Misreaded PV New Deal

Abstract The scale of construction in some areas is not equal to the expansion of the whole year. At the end of September, the National Energy Administration issued the "Notice on Increasing the Scale of Photovoltaic Power Plant Construction in Some Areas in 2015" (hereinafter referred to as the "Notice"), and the scale of the construction of photovoltaic power plants in the country increased by 5.3 million kilowatts. ...
At the end of September, the National Energy Administration issued the "Notice on Increasing the Scale of Photovoltaic Power Plant Construction in Some Areas in 2015" (hereinafter referred to as the "Notice"), and the scale of the construction of photovoltaic power plants in the country increased by 5.3 million kilowatts. Some outsiders have interpreted that this is an increase of 30% on the basis of the original plan, and a new wave of PV investment is coming.
But the truth is not necessarily the case. It is particularly noteworthy that the "Notice" implies a trial of bidding on the Internet, which may be a prelude to a major turning point in photovoltaic power generation.

The increase does not mean the expansion of the year.
The "Notice" clearly stated that according to the construction and operation of photovoltaic power generation in the first half of 2015 and the development needs of each region, the annual construction scale of PV power plants will be increased in some regions, with a national increase of 5.3 million kilowatts. At the same time, the documents detail the increments of the 15 provincial-level regions in the attached table.
This increase has long been a foreshadowing. In March of this year, the “Notice on the Implementation Plan for the Construction of Photovoltaic Power Generation in 2015” issued by the National Energy Administration proposed that the scale of the construction of new photovoltaic power plants nationwide in 2015 was 17.8 million kilowatts. At the same time, it is proposed that before the end of July, after comprehensive balance, appropriate scale indicators will be added to areas with fast construction progress. Before the end of October, the annual plan completion status will be assessed. If the grid-connected scale does not reach 50% of the newly-built construction scale, the scale indicator for the next year will be reduced.
According to data from the National Energy Administration, the installed capacity of new PV power plants nationwide in June and June was 6.69 million kilowatts, less than half of the annual target, which means that the installed capacity of photovoltaic power plants in the first half of the year is not optimistic.
According to industry insiders, there is an increase or decrease, indicating that the National Energy Administration is rationally regulating the scale of photovoltaic power plants. The addition of 5.3 million kilowatts this time does not mean that the target for the construction of new photovoltaic power plants for the year is 17.8 million kilowatts plus 5.3 million kilowatts. The newly added targets are 15 provincial-level regions. The construction progress in other regions is not satisfactory. According to the original regulations, the construction scale should be reduced before the end of October.
It is worth mentioning that the 15 regions that have been upgraded include areas with high light rejection rates. For example, in the first half of this year, Gansu abandoned light rate by 28% and Xinjiang (including Corps) abandoned light rate by 19%. However, not all PV power plants in these two places are facing the problem of light rejection, and some PV power plants have been well absorbed. In the “Notice”, when the scale of construction of the above two places was increased, the newly added power station for a specific location was clearly defined.

Implicit bidding online pilot
In the eyes of professionals, the Schedule to the Notice - "In 2015, the scale of PV power plant construction in some regions" implies a major information, or it will be far more profound than the scale of the increase.
As indicated in the attached table, 200,000 kilowatts of the 700,000 kilowatts of electricity generated by Inner Mongolia is used for the “competitive price reduction project” in Hohhot.
Competing to reduce the price of electricity, that is, not obtaining the “road strip” by the competent department to obtain the development and construction qualification of the ground photovoltaic power station, but obtaining the qualification through market-based bidding, under the premise of ensuring certain power generation efficiency and quality, Whoever has a low offer who gets the right to build the project.
As China's photovoltaic power generation enjoys the national electricity price subsidy, but the subsidy funds are limited, the total scale of the PV power plant project is subject to certain control. At this time, the “road strip” has become scarce.
According to industry insiders, some small-scale project companies have “special” relations with local governments or relevant departments, can get approval for a large-scale photovoltaic ground power station, and then sell the approval documents to companies with strong construction to earn the difference. . At present, 70% of the construction of large-scale photovoltaic power plants in China? 80% are completed through “Road” transactions. Moreover, the price of the "Road" transaction is rising, from the initial 0.2?0.3 yuan / watt, to 0.5 yuan / watt. At the highest, it reached 1 yuan / watt. This has greatly increased the cost of photovoltaic power plant construction.
In October 2014, the National Energy Administration issued three consecutive documents, the “Notice on Further Strengthening the Construction and Operation Management of Photovoltaic Power Plants”, “Notice on Regulating the Investment and Development Order of Photovoltaic Power Plants”, “On the Development of Investment and Development Orders for New Power Projects” The Notice of Special Supervision Work indicates that the National Energy Administration is determined to curb the speculation of “roads”. However, since the “roads” are not market-oriented, continuous heavy punching still has little effect.
The pilot of Hohhot was considered by the industry to be a very important reform pilot. It breaks the way in which photovoltaic power plant projects are awarded and is based on market-based operations. If the pilot can be promoted, it is expected to fundamentally eliminate the various ills caused by the “roads”.
The light conditions in Inner Mongolia are relatively good, and the yield is high, which makes photovoltaic power generation have room for price reduction. In the eastern provinces of Zhejiang and Jiangsu, the lighting conditions are relatively poor, making it difficult to conduct bidding trials. In addition, there are many industrial enterprises in Hohhot, and the consumption of photovoltaic power generation is relatively good, which is the basis of the bidding pilot.
However, the bidding was only 200,000 kilowatts. Peng Yu, head of the research department of the Recycling Energy Special Committee of the China Association of Circular Economy, told the reporters of the "Financial Weekly" that the government is worried about vicious competition. For example, in the bidding process, There may be companies that blindly quote the project and hinder the healthy development of the industry.
Peng Wei suggested that due to the total control of photovoltaic ground power stations, it is a preferred project. When the government departments try to bid, they can put forward a hard standard for the quality of the power station. For example, the conversion rate is higher than the market level. Fair bidding, to ensure that enterprises with low quality and low prices win the bid, and gradually achieve both quality improvement of power stations and decline in electricity prices.

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