• China Cleantech Update November 17, 2016

    News Summary:

    • NEA Releases Electric Power Sector Development Plan of the 13th Five Year Plan
    • CNBM International Purchases Ukrainian Solar Farm Operator Neptune Solar LLC
    • Gansu DRC Announces Completion of Jiuquan-Hunan ±800kV UHV DC Transmission Line and Construction of 200 MW Wind Farm in Tongwei, Gansu

     
     
     
    13th Five Year Plan: National Electric Power Sector Development Plan Released by the NEA 
    On November 7th, the long-awaited Electric Power Sector Development Plan of the 13th Five Year Plan was released by the NEA. Although further details are slated for release at a later date, key takeaways from this release include:

    • Targets for total electricity capacity by 2020 to reach 2 TW, up from 1.5 TW in 2015.
    • By 2020 thermal power capacity should be "controlled" by adding 200 GW to a total capacity of 1.1 TW
    •  Non-fossil fuel capacity is planned to reach 720 GW or 30% of total capacity.
    • Wind capacity is planned to reach 210 GW by 2020, including 5 GW of offshore wind.
    • Solar capacity is slated to reach 110 GW, including 60 GW of distributed solar and 5 GW of concentrated solar. (NEABJX CN)

     
    Along with renewable capacity expansion, the development plan includes concrete benchmarks for mitigating renewable curtailment, with the NEA calling for renewable curtailment to be limited to a "reasonable level" of 5%. National curtailment levels for wind and solar in 2015 were 15% and 13%, respectively. The plan also calls for implementing power trading spot market trials by the end of 2018, and a national rollout of spot markets by 2020. 
     
     
     
    Solar: CNBM International Purchases Ukrainian Solar Farm Operator Neptune Solar LLC
    CNBM International Corp of China recently completed a 100% purchase of Ukrainian Solar farm operator Neptune Solar LLC. Neptune Solar has a photovoltaic (PV) park in Mykolaiv region with a capacity of 29.3 MW operational since 2013. The Antimonopoly Committee of Ukraine has already approved the deal with CNBM, and CNBM is said to be interested in other solar assets in Ukraine as well.(SEE
     
    We expected overseas acquisitions to continue as domestic PV projects face lower tariffs and stiff solar curtailment. The national curtailment rate for 2015 was 13%, however, provinces with higher solar penetration such as Gansu and Xinjiang have been experiencing curtailment rates as high as 32% and 33%.
     

     

    (Ukrainian Solar Farm, Source:SEE
     

  • China Cleantech Update November 25, 2016

    News Summary:

    • NEA Publishes January to September 2016 On-Grid Wind Data
    • Total Electricity Consumption Statistics Published for October
    • Gamesa to Build 90 MW Offshore Wind Farm in Tianjin

     
     
     
    Wind: First Three Quarters On-Grid Wind Data Published by the NEA 
    The NEA published wind operations data from January to the end of September 2016. Ten GW of wind power came online during this period and wind power sent to the grid reached 169.3 TWh. The average utilization hours was 1,251, representing a decrease of 66 hours, or 5% from the same period in 2015. Wind curtailment was 39.5 TWh for an average curtailment rate of 19%. (NEA CN)
     

     

    (Source: Azure)
     
    In line with Azure'sprevious coverage of renewable curtailment in China, wind curtailment covered in this period is heaviest in Xinjiang (41%), Gansu (46%), IMAR (23%) and Jilin (34%). These provinces have historically been suffering from the highest curtailment rates in China, as local power consumption is relatively low while installed wind capacity is high. Xinjiang and Gansu have taken numerous measures to alleviate this issue, with Xinjianginvesting 180 million RMB in wind-to-heat projects, while Gansu recently completed a ±800kV UHV DC transmission line that should help send renewable power reach demand centers in Hunan province 
     

  • China Cleantech Update October 20, 2016

    News Summary:

    • Zhejiang DRC and NEA publish Electric Development Plan of the 13th Five Year Plan
    • Huadian Heavy Industry wins 1.8 billion RMB offshore wind project in Jiangsu
    • Spot Market Trials rumored to be implemented by the end of 2018
    • Jiuquan City, Gansu DRC approves wind curtailment energy storage demonstration project

     
     
