 1. To approve the program of electricity supply for rural, mountainous and island period 2013-2020 (hereinafter referred to as Program) with the main contents are as follows:

1. Viewpoints

- Attracting investment resources developed electric grid to provide quality assurance in rural areas, mountainous areas and islands in order to create conditions for people in rural areas, remote areas, remote areas, ethnic minorities, regional economic conditions - particularly difficult socio used to produce electricity and serve life.

- Implement State motto and the people, the central and local development and employment in rural electrification. Combine of rural electricity supply program to the national target program on new rural construction and other related programs in rural areas, mountainous and island areas.

- Development of rural electrification, including the construction of new and reconstruction of existing electric system, in accordance with the planning, combined with the arrangement of population in each area; development focus, focus, take steps in line with the financial ability to balance. Providing power for villages without electricity, the local rate of rural households use electricity from the national grid is lower than the national average rate, the weak key areas of security, defense.

2. Objectives

a) Overall objective: Motivating the target program on poverty reduction and improving the material life, spirit, contributing to justice, social security and strengthening of unity among peoples, maintain political security and social order and safety; facilitate the restructuring of the production of people in rural areas, mountainous areas, contribute to the improvement and narrowing the development gap in the region and between regions in a sustainable way, achieve the objective of eradicating hunger and poverty reduction in the region deep-lying, remote and ethnic minorities, regional economic conditions - especially social difficulties..

b) Specific objectives:

- Power supply from the national grid to rural areas, mountainous areas and islands; along with the supply of electricity from renewable energy, implementation of 2015 targets essentially communes nationwide have electricity brought to the town center, 2020 most of the rural households have electricity , with:

+ The number of persons granted power: 57 communes.

+ The village is supplied with power: about 12140 villages.

+ The number of households is powered: approximately 1.2889 million households.

- In the period 2013 - 2015:

+ The number of persons granted power: 40 communes.

+ The village is supplied with power: about 2,500 villages.

+ The number of households is supplied with power from the electrical national network meeting l: about 140 800 households.

- Orientation for the period 2016 - 2020:

+ The number of persons granted power: 17 communes.

+ The village is supplied with power: about 9640 villages.

+ The number of households c hamlet electricity from the national grid: about 1.1268 million households.

+ The number of households is powered from an external power source i Luo national power: about 21,300 households.

3. Timing and scope of implementation of the program of rural electricity supply

- Duration: From 2013 through 2020.

- The scope of implementation: In rural areas throughout the country, focusing on geographical areas mountainous, remote, border and island areas, areas inhabited by ethnic minorities, regional economic conditions - special social difficulties.

4. Orientation electricity supply and investment phases:

a) Orientation Power:

- Power supply from the national grid to communes and villages have investment interest for a household power supply is not too high; villages vital to national security.

- The power sector investment for a household electricity supply from the national grid is too high to be studied powered by an external power source such as the national grid: Electric wind, small hydro, micro hydro, electricity solar, battery charging station, ....

b) Investment phases:

- In the period 2013 - 2015:

+ Prioritize investment projects being implemented.

+ The commune without electricity.

+ The village borders, the region should strengthen security, political, social..

+ Communes and villages belonging to the local rate of households using electricity from the national grid is lower than the overall national average.

+ The village had planned arrangement, stable population distribution.

+ The village does not have electricity in the communes of the National Target Program on building new rural phase 2010 - 2015.

- In the period 2016 - 2020:

+ Completion of bringing electricity to most of the rural households in the country.

+ Investment in grid development to supply the national grid for ethnic minority in the communes and villages have no electricity investment rate is not too high.

+ Investments powered by the local power sources (renewable energy sources, battery charging stations ...) to the hamlet extremely difficult unable power supply from the national grid or power supply from the grid countries with large cost overruns.

5. The need for capital and program implementation funding rural power supply, mountains, islands period 2013-2020:

a) The need for investment:

- The total investment capital needs: about 28 809 billion.

