New En­ergy for Global Trans­for­ma­tion

China uti­lizes the most re­new­able en­ergy in the world, set­ting a model for global en­ergy trans­for­ma­tion and new en­ergy de­vel­op­ment and uti­liza­tion.

China Pictorial (English) - - Contents - Text by Tao Ye

Tire­less ef­forts over more than a decade have re­sulted in stun­ning achieve­ments in China’s new en­ergy de­vel­op­ment. The coun­try has re­al­ized a struc­tural trans­for­ma­tion as it shifts from tra­di­tional fos­sil fu­els such as coal to a pack­age of clean so­lu­tions in­clud­ing nu­clear power, hy­dropower, wind power, so­lar en­ergy and biomass.

Ma­jor Growth in To­tal Vol­ume

Ac­cord­ing to sta­tis­tics from China Na­tional Re­new­able En­ergy Cen­ter and China Elec­tric­ity Coun­cil, by the end of May 2018, the in­stalled ca­pac­ity of hy­dro­elec­tric plants above the des­ig­nated size reached nearly 300 mil­lion kilo­watts, in­stalled ca­pac­ity of wind power 170 mil­lion kilo­watts, in­stalled ca­pac­ity of pho­to­voltaic power gen­er­a­tion 143 mil­lion kilo­watts and in­stalled ca­pac­ity of biomass power gen­er­a­tion 16 mil­lion kilo­watts. In to­tal, China’s in­stalled ca­pac­ity of re­new­able en­ergy gen­er­a­tion has hit nearly 630 mil­lion kilo­watts, ac­count­ing for nearly 37 per­cent of the coun­try’s to­tal in­stalled ca­pac­ity of power plants above the des­ig­nated size.

In the first five months of 2018, the amount of elec­tric­ity gen­er­ated with re­new­able en­ergy in China ex­ceeded 625 bil­lion kilo­watt hours, ac­count­ing for nearly 24 per­cent of the coun­try’s to­tal from power plants above the des­ig­nated size. Non-fos­sil en­ergy power gen­er­a­tion has topped 731 bil­lion kilo­watt hours, ac­count­ing for more than 27 per­cent of the coun­try’s to­tal from power plants above the des­ig­nated size. New en­ergy and re­new­able en­ergy have al­ready be­come the main force for the coun­try’s newly added elec­tric­ity gen­er­a­tion ca­pac­ity, ac­count­ing for more than 65 per­cent of the newly in­stalled ca­pac­ity in 2017. The sub­sti­tu­tion role of re­new­able en­ergy be­comes in­creas­ingly prom­i­nent.

Grow­ing In­dus­trial Strength

China has al­ready formed a com­plete new en­ergy in­dus­try chain cov­er­ing re­search, man­u­fac­tur­ing, de­sign, con­struc­tion and op­er­a­tion. The in­dus­try has en­tered a phase of rapid, com­pre­hen­sive and large-scale de­vel­op­ment. Lo­cal­iza­tion has wit­nessed a sig­nif­i­cant in­crease. China’s pro­duc­tion scales of wind tur­bine equip­ment, poly­crys­talline sil­i­con, sil­i­con chips and pho­to­voltaic cells rank top in the world. New en­ergy al­ready ac­counts for a ma­jor pro­por­tion of China’s newly in­stalled elec­tric­ity gen­er­a­tion ca­pac­ity. And con­tin­u­ously usly im­prov­ing equip­ment, tech­nol­ogy and man­age­ment of re­new­able en- ergy have led to steady cost de­clines es for wind and pho­to­voltaic power gen­er­a­tion.

The top 10 en­ter­prises with the he big­gest in­stalled ca­pac­i­ties of wind d power in the coun­try pro­duce a to­tal otal in­stalled ca­pac­ity of more than 100 0 mil­lion kilo­watts. Their man­u­fac­tur­ing ring ca­pa­bil­i­ties for some parts such as blades, gear boxes and gen­er­a­tors are on par with ad­vanced in­ter­na­tional al stan­dards. These en­ter­prises are ca­paa­pable of pro­vid­ing re­li­able sup­port­ing ng equip­ment for main­stream wind tur­bine mod­els. And the wind power wer ser­vice in­dus­try is be­com­ing in­creasas­ingly im­por­tant.