     
    Policy: Electric Development Plan of the 13th Five Year Plan published by Zhejiang DRC and NEA
    The Zhejiang NEA and DRC released its Electric Development Plan as part of the provincial 13th Five Year Plan. The province plans to install new capacity of 15.2 GW including 13.3 GW of non-fossil energy by 2020, bringing the total installed capacity of the province to 94 GW. Further targets include:

    • 43.35 GW thermal
    • 13.1 GW renewable energy (excluding hydro)
    • 12.5 GW natural gas 
    • 9.07 GW nuclear
    • 7.04 GW hydro
    • 4.93 GW pumped hydro
    • 1 GW waste heat power generation (DRC CN

    The decreasing installations of new thermal capacity forecasted in Zhejiang's 13th Five Year Plan promotes an increased share of renewables in the province, as the percentage of installed renewable capacity is expected to rise from 40% in 2015 to nearly 50% in 2020.
     

     

    Source: NEA, Azure International
     

  • China Cleantech Update October 27, 2016

    News Summary:

    • NDRC Issues On-grid Tariff Adjustments for Wind and Solar
    • Beijing-Tianjin-Tangshan Regional Direct Power Trading Center Opens
    • NEA Halts Construction and Approval Process for Coal Power Projects in 28 Provinces

     
     
     
    Policy: New On-Grid Tariff Adjustments for Distributed and Utility Scale Solar, Onshore and Offshore Wind
    The NDRC recently issued new on-grid tariffs for wind and solar power. Onshore wind tariffs were reduced by 5% to 13%, while solar utility tariffs were reduced by 24% to 31%. The new feed-in tariffs now include differentiation between intertidal and offshore wind. Intertidal tariffs are set at 0.7 RMB/KWh and offshore are set at 0.8 RMB/KWh. (BJX CN)
     
    (Table of New On-Grid Tariffs for Renewables)

     

    (Unit RMB/KWh) (Source: Azure) 
     
    While a reduction in the feed-in tariff for renewables was expected, the nearly one-third cut for utility-scale solar projects means this reduction will likely lead to further consolidation in the local PV markets. Azure consulting may be able to help navigate the pricing policy landscape in China.
     

  • China Cleantech Update September 06, 2016

    News Summary:

    • NDRC, NEA jointly approve Beijing JingJinLi market development plan
    • Chongqing inaugurates direct trading center 
    • NDRC publishes grid pricing policy for concentrated solar power 
    • July electricity consumption and power generation data published




    Policy: NDRC, NEA jointly approve Beijing JingJinLi market development plan
    The NDRC and NEA approved an electricity reformation plan for the Beijing, Tianjin, and Hebei regions, commonly referred to as JingJinJi. Beijing plans to reduce its reliance on thermal generation sources by a to-be-determined level. One solid data point is to achieve 10% of consumption provided by renewable energy by 2020, excluding hydropower. (BJX CN)


    JingJinJi Market Development Power Transmission Plan

      

    Source: CPNN

  • China Cleantech Update September 12, 2018

    News Summary:

    • Zhejiang province to limit coal production and energy consumption
    • NEA publishes national coal power ultra-low emission and energy saving targets
    • Wind production accounts for more than 5% of national total in 1H2018
    • Fujian and Shandong cancel subsidies for distributed PV projects
    • China's first flexible high-voltage direct current (VSC HVDC) offshore wind farm
    • NDRC requires power trading companies to carry out shareholding reforms

     

     

    Zhejiang province to limit coal production and energy consumption

    According to this notice, Zhejiang will control the proportion of coal production, limit the development of high energy-consuming industries and promote development of new energy such as wind, PV and biomass. ( ZJDRC)

    Azure has summarized some of the key data in the graph below:

     AzureChinaCleantechNews01Sep2018 01

    Despite the notice announcing more support for new energy, we are in fact surprised by how small the numbers are for new wind installations. The projections are reasonable in light of historical installations, with average annual installations of 160MW over the past 7 years, but they are not in line with the target of reaching 4GW by 2020 according to the province's 13th 5 year plan, starting from 1.3GW in 1H2018.  We therefore assume that wind targets listed above are not including distributed wind projects nor offshore wind. Zhejiang currently has 252MW of offshore wind under construction and more than 1.2GW already approved.