+ Capital powered by the national grid: about 27 328 billion.

+ Capital powered by a source outside the national grid: about 1,481 billion.

- Classified by investment funds:

+ Capital central budget and ODA: about 24 709 billion.

+ Counterpart fund investors: about 4,100 billion.

b) Investment phases in stages:

- Demand for investment period 2013 - 2015: approximately 4,881 billion.

+ Investment in new electricity supply communes without electricity: about 684 billion.

+ The project was implemented, there were funds: about 2,619 billion.

+ Prepare investment and investment power to the villages particularly urgent (when ODA): approximately 1,578 billion

- Orientation for the period 2016 - 2020: about 23 928 t copper dependence.

+ Complete Power communes without electricity: about 388 billion;

+ Investments to provide electricity to villages from the national grid: about 22 059 billion.

+ Investments powered by sources other than the national grid: about 1,481 billion.

Investment needs of the program and of the provinces and centrally-run cities (hereinafter referred to as the provincial or local) named in the list in the Annex attached to this Decision shall be precise when coffee approval of investment projects of rural power supply in the locality of the local.

C) Investment funds:

- Capital central budget and local budgets.

- Capital official development assistance (ODA).

- The capital of Vietnam Electricity (EVN).

- Mobilizing contributions c brewed a residential community.

- The other legal funds.

6. The main measures for implementation of the program:

a) Investment mechanism:

- electricity projects in rural, mountainous and island areas (hereinafter referred to as rural electricity supply projects or project) is deploying: Continue to implement the mechanism has been approved by the competent authorities.

- For rural electricity supply projects from the national power grid:

+ Central budget capital and ODA capital investment accounted for 85%.

+ Owner: 15% balance their investment capital.

- For rural electricity supply projects from external power supply the national grid:

+ Central Funds budget and ODA accounted for 100% of capital procurement and construction.

+ Investor self-balancing the remaining stake.

- The provinces and centrally-run cities not named tr ong list in the Annex attached to this decision; projects of Vietnam Electricity perform renovation and upgrading of rural power network after receiving the grid: The mobilization of capital for rural electricity supply projects comply with current regulations.

- The Electricity Corporation of Vietnam Electricity layout realized capital renovation, upgrading the power grid to ensure power supply when making the rural electricity supply projects in this program.

- People's Committees of provinces have projects in the program areas and mobilizing people directly benefit from the program voluntarily participate and contribute in the work of clearance at the positions of columns and corridor line (except residential land, buildings, constructions affected by the construction of medium-voltage grid cable network d) to implement the project.

b) The capital investment and investment balances:

- For ongoing projects:

+ The project is implemented from ODA capital has been arranged under the loan agreement, to finance: Continue to implement the decisions had been approved by the competent authorities.

+ The project being implemented by the central budget funds had capital plan: To continue to allocate funds from the central budget for next year, according to the plan approved by the competent authorities.

- For the preparation of investment projects, investment in new electricity supply by the national grid:

+ Use the central budget support has targeted annual plans and/or from loans, financing tr burp under the Government's ODA loan agreement, specific funding.

+ Counterpart fund investors by owner consistent annual balance suitable with the project schedule.

+ The contribution of the households in the work clearance.

- For investment projects charge a new e powered by an external power source the national grid:

+ Mainly using ODA funding grant of the Government under the Agreement-specific financing, the Central budget support tr ong the case of special requirements.

+ Counterpart fund investors by investors annual balance consistent with the project schedule.

+ The contribution of the households in the work of clearance.

c) Mechanisms for coordination, communication investor:

- Program Coordination Agency: Ministry of Industry and Trade.

- The agency in charge of projects in the program:

+ For the rural electricity supply project is invested by EVN: project managing agency is the Ministry of Industry and Trade.

+ For the rural electricity supply project by the province's investment incubated ch: C Matt project executing agency is the provincial People's Committee of the project.