In 2017, the pro­duc­tion ca­pac­ity ity of China’s poly­crys­talline sil­i­con de­vel­op­ment en­ter­prises to­taled 210,000 tons, ac­count­ing for half of the world’s to­tal. With ever im­prov­ing ving pro­duc­tion tech­nolo­gies, the com­prep­re­hen­sive cost of poly­crys­talline sil­i­con con de­vel­op­ment has dropped to less than 90,000 yuan per ton and in­dus­trial l ef­fi­ciency has in­creased to nearly 19 per­cent. To­tal pro­duc­tion ca­pac­ity y of sil­i­con chips has wit­nessed a sharp rise to nearly 82 gi­gawatts, an in­crease of 35 per­cent on a year-on-year ba­sis and

ac­count­ing for nearly 87 per­cent of the world’s to­tal. Prices for parts and com­po­nents have dropped to around 2.5 yuan per watt this year. And the an­nual yield of com­po­nents from China is more than 70 per­cent of the world’s to­tal.

Im­prov­ing Pol­icy Sys­tem

To pro­mote the de­vel­op­ment and uti­liza­tion of re­new­able en­ergy re­sources, in­crease en­ergy sup­ply,

im­prove en­ergy struc­ture, safe­guard en­ergy se­cu­rity, pro­tect the en­vi­ron­ment and re­al­ize sus­tain­able eco­nomic and so­cial de­vel­op­ment, the Re­new­able En­ergy Law of the Peo­ple’s

Repub­lic of China was im­ple­mented in 2006 and re­vised in 2009. The law stip­u­lated ba­sic rules and en­tity re­spon­si­bil­ity such as guar­an­teed full pur­chase re­lated to re­new­able en­ergy de­vel­op­ment.

Two gov­ern­men­tal doc­u­ments,

The 13th Five-year Plan (2016-2020) for Re­new­able En­ergy De­vel­op­ment and Re­form Strate­gieson En­ergy Pro­duc­tion

and Con­sump­tion (2016-2030), spec­i­fied the 2020 and 2030 goals for re­new­able en­ergy de­vel­op­ment. By 2020, the pro­por­tion of non-fos­sil en­ergy and nat­u­ral gas in pri­mary en­ergy con­sump­tion should reach 15 per­cent and 10 per­cent, re­spec­tively. By 2030, the fig­ure should hit 20 per­cent and 15 per­cent, re­spec­tively.

Since the im­ple­men­ta­tion of the 13th Five-year Plan, China has es­tab­lished a se­ries of mech­a­nisms and sys­tems such as a re­new­able en­ergy ob­jec­tive-ori­ented guid­ance sys­tem and guar­an­teed full pur­chase of re­new­able en­ergy to en­sure the re­al­iza­tion of the non-fos­sil en­ergy’s pro­por­tion tar­gets and ex­pand the uti­liza­tion of re­new­able en­ergy. By con­trol­ling the pace of projects, con­struc­tion and grid con­nec­tion, the govern­ment has played a more ac­tive role in guid­ing en­ter­prises in ra­tio­nal in­vest­ment and ef­fi­cient usage of re­new­able en­ergy.

In Fe­bru­ary 2016, China’s Na­tional En­ergy Ad­min­is­tra­tion is­sued guide­lines on re­new­able en­ergy de­vel­op­ment and uti­liza­tion. It re­quired the coun­try’s pro­vin­cial-level ad­min­is­tra­tive units to set con­sump­tion pro­por­tion tar­gets for re­new­able en­ergy based on their var­i­ous re­new­able en­ergy de­vel­op­ment con­di­tions and en­ergy con­sump­tion sit­u­a­tions.

In terms of su­per­vi­sion and mon­i­tor­ing, the Na­tional En­ergy Ad­min­is­tra­tion is­sued its 2015 and 2016 su­per­vi­sion and as­sess­ment re­ports on the coun­try’s re­new­able en­ergy power de­vel­op­ment. The re­ports eval­u­ated ab­sorp­tion and con­sump­tion of non-hy­dro­elec­tric­ity and re­new­able en­ergy elec­tric­ity of dif­fer­ent pro­vin­cial-level ad­min­is­tra­tive units. Be­sides, it also cov­ered the pol­icy im­ple­men­ta­tion sit­u­a­tion such as guar­an­teed pur­chase of wind power and pho­to­voltaic power.