     

     

    NEA publishes national coal power ultra-low emission and energy saving targets

    2018 National coal power ultra-low emission target: 48,680MW.

    Energy saving transformation target: 53,905MW. (NEA)

    Energy saving target map below:

     AzureChinaCleantechNews01Sep2018 02

     

     

    Wind production accounts for more than 5% of national total in 1H2018

    A total of82.9TWh of wind power was produced in China during1H2018 ,accounting for 5.4% of total on-grid power. Wind power trading reached 19.8TWh inluding 9TWh of cross-provincial trading. (CEC)

    1H2018 Wind power market trading diagram

    AzureChinaCleantechNews01Sep2018 03

    Large power generation groupshave participated in wind power transactions in 16 provinces,with the three provinces of Yunnan, Xinjiang and Gansu accounting for more than half. The average transaction pricein these provinces(including production as well ascross-provincialand / or cross-regionaltransmission price s) ranged between 0.37and 0.44 CNY/ kWh.

     

     

    Fujian and Shandong cancel subsidies for distributed PV projects

    Following the“531” < 国家发展改革委财政部国家能源局关于2018年光伏发电有关事项的通知> ( NDRC)policyrealised earlier this year, Shandong & Fujianprovinces are officially cancelling subsidies for newly connected PV project. The final subsidy amount or power tariff depends on the timing of both registration and connection of the project (BJX)

    Fujian distributed PV subsidy breakdown 

    AzureChinaCleantechNews01Sep2018 04

     

     

    China's first flexible high-voltage direct current (VSC HVDC) offshore wind farm

    ChinaHuadong Design Instituteis planning to open a groundbreaking 1.1 GW offshore wind farm 90 kilometres from the coast of Jiangsu Province in eastern China.DNV GL announced that it will provide technical support for the feasibility study of China's first flexible high-voltage direct current (VSC HVDC) offshore wind farm converter station.  ( BJX)

    Compared with traditional submarine high voltageAC power transmission(HVAC), VSC HVDC canminimizepowerlossesand is suitable for long distance and large capacity project.

     

     

    NDRC requires power trading companies to carry out shareholding reforms

    According to NDRC document #9 <中共中央国务院关于进一步深化电力体制改革的若干意见> and as part of the power market reform, many new power trading companies have been setup over the past two years. The result however is that most power trading companies are still wholly-owned subsidiaries of the grid company. In this new policy, NDRC now requires that preferably 50% and at least 20% of power trading companies stock be owned by enterprises independent of state grid.  ( NDRC

  • China Cleantech Update September 14, 2016

    News Summary:

    • State Grid Purchases Minority Stake in Third Largest Brazilian Energy Generation and Distribution Company
    • Shanghai Electric Power Announces Plans to Buy Controlling Stake in Pakistani Utility
    • China Three Gorges Corporation & State Grid Bidding on Brazilian Hydropower Company
    • Hebei Delegates Offshore Wind Approval Authority to Municipalities
    • NDRC & NEA Approve Pilot Projects for 16 Regions
    • Hunan Government Reduced Hydropower Sales Price

     
     
     
    M&A: State Grid Purchases Minority Stake in Third Largest Brazilian Energy Generation and Distribution Company
    State Grid Corporation of China finalized a 23.6% purchase stake, worth $1.8 billion USD, in the Brazilian energy generation and distribution company CPFL Energia. State Grid worked with the holding company Camargo Corrêa S.A. to close the deal. (BJX CN)
     
    Chinese companies are expanding their control of international companies to increase revenue streams. The 23.6% minority ownership stake gives State Grid an inroad strategy to Brazil, South America's largest economy and a top transmission and distribution grid market. CPFL Energia owns 13% of the total distribution market share and manage over 1.6 GW of generating capacity. 
     
     
     
    M&A: Shanghai Electric Power Announces Plans to Buy Controlling Stake in Pakistani Utility 
    Shanghai Electric plans to purchase a 66% stake in Pakistani, K-Electric, a vertically integrated utility of 11,000 employees based out of Karachi. The investment totals $1.6 billion USD and is Shanghai Electric's largest ever investment. (In-En CN)
     
     
     
    M&A: China Three Gorges Corporation & State Grid Bidding on Brazilian Hydropower Company
    China Three Gorges Corporation and State Grid Corporation are joint bidding on Santo Antônio Energia, the owner and operator of the $7 billion USD, 3.1 GW Santo Antônio Hydroelectric Plant in Western Brazil. The deal may go as high as $3.1 billion USD for a to-be-determined stake. (Deal Street Asia EN)
     
    The weakening Brazilian economy is opening up foreign direct investment opportunities for investors, and China is leading the pack with $4 billion USD year to date. The downturn also is scaring away existing investors, such as Duke Energy, which is selling its Latin America energy assets and has invited China Three Gorges, State Grid, andBrookfield Asset Management to purchase its assets.
     
