Power Projects

Beijing Review - - This Week Society -

China’s unit cost on wind and pho­to­voltaic power projects is ex­pected to drop un­til 2020 thanks to lower equip­ment prices and im­proved de­sign.

The cost of ther­mal, wind and pho­to­voltaic power gen­er­a­tion projects dropped con­tin­u­ously from 2011 to 2015, ac­cord­ing to Lu Shisen, Vice Pres­i­dent of the Elec­tric Power Plan­ning and En­gi­neer­ing In­sti­tute.

Dur­ing the pe­riod, the unit cost for ther­mal power projects de­clined from the pre­vi­ous five-year pe­riod thanks to a 19-per­cent drop in bank loan rates, Lu said at a press con­fer­ence.

Mean­while, equip­ment costs dropped 12 per­cent, while en­gi­neer­ing costs fell 8 per­cent.

Hy­dropower project costs, how­ever, rose, as the lo­ca­tions of such projects moved up­stream and to high al­ti­tude ar­eas, where both the en­gi­neer­ing dif­fi­cul­ties and en­vi­ron­men­tal pro­tec­tion costs in­creased.

“There is still room to re­duce costs on ther­mal, hy­dropower, wind and pho­to­voltaic power projects as the na­tion’s equip­ment man­u­fac­tur­ing and tech­nol­ogy level is im­prov­ing,” said Lu.

Amid the gov­ern­ment cam­paign for greener growth, China has re­duced the share of coal in its en­ergy mix and built more re­new­able en­ergy fa­cil­i­ties.

By the end of 2020, re­new­able en­ergy fa­cil­i­ties will sup­ply 1.9 tril­lion kilo­watt-hours of elec­tric­ity, ac­count­ing for 27 per­cent of to­tal power gen­er­a­tion, ac­cord­ing to the gov­ern­ment’s 2016-20 plan for re­new­able en­ergy.

Newspapers in English

Newspapers from China

© PressReader. All rights reserved.