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Published on: November 14, 2017

Original title: 发改委能源局：2020年有效解决弃水弃风弃光
Links: Source document (in Chinese) (link).

 

The National Development and Reform Commission on the 13th revealed that the NDRC and the Energy Administration recently issued "Measures for resolving curtailment of hydro, wind and PV power generation"。All provinces and cities will propose annual tasks and targets for resolving the curtailment of hydro, wind, and PV power, to ensure that the volume of curtailment of hydro, wind, and PV power, as well as the curtailment rates keep declining year by year, and further plan to effectively resolve the problem of curtailment of hydro, wind and PV power nationwide by 2020。

On the basis of the plan, administrative areas with severe curtailment of hydro, wind and PV power generation in 2017 shall realize significant alleviation of curtailment。Of such areas, Yunnan, Sichuan shall strive to reach circa 90% hydropower utilization。In Gansu and Xinjiang the curtailment rate of wind should fall to about 30%, and in Jilin, Heilongjiang and Inner Mongolia the curtailment rate of wind should fall to about 20%。In Gansu and Xinjiang the curtailment rate of PV should fall to about 20%, and Shaanxi and Qinghai shall strive to limit curtailment rates of PV to below 10%。In other administrative areas the annual utilization hours of wind and PV power generation shall reach the minimum guaranteed annual full-load hours purchased as set by the National Energy Administration in 2016 for the administrative area。

The National Development and Reform Commission stated, that the future should see coordinated development of coal-fired and renewable power, and that there should be an organic combination of the prevention and control of coal-fired power overcapacity risks with the promotion of the orderly development of renewable power, and ensure that the national installed capacity of coal-fired power generation in 2020 will be kept below 1,100 GW。At the same time, adhere to simultaneous development of centralized and distributed power generation, and coordinate renewable power development with market absorption。The National Energy Administration shall assess the annual renewable power curtailment of each administrative area, and on the premise of ensuring that curtailment rate is declining, rationally determine an annual quota for new installations。

In order to promote resolving the issue of curtailment of hydro, wind, and PV power generation, further steps will be made with implementing a priority dispatch system for renewable power generation sources, and when preparing annual priority dispatch and priority purchase plans, room should be reserved in these plans for the volume of electricity subject to guaranteed purchase, and together with the competent energy department should strive to balance the guaranteed purchase of renewable power generation with market-based transactions of electric power。Further, determine annual targets for the minimum share of renewable electricity consumption in total electricity consumption for each provincial-level administrative area。The various electricity market actors share the responsibility of promoting the utilization of renewable energy, and the fulfillment of renewable electricity quotas in their respective power supply area。

At the same time, promote participation in market-based trading by renewable power。In administrative areas where the national government has determined minimum numbers of full-load hours subject to guaranteed purchase, the use of market-based transactions is encouraged to promote consumption of renewable electricity that falls outside the scope of the minimum guaranteed purchase。

Correspondingly, a mechanism to encourage renewable power absorption shall be established, the mechanism for compensation for peak regulation ancillary services shall be improved, and a mechanism to encourage coordinated operation of wind, PV, and hydropower shall be established。Orderly open up the power production and consumption planning within provincial-level administrative areas, and open up the rights of power consumers and power sales companies for the purchase of power from outside their own province。Research improving the cohesion of evaluation policies for the absorption of renewable electricity with carbon emissions, energy conservation and controlling total energy consumption policies。