     
     
    Wind: Hebei Delegates Offshore Wind Approval Authority to Municipalities
    The government of Hebei announced shifting regulatory approval authority from province- to municipality-level for offshore wind farm project reviews and approvals. The authority includes approving offshore wind generators, undersea transmission cables, and mechanical support structures for wind turbines. Presumably, the offshore wind permitting process will be faster now. (BJX CN)
     
    Presumably, a change from centralized to local control of offshore wind approval should make things more efficient, however, data and analysis from the2013 Carbon Trust Offshore Wind Report point to a slowdown. Offshore wind projects as of 2013 took around two years to approve. Local governments are less well-equipped to assess wind projects, compared to provincial-level approval processes. 
     

  • China Cleantech Update September 23, 2016

    News Summary:

    • NEA publishes concentrated solar project list 
    • NEA publishes August consumption data
    • UK nuclear power construction project back online
    • Chinese and Vietnamese companies sign MOU for wind power project

     
     
     
    Solar: Concentrated solar power pilot project list published by NEA
    The NEA published its CSP pilot project list. On-grid prices start at 1.15 RMB per kWh and is in effect for 2016 only. So far, there are 20 pilot projects with a cumulative installed capacity of 1.35 GW. The projects are found in Qinghai, Gansu, Hebei, Inner Mongolia, and Xinjiang. The projects include:

    • 658 MW tower-based
    • 464 MW enclosed trough 
    • 200 MW fresnel lens reflectors (NEA CN

    Tower-based concentrated solar is the top CSP project to date, mostly because it has a higher startup and construction cost. We expect the other methods to be better suited to smaller scale installations.
     
     
    Total Installed Capacity of CSP Plants (1.4GW)

    Source: NEA
     
     

  • Week of December 17, 2018

    News Summary:

    • Local DRC approves 3,000MW of offshore wind capacity for 3 Gorges
    • Power trading companies can now take seats on South Hebei Power Grid Electricity Market Management Committee
    • CGN 1,200t jackup vessel launched in Guangdong
    • China’s first turn-key EPCI offshore wind project begins installation
    • November report shows 3.6% YOY industry-wide power generation increase

     

     

    Local DRC approves 3,000MW of offshore wind capacity for 3 Gorges

    As Azure predicted in last week’s (December 10) news report, the Yangjiang government will be approving a series of offshore wind projects before the end of this month. 3-Gorges’ Qingzhou V, VI and VII offshore wind projects with a cumulative capacity of 3,000 MW have been approved by the Yangjiang Development and Reform Commission (DRC) earlier this month. The three projects all plan to deploy 5.5MW and above offshore WTGs. The total investment for all three projects is said to be above 55.3 billion CNY, of which 30% shall be invested as equity by 3-Gorges and 70% as bank financing. (Yangjiang DRC)

    AzureChinaCleantechNews17Dec2018 02

     

    Yangjiang City’s Qingzhou offshore area has 7 projects with a total installed capacity of 5,000MW. Of these projects, 60% is led by 3-Gorges, followed by 20% from Yuedian and 10% from Huadian and Mingyang. The Yangjiang City projects closely follow the approval of 7 other offshore projects in Jieyang City, also in Southern China’s Guangdong Province, undertaken by Mingyang, CGN and SPIC. Azure sees the timing of these approvals as Guangdong’s last-minute attempt to  help the industry make the best of the existing 0.85 CNY/kWh offshore wind tariff.

     

     

    Power trading companies can now take seats on South Hebei Power Grid Electricity Market Management Committee

    The Hebei DRC has released a notice outlining the composition of South Hebei’s new Power Grid Electricity Market Management Committee. The committee will consist of 26 members who represent market entities such as power grid enterprises, power generation enterprises, power users, power trading companies, trading centers and third-party institutions (including research institutions and independent experts). (Hebei DRC)

     AzureChinaCleantechNews17Dec2018 03

     

    The Electricity Market Management Committee is established to ensure the fairness and openness of the electricity market and protect the legitimate rights and interests of market participants. With a more diverse mix of players being represented, Azure believes that China will be pushing power sector liberalization more aggressively. As a result, electricity prices may expected to drop and barriers to inter-provincial electricity trading reduced, which among other benefits can help ease curtailment issues.

     

     

    CGN 1,200t jackup vessel launched in Guangdong

    On December 8, China State Shipbuilding Corporation (CSSC) Guangzhou Huangpu Shipbuilding Co. and China General Nuclear (CGN) launched a 1,200t jackup offshore wind installation vessel which will start operation in early 2019. The platform has a total length of 94.5m, a width of 43.3m, a maximum working depth of 60m and and will be used for installation of offshore wind turbines up to 7MW. (BJX)

     AzureChinaCleantechNews17Dec2018 04

    AzureChinaCleantechNews17Dec2018 05

     

     

    China’s first turn-key EPCI offshore wind project begins installation

    The Guangdong Yudean Wailuo offshore project is currently undergoing installation and is set to be operating in 2019. The project plans to deploy 36 units of 5.5MW offshore wind turbines with a total capacity of 198MW. The project developer, Yudean, signed a  a full turn-key EPCI contract with China Energy Engineering Group Guangdong Electric Power Design Institute Co., Ltd (GEDI), making it the first domestic offshore wind project for which design, construction and commissioning  is contracted to one single company, therefore allowing to significantly reduce risk and work load for the project owner. (CEEC)

    AzureChinaCleantechNews17Dec2018 06

    AzureChinaCleantechNews17Dec2018 07

     

     

    November report shows 3.6% YOY industry-wide power generation increase

    The National Bureau of Statistics has released data on China’s energy production for November 2018. In November, industry-wide power generation was 554.3TWh, an increase of 3.6% year-on-year (YOY). Among this statistic, thermal power generation increased 3.9%, hydropower generation increased 1.5%, nuclear power generation increased 24.7%, wind power generation decreased 9.5% and solar power generation increased 2.5%. The fall in wind power production can be attributed to unfavorable wind conditions in Hebei, Shanxi and IMAR. (Stats)

    AzureChinaCleantechNews17Dec2018 08

  • Week of December 24, 2018

    News Summary:

    • Jiangsu DRC approves Zhugensha H2# 300MW offshore wind project
    • Baolihua & CGN establish company to co-develop offshore wind project
    • China publishes first bidding mechanism results for onshore wind project
    • SPIC’s CNY 22 billion project starts construction in Jieyang City
    • China’s biggest offshore WTG shipped to project site

     

     

    Jiangsu DRC approves Zhugensha H2# 300MW offshore wind project

    According to the Jiangsu Development and Reform Commission (DRC), the Zhugensha H2# 300MW offshore wind project has been approved. The project has a special sea area located between the Guohua Dongtai IV 300MW and Guohua Zhugensha H1# 200MW. The project’s distance from shore is 39km, making it a part of the intertidal zone offshore project. The project plans to deploy 50 units of 4.0MW and 17 units of 6.0MW offshore wind turbines. The project’s total investment is about 5.2 billion CNY and project capital is 1.04 billion CNY. (Jiangsu DRC)

     AzureChinaCleantechNews24Dec2018 01

    AzureChinaCleantechNews24Dec2018 02

     

    While most offshore wind projects in China are developed and operated by large state-owned companies, this project’s developer, Dongtai Shuangchuang New Energy, is a private company. However, it is interesting to note that this project’s legal representative, Mr. Rong Leng, also works for CHN Energy Longyuan, which belongs to state-owned China Guodian Corporation.Last week, another project developped by a private owner was approved in Jiangsu, the GCL Rudong H15 200MW project.

     

     

    Baolihua & CGN establish company toco-develop offshore wind project

    Guangdong Baolihua New Energy Stock (000690.SZ) and China General Nuclear Power Group (CGN) have agreed to jointly invest in the establishment of a project company to develop the CGN Shanwei Jiazi offshore wind project (900MW) and the CGN Shanwei Houhu offshore wind project (500MW). The registered capital of the project company is 521 million CNY, of which80% million CNYis contributed in cash by CGN, and the remaining 20% held by Baolihua. (Finance sina)

     AzureChinaCleantechNews24Dec2018 03

     

     

    China publishes first bidding mechanism results for onshore wind project

    The Ningxia 2018 wind bidding mechanism results have been published. A total of 32 projects joined the bidding, of which 20 successfully received the Ningxia DRC’s approval fora total 1,928 MW capacity. On-grid price bidding ranges from 0.37 to 0.49 CNY/kWh. (Ningxia DRC)

     AzureChinaCleantechNews24Dec2018 04

     

    Ningxia belongs toaType IV wind resourcearea; prior projects wouldreceivea fixedFIT of 0.49 CNY/kWh. Following the new policy issued in May this year, projects now need to bid for approval with a ranking score partly based on the proposed tariff.  

     

     

    SPIC’sCNY22 billionproject starts construction in Jieyang City

    The SPIC Jieyang 900MW offshore wind project, phase one of the Qianzhan general offshore terminal and the Jieyang gas power generation project have started construction. The three projects’ total investment is above 22 billion CNY. After a construction period of 4-5 years, the Jieyang offshore wind project isexpectedtosupply 2.7TWh of clean energy to Jieyang city annually. The Jieyang gas power generation project is designed with an annual power generation of 1.3TWh andisplanned tostart operating in 2021. (Huilai GOV)

     AzureChinaCleantechNews24Dec2018 05

     

     

     

    China’s biggest offshore WTG shipped to project site

    On December 19, Shanghai Electric’s first 7MW offshore wind turbine has been shipped to the Sanchuan offshore project site in Fujian province. This unit is currently thelargest offshore wind turbineproducedin China so far. (BJX)

    AzureChinaCleantechNews24Dec2018 06

     

    The Shanghai Electric 7MWPMDDoffshore wind turbineis based on a licensefrom Siemens Gamesa, andShanghai Electric is also working on production of the SG 8MW-167 offshore wind turbine.Deeper sea, complex soil conditions combined with medium wind resource are driving the race for bigger turbines in China. So far Goldwind's 6.7MW turbine was the largest in China, but a number of OEMs are working on 7-8 MW models.

  • Week of January 02, 2019

    News Summary:

    • China offshore 2018
    • Local DRC pre-approves Shanghai Electric 9.5GW offshore wind projects
    • Yangjiang DRC approves nine distributed wind projects totaling 230MW
    • Jiangsu wind projects to be attributed via competitive bidding in 2019
    • Local DRC releases Shaanxi new bidding mechanisms for onshore wind farms

     

     

    China offshore 2018

    As 2018 comes to an end, Azure has put together a comprehensive review of China’s offshore wind status. By the end of the year, China had a total of 3GW offshore wind projects in operation, with nearly 80% in Jiangsu Province. But the trend is now clearly shifting towards Guangdong Province which is home to more than 30GW of offshore wind projects in various stages of development, representing 90% of the country's pipeline. Note: All analysis data source collected from public data and Azure database.

     AzureChinaCleantechNews31Dec2018 01

    AzureChinaCleantechNews31Dec2018 02

     

     

    Local DRC pre-approves Shanghai Electric 9.5GW offshore wind projects

    On December 17, 2018, Guangdong Province’s Shantou Development and Reform Commission (DRC) published 10 offshore projects with a total of 9.5GW. (Shantou DRC)

    AzureChinaCleantechNews31Dec2018 03

    AzureChinaCleantechNews31Dec2018 04

     

    Shanghai Electric is currently the largest supplier of offshore wind turbines in China. By the end of 2017, the company had supplied more than 1.5GW of offshore wind turbines in China. In 2017, Shanghai Electric and the Shantou government signed a contract to set up the Shanghai Electric Guangdong offshore wind power intelligent manufacturing base in Shantou with an investment of 500 million CNY. After it is completed and put in operation, the base will have an annual production capacity of 200 wind turbines and an annual output value of more than 10 billion CNY. The facility is expected to ship its first wind turbine towards the middle of 2019.