- Owner of rural electricity supply projects:

+ For investment projects in electricity supply from the national grid:

. Each province in the list in the Annex attached to this decision an investor d o implementation of rural electricity supply projects locally. Investors organizations in developing and implementing projects under Tun ginvestment period, divide the project components fit arrangement, announced       Hotel Central budget support targeted or e To ODA project implementation;

. For the provinces have been the Prime Minister agreed undertakings project implementation journals and rural power and potentially arrange counterpart funding for the project, the provincial People's Committee assigned to agencies provincial function as an investor;

. For the rest of the program, delivered p ow EVN implemented functions and duties of the investor; EVN assigned to the Electricity Corporation as an investor;

. Before implementation of the project, the necessary h e p investors adjusted between the provincial People's Committee and EVN: The Ministry of Industry and Trade, working with the provincial People's Committee and EVN, reported Prime Minister for consideration and decision.

+ For investment projects in electricity supply from the national power grid:

. Provincial People's Committee of implementation, the provincial People's Committee assigned to functional agencies of the province as an investor.

. Investors organizations in developing and implementing projects in line with the h e p sorted, arranged central budget assistance or ODA aims to implement the project.

d) The management of operation:

- For investment projects in electricity supply from the national grid: Delivery Vietnam Electricity receive capital and assets after the investment, management and operation and sale of electricity to households under the current regulations .

- For investment projects outside the power supply from the national grid source: People's Committee of the organization managing the operation and exploitation of the project after the investment.

Article 2. Organization of implementation

1. The Ministry of Industry and Trade:

- Responsible for the direction and coordination of program implementation.

- Assign tasks to a subordinate units perform management tasks, coordinate program implementation.

- To guide the process, procedure: Preparation, evaluation and approval of projects and an implementation of Investment Investment in rural Electricity projects; registered capital project execution; monitor the process and report the results an implementation of the project.

- Defining the maximum investment capacity of power supply to a rural household, in accordance with the characteristics of each region, in each period.

- Lead and coordinate h e Ministry of Planning and Investment, the Ministry of Finance to work with donors and international financial institutions to finance ODA for Vietnam to implement additional program funds.

- Based on the status of implementation and the annual demand of capital projects in the program and propose to the Ministry of Planning and Investment, Ministry of Finance of the annual capital plan for rural electricity supply projects in Program.

- Approving the rural electricity supply projects implemented by EVN.

- Agreement of the project portfolio of rural electricity supply projects in line with the provisions of this Decision for the rural electricity supply projects by the provincial People's Committee made ​​before the provincial People's Committee for approval investment projects.

- To coordinate and organize the implementation of technical assistance projects tr ong the Agreement ODA loan any given investment in rural power projects under current regulations.

- Host and coordinate with ministries, branches and localities in organizing regular inspection and monitoring process tr ong program implementation; organizational review and evaluate the results of implementation of the program on a regular basis every year, each period, reporting to the Prime Minister.

2. The Ministry of Planning and Investment:

- Lead and coordinate with the Ministry of Finance, Ministry of Industry and Trade based on the investment stage of the rural electricity supply projects were approved for a total capital needs of the central budget for the program.

- Every year, based on the ability to balance the budget invested by the Central Government, the implementation and the annual capital needs of the project in the program as proposed by the Ministry of Industry and Trade, Ministry of Planning and Investment in coordination with the Ministry of Finance, Ministry of Industry and Trade and relevant agencies to draft the projects supported from the central budget for the project, based on which a sum-total state budget estimates annual government report submitted to the National Assembly for consideration and decision in accordance with the Law on state budget.

- Lead and coordinate with the Ministry of Industry and Trade, the Ministry of Finance proposed to donors, the international financial institutions to finance ODA for Vietnam to replenish capital program implementation.

3. The Ministry of Finance:

- Implementing the annual financial balance to allocate funds for the program under the approved phasing.

