Hanoi (VNA) - The Hanoi People's Court on April 29 sentenced former Deputy Minister of Industry and Trade Hoang Quoc Vuong to six years in prison for "abusing position and power while performing duties” under Article 356, Clause 3 of the Penal Code, following a week-long trial concerning irregularities in a solar power case.
The court also imposed a six-year sentence on former head of the Electricity and Renewable Energy Authority under the Ministry of Industry and Trade (MOIT) Phuong Hoang Kim for the same offence. Ten other defendants received prison terms ranging from three to six years.
Three companies profiting from the defendants' violations were ordered to repay substantial sums to Vietnam Electricity (EVN). Specifically, the Licogi 16 Ninh Thuan Investment Renewable Energy JSC must return over 99 billion VND (3.96 million USD), the Thuan Nam Solar Power Co., Ltd. more than 944 billion VND, and the Loc Ninh 3 Energy JSC over 209 billion VND.
The court suggested that relevant ministries, agencies, and Ninh Thuan provincial authorities review the implementation of the Prime Minister’s Decision No.13 on incentives for solar power development in Vietnam. The goal is to issue timely guidance or propose legal amendments in accordance with the law.
According to the Hanoi People’s Procuracy, wrongdoings in the Thuan Nam solar power project are grave, undermining the integrity of state operations.
Vuong was found to have manipulated the drafting of Decision No. 13 to expand eligibility for the preferential electricity price of 9.35 US cents/kWh, enabling unauthorised projects to benefit.
In August 2018, the Government issued Resolution No. 115/NQ-CP outlining special mechanisms to support Ninh Thuan’s socio-economic development. The resolution specified that solar projects with a combined capacity of 2,000 MW, approved by the PM, would qualify for preferential pricing until the end of 2020.
Tasked with drafting Decision No. 13, the MIT, under Vuong’s direction, allegedly expanded the scope of beneficiaries, allowing two ineligible solar power plants to receive the preferential rate. This caused EVN to incur losses exceeding 1.043 trillion VND./.