     

     

    Yangjiang DRC approves nine distributed wind projects totaling 230MW

    Nine distributed wind farm projects, totaling 230MW, have been approved by the Yangjiang DRC. The project sizes range from 12 to 40MW. (Yangjiang DRC)

     AzureChinaCleantechNews31Dec2018 07

     

     

    Jiangsu wind projects to be attributed via competitive bidding in 2019

    According to a new notice posted by the Jiangsu DRC, from 2019 onwards, newly approved centralized onshore wind power projects and offshore wind power projects in Jiangsu Province should all be attributed via competitive bidding mechanisms taking in account proposed on-grid tariff. (Jiangsu DRC)

    AzureChinaCleantechNews31Dec2018 05

     

     

    Shaanxi DRC releases new bidding mechanisms for onshore wind farms

    The Shaanxi DRC has drafted new measures for competitive bidding of onshore wind power projects within the province in an attempt to promote efficient development of onshore wind power and technology, industrial upgrading, as well as market-oriented development. The measures will be implemented on January 1, 2019 for a trial period of two years. (Shaanxi DRC)

     AzureChinaCleantechNews31Dec2018 06

     

    Shaanxi requires that onshore wind projects be between 50 to 100MW and, for developers, that net assets be above 500 million CNY. Projects that do not meet these conditions will be subject to a 5% decrease in developer-proposed on-grid prices and will be restricted from investment for three years.

  • Week of January 07, 2019

    News Summary:

    • Hebei Government approves Xiongan New Area (2018 – 2035) comprehensive plan
    • Fujian DRC releases new bidding mechanisms for offshore wind farms
    • Yudean Zhenjiang Wailuo Offshore Wind Farm II begins construction
    • Xinjiang 1,200MW pumped hydroelectric energy storage project approved
    • Yunnan “West to East” electricity capacity to reach 39GW
    • China's first 100MW scale solar thermal power station successfully put into operation

     

     

    Hebei Government approves Xiongan New Area (2018 – 2035) comprehensive plan

    The State Council, China’s cabinet, recently approved the comprehensive development plan (2018-2035) for Xiongan New Area, a guideline for developing the region based on international standards with Chinese characteristics. The plan outlines the need to build a green low-carbon city, to optimize energy structures, to build green power supply systems and clean and environmental-friendly heating systems and to promote local renewable energy utilization. (GOV)

    AzureChinaCleantechNews07Jan2019 01

    Source:(chinadaily)

     

     

    Fujian DRC releases new bidding mechanisms for offshore wind farms

    The Fujian Development and Reform Commission (DRC) has drafted new measures for competitive bidding of offshore wind power projects within the province in an attempt to promote efficient development of offshore wind power and technology, industrial upgrading, as well as market-oriented development. The measures are currently being implemented in a trial period and applied to select projects as detailed below.

    Scope of application:

    1. Projects approved before 2019 – FIT (0.85CNY/kWh)

    2. Projects with determined investment entities and approved after 2018 will be subject to competitive on-grid tariffs and development rankings

    3. Projects that have not yet determined investment entities before May 18, 2018 will be required to determine the investment entities and will be subject to competitive on-grid tariffs and development rankings (Fujian DRC)

    Fujian Xinghuabay offshore wind project

    AzureChinaCleantechNews07Jan2019 07

    AzureChinaCleantechNews07Jan2019 08

    Looking at Fujian’s new bidding mechanisms for offshore wind farms, it seems that the lack of requirement for developer references but increased requirements for offshore wind turbine suppliers have leveled the playing field for foreign investors. As for on-grid pricing, it seems that the Fujian DRC favors excessive competition over proposed on-grid prices.

     

     

    Yudean Zhenjiang Wailuo Offshore Wind Farm II begins construction

    On December 26, the commencement ceremony for phase two of the Yudean Zhenjiang Wailuo Offshore Wind Farm was held in Guangdong’s Xuwen County. The project is to have a total installed capacity of 203.5MW with an investment of 3.8 billion CNY. The project plans to deploy 37 units of 5.5MW offshore wind turbines with annual power generation of 484GWh. (Xuwen GOV)

    AzureChinaCleantechNews07Jan2019 02

    AzureChinaCleantechNews07Jan2019 03

     

    The Yudean Zhenjiang Wailuo Offshore Project was divided into two phases. The first phase of the project oversaw a total installed capacity of 198MW and completed its first offshore wind turbine installation in December 2018.