- Coordinate with the Ministry of Planning and Investment, the Ministry of Industry and Trade to develop mechanisms to mobilize funds to support investment in rural power grids; and proposed working with donors and international financial institutions to finance ODA for Vietnam to replenish capital program implementation.

- Lead and coordinate with ministries and relevant agencies to guide the delivery and receipt of capital assets and capital repayment for rural electricity supply projects.

4. The other Ministries: The functions and responsibilities of each ministry, sector tr yoke to coordinate the Ministry of Industry and Trade, the provincial People's Committee, Vietnam Electricity handle relevant issues during implementing the program.

5. People's Committees of provinces and Cities belong to centrally:

- Provinces of rural electricity supply project in the program is the establishment of a project steering province's rural power supply by a leader of the provincial People's Committee Chairman, members include leaders of departments and agencies, people's Committees of districts, provincial electricity company to coordinate and direct the implementation and resolution of problems in the process of implementing the project locally.

- Responsible for implementation of compensation and ground clearance, directing local authorities informed advocate and mobilize people to participate in the clearance of column position and power line corridor for investors to implement the project.

- Directing arranged, rearranged populated regions and remote to facilitate the implementation of rural electrification projects; Steering effective integrated program of rural electricity supply to the program, other projects in the province.

- For the provinces assigned as an Owner:

+ Organization formulation, appraisal and approval of investment projects of rural electricity supply projects. Directing the authorities implementing the project under the current regulations and the provisions of this Decision.

+ Allocate sufficient funds for project implementation.

+ Sign up capital projects, plans to use the central budget to the Ministry of Industry and Trade annually to the Ministry of Industry and Trade balance, synthesis, to the Ministry of Planning and Investment, the Ministry of Finance to the Prime Minister for decision.

+ To coordinate with ministries, branches and arrange p ow annual capital investment implementation project under the current regulations, ensure on schedule.

+ Regularly inspect and supervise the implementation of the project management of rural electricity supply locally and implement the reporting regime as prescribed; quarterly management reports and the use of investment capital from the central budget as prescribed, send to the Ministries of Planning and D A K ế Investment, Finance and Industry and Trade.

- For projects apart from the mains power supply the national grid: In addition ng Inclusion of investors, the provincial People's Committee held operational management and operation of the project after the investment.

6. Vietnam Electricity:

- For rural power projects in the province implemented by EVN:

+ Hold up, the competent authority for evaluation and approval of projects.

+ Direct Power Corporation implemented the project to ensure the quality and progress.

+ Arrange adequate counterpart funding and implementation of investment projects of rural power supply in accordance with current regulations, to ensure on schedule.

+ Quarterly report management and use of investment capital from the central budget and registered capital needs from annual central budget as prescribed, send to the Ministries of Planning and Investment, Ministry of Finance and Ministry of Industry and Trade.

+ Coordinate with the People's Committees at all levels and departments of the province address the problems in the project implementation process.

- For rural electricity supply projects from the national grid by the provincial People's Committee as an ownwe: Perform reception, organization management and operation, selling electricity to households after the component projects was completed and put into use; organizations receiving funds and assets after the project components to be settled.

Article 3. Effect

1. Additional Program power supply in rural areas, mountainous and island period 2013-2020 to the list of programs targeted support from the central budget, issued together with Decision No. 60/2010 / QD TTg of September 30, 2010 by the Prime Minister.

2. This decision takes effect after its signing.

3. Ministers, heads of ministerial-level agencies, Government agencies, Chairman of People's Committees of provinces and cities directly under the Central Government, the Council members; Chairman of the Council members; General director of Vietnam Electricity and related agencies responsible for the implementation of this Decision. /.

APPENDIX

LIST OF LOCAL RURAL POWER PROGRAM, MOUNTAINS

ISLANDS AND THE PERIOD 2013 - 2020 
(Attached to Decision No. 2081 / QD-TTg dated 08/11/ 2013

of Prime Minister)

The provinces following mechanism Central budget and ODA loans 85% of Total investment, Owner Equity accounted 15% of  Total investment: