The first day of the national green power trading pilot: the average price increased by 2.7 cents/kWh, wind power and photovoltaics welcome major benefits!
China Power Grid learned that on September 7, under the guidance of the National Development and Reform Commission and the National Energy Administration, the State Grid Corporation of China and China Southern Power Grid jointly organized a green power trading pilot kick-off meeting, which opened up a new model of green power consumption in China. It is an important measure to implement “carbon peak and carbon neutrality” based on market mechanism innovation.
A number of industry-leading companies from Shanghai, such as BASF, Covestro, Schneider, and Guoji Electronics, took the lead and signed a blockbuster order to purchase Ningxia 2022-2026 for five consecutive years, totaling 1.53 billion kilowatt-hours of photovoltaic power, and completed The first batch of cross-provincial and cross-regional transactions after the opening of the national green power transaction.
WSL Solar – Quality Custom Solar Panel Manufacturer
It is understood that green electricity is mainly electricity converted from renewable energy sources such as wind energy and solar energy. The carbon emissions of these electricity are zero or nearly zero. Green power transactions are mid- to long-term transactions that target green power products such as wind power and photovoltaics.
In today’s “dual carbon” context, the demand for green energy consumption by enterprises is increasing, and the State Grid and China Southern Power Grid have therefore introduced green power trading policies. Different from the general electricity transaction, the environmental value of the electricity after the green electricity transaction is delivered simultaneously, and the traceable green electricity consumption certification is provided.
Insiders pointed out that this green power transaction is to set up a new type of transaction in the power transaction, breaking the homogenization of electricity, creating a single trading market for green power, and setting a separate price for the environmental attributes of green power.
China Power Network checked public information and found that in the first green power transaction launched on September 7th, a total of 259 market entities from 17 provinces participated in the transaction, which reached 7.935 billion kilowatt-hours of electricity. Among them, the electricity traded in the operating area of the State Grid Corporation of China was 6.898 billion kwh, and the electricity traded in the operating area of the China Southern Power Grid was 1.037 billion kwh. This green power transaction is expected to reduce the burning of standard coal by 2.436 million tons and the emission of carbon dioxide by 6.0718 million tons.
Previously, the National Development and Reform Commission has stated that the market entities participating in green power transactions have recently focused on wind power and photovoltaic power generation, and have gradually expanded to other renewable energy sources such as hydropower. Green power transactions will give priority to fully market-oriented green power on the Internet. At the initial stage of the pilot, it is planned to select regions with strong green power consumption willingness. After the pilot work starts, other willing regions will also provide active support in the future. If some provinces have a limited scale of fully market-oriented green electricity in the early stage of the market, they can consider purchasing government subsidies and guaranteed purchase of green electricity from power grid companies.
How do companies join the green power transaction? China Southern Power Grid stated: “As long as the company meets the power market access requirements of the province and region where it is located, after completing the registration at the local power trading center, power users and power sales companies can purchase monthly or more monthly power from wind power and photovoltaic companies, or sign contracts for multiple years. The transaction contract will lock the ownership of green power in advance, and obtain a nationally certified green power consumption certificate.”
China Power Grid noted that, according to China Southern Power Grid, in the southern region’s green power transaction, wind power and photovoltaic power were 300 million kWh and 610 million kWh respectively. The transaction price that reflects the environmental value is at the current price of wind power and photovoltaic power. Based on the average increase of 2.7 cents/kWh. In the next ten years, wind power and photovoltaic power in the southern region will usher in explosive growth. It is estimated that 100 million kilowatts of new installed capacity will be added every five years. By 2030, the installed capacity of new energy will reach 250 million kilowatts, which will become the dominant power source in the southern region.
Industry insiders believe that with the normalization of green power market transactions and the gradual establishment of related mechanisms, more and more new energy will be traded in the green power market, which will surely further increase the level of new energy consumption and promote development, which effectively promotes the construction of a new power market system with new energy as the mainstay, which is even more beneficial to new energy companies.
Posted by Carrie Wong | WSL Solar
WSL Solar has been a quality and professional manufacturer of custom solar panel and solar solution provider in China since 2006.
https://www.wsl-solar.com
Original source from https://www.wsl-solar.com/Industry_News/2021/0910/the-national-green-power-trading-pilot.html
Custom Solar Panel 