     

     

    Xinjiang 1,200MW pumped hydroelectric energy storage project approved

    The Xinjiang Hami 1,200MW pumped hydroelectric energy storage project has been approved by the local DRC. This project is located Northeast of Hami City with a distance of 66km to shore. The project will have a total installed capacity of 1,200MW distributed in four energy storage units of 300MW each. The project will have an investment of 8.2 billion CNY with an annual power generation of 1.4TWh. (XJDRC)

    AzureChinaCleantechNews07Jan2019 04

     

    The project involves the construction of two reservoirs. The upper reservoir collects snow from Tian Shan (mountain range) and discharges water into the lower reservoir. The water from the lower reservoir is then pumped into the upper reservoir to generate electricity. Due to the large amount of wind power generated by Hami City at night, the power station can use the unutilized wind power to pump water to the reservoir during the nighttime so that the water can drain in the daytime. (SINJIANGNET)

     

     

    Yunnan “West to East” electricity capacity to reach 39GW

    Following implementation and acceleration of the Kunliulong±800kV and Lancangjiang 500kV projects, Yunnan’s “West to East Power Transmission” project is also said to speed up construction for completion by 2020 withelectricity capacity reaching 39GW. (CEC)

    Kunliulong±800kV project

    AzureChinaCleantechNews07Jan2019 05

     

    Since the transmission of electricity to Guangdong and Guangxi in 1993, it has accumulated 800TWh.Yunnan’s installed capacity for power generation jumped from 1.3GW in 1978 to 93.2GW by the end of October 2018. The proportion of clean energy installed by hydropower accounted for more than 82.7%, becoming an important green energy base and power transmission base for the “West to East” project.

     

     

    China's first 100MW scale solar thermal power station successfully put into operation

    The first-class, energy-saving Dunhuang 100MW molten salt tower type solar thermal power generation demonstration project has been successfully put into operation. This project’s total investment is above 3 billion CNY. According to the requirements of the National Energy Administration (NEA) on the grid connection time of the first batch of demonstration projects, the project will have a FIT of 1.15 CNY/kWh. (cnenergynews)

    AzureChinaCleantechNews07Jan2019 06

  • Week of January 14, 2019

    News Summary: 

    • CGN Baolihua Shanwei Houhu Offshore Wind Project begins construction
    • World’s first ±1100kV UHV DC line to start operation soon
    • Henan Power Grid 100MW Battery Energy Storage Demonstration Project begins operating
    • Five State Grid pumped hydro energy storage stations start construction concurrently
    • First turbine of Datang Binhai offshore wind farm successfully connected to grid

     

     

    CGN Baolihua Shanwei Houhu Offshore Wind Project begins construction

    The project is to have a total installed capacity of 500MW with an investment of 8.4 billion CNY. The project plans to deploy 91 units of 5.5MW offshore wind turbines with annual power generation of 1.4TWh. This project aims to be operating before the end of 2021. (Shanwei News)

                 1

                                   2

    This offshore wind project is co-developed by Baolihua (000690.SZ) and CGN. For more details, please see Azure’s December 24 news publication.

     

     

    World’s first ±1100kV UHVDC linetostart operation soon

    The world’s first ±1100kV UHVDirect Currentproject, extending from Changji (Xinjiang Province) to Guquan (Anhui Province), has entered the final inspection stage.With atotal investmentof 40.7 billion CNY, the UHV line spans across six provinces (Xinjiang,Gansu,Ningxia, Shaanxi, Henan and Anhui) overatotal distance of 3,3293km. Theproject started construction in January 2016; after completion, itis planned to send 66TWh of power to China’s eastern regionsannually. (Xinjiang daily)

                                         3

         4

     

     

    Henan Power Grid 100MW Battery Energy Storage Demonstration Project begins operating

    All 16 energy storage power stations of the Henan Power Grid 100MW Battery Energy Storage Demonstration Project were completed and put into operation. China has taken an important step in the standardization and scaled construction of grid-side distributed energy storage power stations.The construction scale of the project is 100.8MW/125.8 MWh, with a total of 84 battery containers. (CEC)

                                      5

     

     

    Five State Grid pumped hydro energy storage stations start construction concurrently

    Five pumped hydro energy storage stations, located in Hebei, Jilin, Zhejiang, Shandong and Xinjiang, have begun construction concurrently and are set to operate at 6,000MW capacity by 2026. ThePHES stations have a total investment of 38.7 billion CNY. The construction of these stations is conducive to ensuring safe operation of the power grid and facilitatingintegration of other sources ofclean energy. (CEC)

                                                 6 

     

     

    First turbine of Datang Binhai offshore wind farm successfully connected to grid

    The first turbine of the Datang Binhai 300MW Offshore Wind Power Project was successfully connected to the grid. This project began construction in July 2018. On December 29, the first turbinecircuit installation and 35kV submarine cable laying work were successfully completed. (BJX)

                                  7