• Week of February 18, 2019

    News Summary:

    • NDRC encourages more foreign investment
    • Beijing Olympic Committee and State Grid sign contract for green power supply
    • Jiangsu to eliminate more than 2.8GW of thermal power projects in next two years
    • Shanghai to fund high-end smart equipment projects up to 30 million CNY
    • 2018 report shows Jiangxi wind power generation above 4TWh for 31.35% YOY increase

     

     

    NDRC encourages more foreign investment

    The National Development and Reform Commission (NDRC) and the Ministry of Commerce (MOC) have released "Industry Directory for the Promotion of Foreign Investment", which is now in its draft stage and open for comments from the public. This notice has two intentions: 1) to revise the current guide for foreign investment industries, which applies to foreign investors and investment projects in various Chinese provinces and 2) to revise the list of advantageous foreign-invested industries in China’s central and western regions. The overall orientation of these revisions is to encourage more foreign investment in a large number of industries and technologiesincluding renewable energy, renewable power generation equipment, key equipment manufacturing and clean power plants. (NDRC)

     AzureChinaCleantechNews18Feb2019 01

     

     

    ”Industry Directory for the Promotion of Foreign Investment” actively encourages more foreign investment in modern agriculture, advanced manufacturing, high-tech, modern service industries, etc., giving foreign capital a larger role in the transformation and upgrade of traditional industries, the development of emerging industries and the promotion of a sound economy in China.

     

     

    Beijing Olympic Committee and State Grid sign contract for green power supply

    The Beijing Olympic Organizing Committee and the State Grid Corporation announced that both Beijing 2022 Winter Olympics and Winter Paralympic Games venues would adopt “Green Power” in an effort to promote the widespread use of green energy in cities such as Beijing and Zhangjiakou in the future. China Huadian signed the contract as a representative of clean energy power generation enterprises (Xinhuanet)

     AzureChinaCleantechNews18Feb2019 02

     

     

    Jiangsu to eliminate more than 2.8GW of thermal power projects in next two years

    The Jiangsu Development and Reform Commission (DRC) has stated in a notice that eliminating the backward production capacity of thermal power units is a primary initiative of the power industry, to be carried out by accelerating the transformation of development methods, promoting energy conservation and emission reduction and optimizing the power structure. A total of 72 units of 2.83GW thermal power plants are listed in the notice, with the target timeframe for elimination within two years after the “Thirteenth Five-Year Plan”. (Jiangsu DRC)

     

     

    Shanghai to fund high-end smart equipment projects up to 30 million CNY

    The Shanghai Municipal Commission of Economy and Informatization (SHEITC) has just launched a special report on Shanghai’s first breakthrough R&D project of high-end smart equipment, which includes offshore wind turbines of 6MW and above and onshore wind turbines of 2-3MW and above. The report states that the project will be funded by SHEITC, in which the allocation offund for each project will not exceed 30% of the amount of the first equipment sales contract. The first international equipment project will receivefunding of 20-30% of the contract amount not exceeding 30 million CNY. (Sheitc)

     AzureChinaCleantechNews18Feb2019 03

     

     

    Report shows Jiangxi2018wind power generationexceeds 4TWh, a 31.35% YOY increase

    In the first three years of the “Thirteenth Five-Year Plan”, the growth rate of electricity consumption in Jiangxi Province hasincreased stably and is now ranking 9th in the country with an average annual growth rate of 9.54%. In 2018, the province's electricity production and consumption continued to maintain rapid growth, with total consumption reaching 142.877TWh, a YOY increase of 10.42%, and power generation reaching 130.145TWh, a YOY increase of 9.77%. (Jiangxi DRC)

     AzureChinaCleantechNews18Feb2019 04

    AzureChinaCleantechNews18Feb2019 05

     

  • Week of March 11, 2019

    News Summary: 

     

    • Tianjin DRC releases 2019 onshore wind tariff competition results
    • Electricity price for commercial consumption to be reduced 10% in 2019
    • Jiangsu DRC terminates more than 1.5GW of wind projects
    • More than 8GW of wind projects approved but not yet built in IMAR
    • SPIC and CSIC sign strategic cooperation agreement
    • Construction on Nanjing 130MW/268MWh Battery Storage Power Plant begins