In March 2016, China’ Na­tional De­vel­op­ment and Re­form Com­mis­sion and Na­tional En­ergy Ad­min­is­tra­tion pro­mul­gated a doc­u­ment spec­i­fy­ing mea­sures for guar­an­teed full pur­chase of re­new­able en­ergy. Based on the doc­u­ment, ar­eas that have given up devel­op­ing wind and pho­to­voltaic power must meet min­i­mum an­nual pur­chase amounts for wind and pho­to­voltaic power. Ad­di­tion­ally, a su­per­vi­sion and early warn­ing mech­a­nism for wind power has been es­tab­lished. In ac­cor­dance with No­ti­fi­ca­tion on the Re­sults of 2017 Wind Power In­vest­ment Su­per­vi­sion and Pre­cau­tion, China des­ig­nated red alert ar­eas for wind power de­vel­op­ment and con­struc­tion. No new wind power projects are al­lowed to be es­tab­lished in such ar­eas. The coun­try vowed to take mea­sures to ad­dress prob­lems re­lated to aban­don­ment of wind power.

Ma­jor In­no­va­tion

Ma­jor re­new­able en­ergy projects such as grid-con­nec­tion of wind power and pho­to­voltaic power with th state-set prices, base con­struc­tion of lead­ing pho­to­voltaic tech­nolo­gies and so­lar ther­mal en­ergy demon­stra­tion on projects have been pro­mot­ing techni- hni­cal in­no­va­tion and in­dus­trial up­grade. ade. These projects have also played a vi­tal role in driv­ing in­dus­trial scale and struc­ture to higher lev­els.

In 2017, China’s Na­tional En­ergy ergy Ad­min­is­tra­tion is­sued a draft no­ti­fi­ca­tion on the re­quire­ments for the he con­struc­tion of ad­vanced pho­to­volta- oltaic power gen­er­a­tion tech­nol­ogy ap­pli- ppli­ca­tion bases. The draft des­ig­nated the con­struc­tion scale of each base e at 500 megawatts. In three years, the he con­struc­tion of all these bases will l be com­plete, re­lated ad­vanced tech- hnolo­gies will reach in­dus­tri­al­iza­tion n and the tech­ni­cal in­di­ca­tors for 2017 17 in­dus­trial lead­ers should rise.

In Septem­ber 2017, in ac­cor­dance with pi­lot work re­quire­ments s on grid-con­nec­tion of wind power with state-set prices is­sued by China’s a’s Na­tional En­ergy Ad­min­is­tra­tion, the ad­min­is­tra­tion an­nounced pi­lot t projects in ar­eas in­clud­ing He­bei, Hei­longjiang, Ningxia and Xin­jiang g with a to­tal scale of 707,000 kilo­watts. atts. Prices of wind power in these projects ects

are re­quired to set the same as prices of lo­cal on-grid coal power. And ef­forts must be made to ab­sorb and con­sume wind power in lo­cal power grids.

Global Model for En­ergy Trans­for­ma­tion

Al­though the large-scale de­vel­op­ment of China’s new en­ergy sec­tor started late com­pared to the United States and some Euro­pean coun­tries, its sec­ond-mover ad­van­tages are ob­vi­ous and have reaped ma­jor ben­e­fits. To­day, ma­jor coun­tries, main­stream me­dia and nu­mer­ous in­ter­na­tional or­ga­ni­za­tions all highly rec­og­nize China’s achieve­ments in new en­ergy de­vel­op­ment as well as the con­tri­bu­tions of China’s new en­ergy sec­tor in pro­mot­ing sus­tain­able de­vel­op­ment in eco­nom­ics, the en­vi­ron­ment and peo­ple’s well­be­ing. The de­vel­op­ment and con­tri­bu­tions of China’s new en­ergy sec­tor are con­sid­ered im­por­tant and out­stand­ing achieve­ments made by the coun­try dur­ing the con­struc­tion of a mod­ern eco­nomic sys­tem with Chi­nese char­ac­ter­is­tics.

Since 2011, both China’s newly in­stalled ca­pac­ity and cu­mu­la­tive in­stalled ca­pac­ity of wind power have ranked top in the world. In 2013, China’s newly in­stalled ca­pac­ity of pho­to­voltaic power sur­passed Ger­many and Italy and has since topped the world. In 2015, the coun­try’s cu­mu­la­tive in­stalled ca­pac­ity of pho­to­voltaic power beat Ger­many and be­came num­ber one world­wide. In 2017, China’s newly in­stalled ca­pac­ity of pho­to­voltaic power ac­counted for half of the world’s to­tal. Sta­tis­tics show that in 2017, China’s uti­liza­tion of non-fos­sil en­ergy ac­counted for nearly 14 per­cent in its pri­mary en­ergy con­sump­tion. Its uti­liza­tion of new en­ergy ranks top in the world and ac­counts for 20 per­cent of the world’s to­tal uti­liza­tion of new en­ergy. China al­ready boasts the largest uti­liza­tion of re­new­able en­ergy glob­ally and has set a model for global en­ergy trans­for­ma­tion as well as new en­ergy de­vel­op­ment and uti­liza­tion.

