In January-September, electricity consumption by industrial sector amounted to 1927.26 billion kwh, down 1.8 percent on year, and that by light and heavy industries respectively incurred 2.74 percent and 1.6 percent decreases.
Installed capacity of big power plants in China has reached 800.18 million kw in Jan.-Sept. up 9.2 percent, including 155.51 million kw of hydropower plants, up 14.1 percent, 622.03 million kw of thermal power plants, up 7.2 percent and 9.08 million kw of nuclear power plants.
What’s worth noted that installed capacity of wind power generation surged by 88.8 percent to 13.33 million kw in Jan.-Sept.
Meanwhile, electricity supply of grid companies amounted to 2378.342 billion kwh in Jan.-Sept. up 3.43 percent on year, and the electricity sales was up by 3.17 percent on year to 2230.692 billion kwh.
China’s electric power industry has changed dramatically since the early 1990s to become the world’s second-largest electricity consumer, after the United States. In April 1996, an Electric Power Law was implemented, a major event in China’s electric power industry. This law set out to promote the development of the electric power industry, to protect legal rights of investors, managers and consumers, and to regulate generation, distribution and consumption.
China has abundant energy. The country has the world’s third-largest coal reserves and massive hydroelectric resources. But there is a mismatch between the location of the coal fields in the north-east (Heilongjiang, Jilin and Liaoning) and north (Shanxi, Shaanxi and Henan); hydro power in the south-west (Sichuan, Yunnan and Tibet); and the fast-growing industrial load centers of the east (Shanghai-Zhejiang) and south (Guangdong, Guangxi and Guizhou).
China’s power industry has become increasingly competitive over the past three years as a result of government-initiated structural reforms and China’s entry into the World Trade Organization (WTO). Power companies, faced with the pressure of competition, are looking to transform their communications infrastructure to boost efficiency and productivity.
In 2007, China’s energy supply and demand both surged ahead at an amazing pace in the shadow of its 11.4% GDP growth. Total energy consumption increased by 7.8% equivalent to 2.65 billion tons of standard coal while the amount of electric power generated grew by 14.1% in 2007, to 326.32 million kWh. Thermal power still accounts for the bulk of the energy generated, 83%, followed by 14% from hydro, 2% from nuclear and less than 0.1% from wind power.
By the end of 2007, China’s total installed capacity amounted to 713 million kilowatts. China’s power demand continued a steady growth momentum in 2008, up 13% year on year. With the shutdown of small thermal power generating units and the slowdown of investment in power generation, the high growth rate of China’s newly increased installation capacity in 2008 will decelerate, and the rate is expected to reach 11.8% year on year.
In the long term China’s power industry, boosted by accelerated process of industrialization and urbanization, will have an average annual growth rate of 6.6% to 7.0% in the next ten years. This indicates that the power industry will require a great deal of investment.
Currently, investment in hydropower, wind power and nuclear power is increasing. However, investment in coal-fired power generation still ranks first.
The structure of China’s power industry is expected to remain unchanged for a long time. At present, China’s hydropower output amounts to 13.88 percent of the national total, nuclear power output accounts for 1.94 percent and wind power output amounts to 0.26 percent, while coal-fired power output amounts to at least 78% of the national total. China’s coal-fired power generation will be in a stage of stable development until at least 2020, and China’s installed capacity of coal-fired power generating units will remain at more than 70 percent.
Before 1994 electricity supply was managed by electric power bureaus of the provincial governments. Now utilities have seen been managed by corporations outside of the government administration structure.
To end the State Power Corporation’s (SPC) monopoly of the power industry, China’s State Council dismantled the corporation in December 2002 and set up 11 smaller companies. SPC had owned 46% of the country’s electrical generation assets and 90% of the electrical supply assets. The smaller companies include two electric power grid operators, five electric power generation companies and four relevant business companies. Each of the five electric power generation companies owns less than 20% (32 GW of electricity generation capacity) of China’s market share for electric power generation. Ongoing reforms aim to separate power plants from power-supply networks, privatize a significant amount of state-owned property, encourage competition, and revamp pricing mechanisms.
China’s electric power industry continuously maintains a high growth rate. By the end of 2000, the total installed power was 315 GW, that means an increase of 16,5 GW or 5.5% compared to 1999. Hydropower amounted to 77 GW, accounting for 15 %; thermal power amounted to 235 GW, accounting for 83 %.and nuclear power amounted to 2GW, accounting for 1 % of installed capacity. Electricity generation reached 1400 TWh, 13.5 % more than in the previous year. In 1999, the construction investment of the electric power industry reached 14 billion US dollars, of which 49.3 % were dedicated to thermal power, 12.5 % to hydropower 6.4 % to nuclear 26.1 %, to transmission lines and transformers and 5.7 %.to other investments.
By the end of 2010, it is expected that the total installed capacity will reach 500 GW. Annual generation of electricity will exceed 2040 TWh. BY the end of 2007, the total installed capacity was 713.29 GW,annual generation of electricity was 3255.9 TWh.
Major players in China’s electric power industry include:
* China Datang Corporation
* Shenzhen Energy Co., Ltd.
* Guangdong Yuedian Group Co., Ltd.
* Anhui Province Energy Group Co., Ltd.
* Hebei Jiantou Energy Investment Co., Ltd.
* Guangdong Baolihua New Energy Stock Co., Ltd.
* Shandong Luneng Taishan Cable Co., Ltd.
* Huadian Power International Co., Ltd.
* Guangzhou Development Industry (Holdings) Co., Ltd.
* Chongqing Jiulong Electric Power Co., Ltd.
* Chongqing Fuling Electric Power Industrial Co., Ltd.
* Shenergy Group
* Sichuan Chuantou Energy Stock Co., Ltd.
* Naitou Securities Co., Ltd.
* Hunan Huayin Electric Power Co., Ltd.
* Shanxi Top Energy Co., Ltd.
* China Guodian Corporation
* Inner Mongolia Mengdian Huaneng Thermal Power Co., Ltd.
* SDIC Huajing Power Holdings Co., Ltd. [4] [5]
* Sichuan MinJiang Hydropower Co., Ltd.
* Yunnan Wenshan Electric Power Co., Ltd.
* Guangxi Guidong Electric Power Co., Ltd.
* Sichuan Xichang Electric Power Co., Ltd.
* Sichuan Mingxing Electric Power Co., Ltd.
* Guangdong Meiyan Hydropower Co., Ltd.
* China Yangtze Power Co., Ltd.
* Sichuan Guangan Aaa Public Co., Ltd.
* Sichuan Leshan Electric Power Co., Ltd.
* Fujian MingDong Electric Power Co., Ltd.
* Guizhou Qianyuan Power Co., Ltd.