     

     

    Tianjin DRC releases 2019 onshore windtariffcompetition results

    14 onshore wind projects participated in the competitive bid representing a total capacity of 905MW. Developers have committed to on-grid tariffs ranging from 0.44 CNY/KWh to 0.55 CNY/KWh. (Tianjin DRC)

    AzureChinaCleantechNews11Mar2019 07

     AzureChinaCleantechNews11Mar2019 08

     

    This is the second announcement of well-awaited competitive price bidding results in China, following Ningxia's results in December 2018 (see Azure News). Based on its relatively low wind resource, Tianjin is classified as a type IV zone, which up until last year meant an onshore wind FIT of 0.57 CNY/KWh. The results of the competition show developers have committed for on-grid tariffs which are 3% to 22% lower compared to the previous FIT level. The lower end now brings us closer to grid parity, as coal power plants in Tianjin sell electricity for 0.36 CNY/kWh. What remains unclear is the consequence of this bidding: results will determine the rank of each project on the Tianjin construction plan but we yet have to find out how many projects can get on the plan in total, and what happens if a project fails to get on the list several years in a row. Given that Tianjin is a "green zone" with no curtailment, the local DRC can decide of the construction plan without approval from central government.

     

    Electricity price for commercial consumption to be reduced 10% in 2019

    The Government Work Report of the second meeting of the 13th National People’s Congress revealed the 2019 goals of reinforcing power marketization reform, refining add-on pricing for electricity and reducing the cost of electricity consumption in manufacturing. It was also revealed that the average electricity price for commercial consumption would be reduced by 10% in 2019. (GOV)

    AzureChinaCleantechNews11Mar2019 01

     

    According to a State Grid report, the electricity price burdenof the commercial sector was reducedby 79.2 billion CNY last year, a decrease of 12.4%,therefore achieving the target of reducing average industrial and commercial electricity price by 10% in 2018.

     

     

    Jiangsu DRCterminates more than 1.5GW of wind projects

    Following National Development and Reform Commission (NDRC) requirements, Jiangsu DRC released the list of wind projects that are being terminated totaling 1,564.5MW, of which two are offshore:

    1. Projects that have been approved but have not been built within the project construction period: 144MW
    2. Projects that have been incorporated into the annual construction plan during the “12th Five-Year Plan” period, but failed to be completed as required: 245.5MW
    3. Projects that have been incorporated into the annual construction plan during the “13th Five-Year Plan” period, but failed to be completed as required: 1,175MW
      (
      Jiangsu DRC)

    AzureChinaCleantechNews11Mar2019 02

    In this document, it was also mentioned that in Jiangsu there are 1,846MW of wind projects that have been approved but have not yet started construction.

    The two aforementioned terminated offshore wind projects are:

    1. Datang Dafeng 100MW - incorporated into the annual construction plan during the "12th Five-Year Plan" period, but failed to be completed as required
    2. Sinohydro Rudong C1# 76MW - incorporated into the annual construction plan during the "13th Five-Year Plan" period, but failed to be completed as required

     

     

    More than 8GW of wind projects approved but not yet built in IMAR

    In Inner Mongolia Autonomous Region (IMAR), more than 8GW of wind projects have been approved but have not yet started construction, while another 1,718.5MW have been terminated by IMAR DRC.

    1. Projects that have been approved but have not been built within the project construction period: 1,518.5MW
    2. Projects that have been incorporated into the annual construction plan during the “13th Five-Year Plan” period, but failed to be completed as required: 200MW

    AzureChinaCleantechNews11Mar2019 03

     

     

    SPIC and CSIC sign strategic cooperation agreement

    State Power Investment Corporation (SPIC) and China Shipbuilding Industry Corporation (CSIC) have signed a strategic cooperation agreement under which the two parties will carry out extensive cooperation in the fields of nuclear energy, wind power, solar and hydro energy. (SPIC)

    AzureChinaCleantechNews11Mar2019 04

     

     

    Construction on Nanjing 130MW/268MWh Battery Storage Power Plant begins

    The Nanjing Battery Storage Power Plant, which began construction in Jiangbei New District on March 6, will be the largest grid energy storage station in China.(Jiangsu China)

    AzureChinaCleantechNews11Mar2019 05