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The 2026 waste electricity generation price frame is being proposed with a ceiling of 2,378.39 VND/kWh, down 7.64% compared to 2025, while many input parameters are said by experts and investors to not fully reflect the actual costs. Download The number of waste power plants that have been put into operation in recent times is still limited due to problems with many mechanisms. The Electricity Department (Ministry of Industry and Trade) is seeking opinions on the 2026 electricity generation price frame for waste power plants. According to calculations by Vietnam Electricity Group (EVN), the expected ceiling price is 2,378.39 VND/kWh, 7.64% lower than the applicable level in 2025. The price frame is calculated on the basis of many input parameters such as investment rate, operation and maintenance (O&M) costs, heat consumption rate, capital structure, loan source and related factors. During the comment process, some businesses and experts said that These parameters need to be updated more closely to the actual conditions of waste-to-energy projects in Vietnam. Waste power is different from many other types of power sources when a project simultaneously performs two functions: waste treatment and electricity production. Therefore, the effectiveness of the project is not only evaluated from the amount of electricity sold to the system but also from reducing the amount of waste that must be buried, saving land funds and reducing environmental pressure in urban areas. Investment rates and operating costs need to be close to reality. One of the issues of concern is the reference investment rate. According to the calculation plan, EVN uses data from the feasibility study report of Tra Vinh Solid Waste Treatment Plant, with an investment rate of about 120.16 million VND/kW. However, this data was built about 2 years ago, while the costs of equipment, materials, technical labor, logistics and exchange rates have fluctuated. Waste power projects also have specific technical requirements. The furnace and heat exchange system must use many heat-resistant and anti-corrosion materials; At the same time, it is necessary to invest in exhaust gas and fly ash treatment systems to meet increasingly high environmental requirements. According to EPC bidding data and feasibility study reports of a number of projects in the last 24 months, the investment rate can fluctuate around 140-148 million VND/kW. From there, the business proposed to review the reference investment rate in the price calculation plan. Mr. Nguyen Duc Thang, Director of Thermal Power and Waste Power Technical Department, VATEC Energy Consulting Co., Ltd., said that the investment rate also depends significantly on the scale of the plant. According to Mr. Thang, the investment rate being used to calculate is more suitable for large-scale projects with power generation capacity of about 50 MW or more. Meanwhile, for small projects, with a capacity of about 7.5-15 MW, the investment rate can be up to 6,000-6,500 USD/kW, equivalent to about 157-169 million VND/kW; Projects from 15-50 MW can be around 140 million VND/kW. Therefore, choosing a reference project needs to take into account differences in scale, technology and implementation conditions to limit the difference between calculated parameters and actual costs. Operation and maintenance (O&M) costs are also suggested to be considered by businesses. In the current plan, the fixed O&M cost ratio is determined at 2.1%. According to Mr. Nguyen Duc Thang, operating a waste power plant has many differences compared to other types of power generation using relatively stable fuel. Domestic waste in Vietnam generally has high humidity, uneven composition and has not been thoroughly classified at the source, directly affecting combustion efficiency and equipment longevity. In addition to maintenance costs for boilers, exhaust fans and equipment that are regularly affected by corrosion, factories also have to spend on exhaust gas treatment chemicals, activated carbon, catalysts, replacing dust filter bags, treating leachate and fly ash. According to data provided by some businesses during the comment process, O&M rates at some projects may be significantly higher than the 2.1% currently used. Therefore, businesses recommend that the Electricity Department review and adjust the O&M rate closer to actual operating costs. The price frame needs to properly account for the specific characteristics of waste electricity. Heat dissipation rate is also a parameter that investors and experts suggest adjusting. EVN calculates the net heat consumption rate to be 2,602.8 kcal/kWh, corresponding to an electricity generation efficiency of about 33%. According to comments, this efficiency level is close to coal-fired power plants using stable fuel, while domestic solid waste in Vietnam has high humidity, low calorific value and highly fluctuating composition. The actual electricity generation efficiency of waste power plants is only about 20-24%. Therefore, the net heat consumption rate of waste power is expected to be in the range of 3,583-4,302 kcal/kWh, about 1.5 times higher than the level in the draft. Businesses recommend that this parameter be determined on the basis of actual data of waste power plants with similar technology, scale and operating conditions, instead of using parameters asymptotic to coal-fired power plants. The actual process of building the 2025 price frame also shows the impact of updating input parameters. In early 2025, EVN proposed a maximum price for waste electricity at 1,974 VND/kWh. After the process of reviewing and updating so lieu, muc gia toi da chinh thuc duoc xac dinh la 2.575,18 dong/kWh, chua bao gom thue gia tri gia tang.Sang nam 2026, muc gia tran dang duoc de xuat giam xuong 2.378,39 dong/kWh.Theo ong Nguyen Duc Thang, neu ap dung muc gia nay, thoi gian hoan von cua mot so du an dien rac co the keo dai 15-17 nam, anh huong den kha nang thu xep von va suc hap dan doi voi
