Grid connection boosts photovoltaic industry

After the Sino-European PV trade dispute ended, more and more PV companies turned their attention to downstream PV power plants. The increase in grid-connected projects has enabled PV companies to see that the domestic market is expanding and the pace of industrial springs is getting closer. The number of photovoltaic grids is increasing

On August 6, the China-EU PV Trade Dispute Price Commitment Agreement was implemented. 94 Chinese companies involved in the negotiations and signed an agreement can enjoy anti-dumping duties on exports of silicon wafers, batteries and components to the EU. The precondition is that the price of China's PV modules exported to Europe must not be less than 0.56 euros per watt, and the total amount per year should not exceed 7 GW.

Throughout August, policies related to the photovoltaic industry were intensively introduced.

The power supply staff and the PV factory experts inspected the concentrated contiguous photovoltaic power generation project in Ningbo, Zhejiang.

On August 13, the National Development and Reform Commission issued the Interim Measures for the Management of Distributed Generation, encouraging enterprises, individuals and other power users to invest in the construction and operation of distributed power generation projects;

On August 20th, the National Energy Administration issued the “Notice on the Construction of Distributed Photovoltaic Power Generation Application Demonstration Zone”, and approved the construction projects of 18 distributed photovoltaic application demonstration zones nationwide;

On August 28th, the Ministry of Industry and Information Technology organized the drafting of “Regulations for Photovoltaic Manufacturing Industry (Draft for Comment)”, which clarified the production, supply and after-sales service capabilities of PV companies;

On August 30, the National Development and Reform Commission issued the "Notice on Playing the Role of Price Leverage to Promote the Healthy Development of the Photovoltaic Industry" (hereinafter referred to as the "Notice"), and clarified the amount of on-grid tariffs and electricity subsidies for photovoltaic power plants.

“It is thus seen that the country attaches great importance to the photovoltaic industry and regards it as an important strategic emerging industry. The recently released policies have very positive significance for launching the domestic PV market, and they are also very operative measures. The development of the domestic photovoltaic industry is a very good signal," said Zhao Yuwen, vice chairman of the China Renewable Energy Society.

The "Notice" recently released by the National Development and Reform Commission has made the industry better. The "Notice" stipulates that grid companies and photovoltaic power generation enterprises shall settle electricity prices according to regulations, and apply for electricity price subsidies according to the amount of electricity generated by photovoltaic power generation projects and the amount of on-grid electricity.

"The Notice" clarifies the methods, procedures and accounting standards for subsidy fund disbursement, which is conducive to investors' calculation of the rate of return and is conducive to the long-term stable development of the industry," said Jing Jing, global brand director of Jingke Energy.

The person in charge of the relevant business of the State Grid Corporation said that at present, the State Grid Corporation is formulating relevant management measures, clarifying the fund application and settlement procedures, and ensuring timely implementation of policies.

At the same time that domestic PV companies struggle to get rid of the "EU dependency", the domestic market has begun to rise. In July this year, the State Council issued a number of "Opinions on Promoting the Healthy Development of the Photovoltaic Industry", which mentioned that from 2013 to 2015, the annual average installed capacity of photovoltaic power generation in China was about 10 GW, and the total installed capacity reached 35 in 2015. More than Giva.

Zhao Yuwen analyzed: "This volume is already higher than Europe. Europe's market capacity last year was 7.6 GW, and this year only maintained a small increase. If the annual installed capacity is 10 GW, China will become the world's largest PV market."

For a long time, State Grid Corporation has adhered to the attitude of “support, welcome and service” for distributed photovoltaics, and actively promoted the level of new energy grid-connected services, which has effectively promoted the development of photovoltaic power generation. As of the end of July this year, the State Grid operates photovoltaic power generation grids of 5.95 million kilowatts, an increase of 134%; since February this year, State Grid Corporation has accepted 625 grid applications of distributed photovoltaic power generation, with a total installed capacity of 1.31 million kilowatts. State Grid has become the fastest growing grid of photovoltaic power generation in the world.

Spring's footsteps are near

There are indications that the photovoltaic industry is recovering from downstream PV power plant projects. The number of PV power plants connected to the grid has risen linearly, directly boosting the performance of PV companies.

The announcement of Dongfang Risheng shows that the net profit attributable to shareholders of listed companies in the first half of this year is expected to increase by 1553% to 2544% over the same period of the previous year. In this regard, the company's explanation is: During the reporting period, the company's multiple photovoltaic power plants were built into grid-connected power generation, and the company received electricity revenue and some power plant transfer income.

Aerospace Electromechanical (600151, shares it) turned losses into profit, is expected to have a net profit of about 168 million yuan in the first half of this year, compared with a loss of 302 million yuan in the same period last year. For the reason of turning losses, Aerospace Electromechanical first mentioned that the company's self-built photovoltaic power station project achieved sales, and investment income and industry chain profits were reflected.

Domestic PV power plant projects have become an important aspect of PV companies turning losses into profits. The domestic PV market has gradually opened up and the project is in full swing. In order to smoothly integrate the PV power plant project into the power grid, the State Grid Corporation has made great efforts.

As of the end of August, China's important photovoltaic industry base and solar power generation base Qinghai Province has built nearly 80 large-scale centralized grid-connected photovoltaic power plants with a total installed capacity of 2.03 million kilowatts. In order to adapt to the trend change brought by large-scale photovoltaic power station access, State Grid Qinghai Electric Power Company strengthened various links and services, and built key projects such as the 750 kV second channel project linking Xinjiang and the northwest main network and a number of photovoltaic collection and delivery projects. , enhanced the ability of the grid to optimize the allocation of resources.

As of the end of August, Zhejiang Province's photovoltaic power generation this year reached a total of 43.03 million degrees, an increase of 1398%. State Grid Zhejiang Electric Power Company accumulated a total of 9.66 million kWh of photovoltaic power generation, which was 2.58 times that of the same period last year.

For PV power plant operators and users, the most hope is to be connected to the network at the fastest speed in the final stage of the project. “Thank you very much for the power grid staff of the State Grid Corporation to help us remove the difficulties and make the project smooth and go up to the power grid!” Yue Yaxin, the project leader of Jiangsu Tonghui New Energy Co., Ltd. said sincerely.

The increase in grid-connected projects has brought great confidence to enterprises. “With the continuous increase of grid-connected projects, the sales volume of domestic PV companies will gradually increase, the gross profit margin will also rise, the production and operation will continue to improve, and the industry will be basically oriented. The winter is over, and the spring of the industry is slowly taking us. Come." Wang Zhixin, head of the publicity department of Yingli Company, said with delight.

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