By now, China’s new en­ergy de­vel­op­ment has al­ready be­come the call­ing card show­cas­ing the coun­try’s soft power. It is also a prime em­bod­i­ment of the coun­try’s de­vel­op­ment con­cepts in­clud­ing eco­log­i­cal civ­i­liza­tion, green and low-car­bon de­vel­op­ment, beau­ti­ful China and sus­tain­able de­vel­op­ment. At the same time, the de­vel­op­ment of the new en­ergy in­dus­try is not solely an ide­al­is­tic mis­sion. It serves as a key com­po­nent of the ad­vanced equip­ment man­u­fac­tur­ing in­dus­try, an im­por­tant en­gine for eco­nomic de­vel­op­ment, an ef­fec­tive means for eco­nomic re­struc­tur­ing and an ef­fi­cient in­dus­trial car­rier which per­fectly com­bines the coun­try’s new de­vel­op­ment con­cepts with its new real econ­omy and at­tracts par­tic­i­pa­tion from mar­ket en­ti­ties with var­i­ous forms of own­er­ship.

Pro­mot­ing an Eco­log­i­cal Civ­i­liza­tion

Against the back­drop of global cli­mate change, in­ter­na­tional en­ergy re­struc­tur­ing and China’s re­form of en­ergy pro­duc­tion and con­sump­tion, new en­ergy de­vel­op­ment is look­ing at tremen­dous op­por­tu­ni­ties.

First, cli­mate change has driven global en­ergy re­struc­tur­ing. Fac­ing in­creas­ingly press­ing chal­lenges re­lated to en­ergy se­cu­rity, cli­mate change and ecol­ogy, the world’s cur­rent en­ergy struc­ture is un­der­go­ing pro­found ad­just­ments. A new round of en­ergy re­form has started. Pro­pelled by new en­ergy tech­nol­ogy, in­for­ma­tion tech­nol­ogy and pres­sure from global car­bon emis­sions, green and low-car­bon en­ergy de­vel­op­ment has be­come a cen­tral piece of the re­form.

Sec­ond, China has en­tered a new era of so­cial­ism with Chi­nese char­ac­ter­is­tics that re­quires the coun­try to strictly pur­sue green de­vel­op­ment in the en­ergy sec­tor. The re­port de­liv­ered at the 19th Na­tional Congress of the Com­mu­nist Party of China in 2017 made en­ergy re­quire­ments crys­tal clear. The re­port ex­pounded on the im­por­tance of en­ergy de­vel­op­ment to “speed up re­form of the sys­tem for devel­op­ing an eco­log­i­cal civ­i­liza­tion and build­ing a beau­ti­ful China,” which tes­ti­fied to the im­por­tance China at­taches to en­ergy re­struc­tur­ing and green de­vel­op­ment in the new era. The coun­try’s fu­ture en­ergy de­vel­op­ment will fol­low the gen­eral prin­ci­ple of build­ing a clean, low-car­bon, safe, and ef­fi­cient en­ergy sys­tem while main­tain­ing a com­mit­ment to raise aware­ness of the need to re­spect, pro­tect and ac­com­mo­date na­ture and stick to the road to green de­vel­op­ment.

Third, China has be­gun to im­ple­ment an en­ergy rev­o­lu­tion strat­egy. In ac­cor­dance with the coun­try’s new de­vel­op­ment con­cepts, a blue­print for an en­ergy rev­o­lu­tion has been de­signed. Presently, the pace for en­ergy re­struc­tur­ing has ac­cel­er­ated, and the idea of en­ergy re­form has taken root in the peo­ple’s minds. En­ergy de­vel­op­ment with Chi­nese char­ac­ter­is­tics has wit­nessed new progress. The en­ergy rev­o­lu­tion strat­egy calls for ac­cel­er­ated con­struc­tion of a green en­ergy sup­ply sys­tem re­liant on diver­si­fied sources to pro­mote sus­tain­able and healthy de­vel­op­ment of re­new­able en­ergy.

A pho­to­voltaic power sta­tion in Nan­ping City, Fu­jian Prov­ince. In 2017, China’s newly in­stalled ca­pac­ity of pho­to­voltaic power ac­counted for half of the world’s to­tal. VCG

May 25, 2017: An­hui Tongling Wan­jiang Biomass En­ergy Cor­po­ra­tion trans­forms straw into solid biomass fuel. uel. China al­ready boasts the largest uti­liza­tion of re­new­able en­ergy glob­ally. VCG

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