Reconstruction of energy system under low-carbon economy

The "Twelfth Five-Year Plan" is the first five years of the transformation of China's energy system and is of great significance to the adjustment of energy structure. In 2009, our government made a commitment to the international community to “striving for non-fossil energy in 2015, accounting for about 15% of primary energy consumption and a 40% to 45% reduction in the GDP of unit GDP over 2005”. To accomplish this goal, we need to achieve cooperation from multiple sources through the cooperation of multiple industries. The restructuring of the energy industry is imminent and will also generate investment opportunities in many areas.

Energy consumption will continue to grow rapidly in the next five years. Compared with the per capita energy consumption of the world’s major economies, China’s per capita consumption is currently quite low, only 19% in the United States and 84% in the world average. With the development of social economy, the increase in per capita energy use is an inevitable result. China is in the stage of rapid development of industrialization and urbanization. The continued increase in energy demand is an objective law.

The energy price system reform will be promoted. In terms of refined oil products, the current pricing mechanism has achieved domestic product oil prices in line with international crude oil prices, but the adjustment time has lags behind, leading to market speculation, which is not conducive to the stability of the refined oil market. We expect that the direction of refined oil price reform is that the highest retail price of domestic refined oil will timely reflect international crude oil changes, and finally realize the price competition pattern under the guidance of the government.

In terms of natural gas, we expect reforms to be based on cost pricing in a “one price, one price” approach to ensure that the gas supply companies do not lose money, and then determine the appropriate terminal prices based on changes in demand. In addition, in recent years, the contradiction between “market coal and planned electricity” has intensified, not only undermining the profitability of power companies, but also creating a situation of power shortage in some areas. The reform of the electricity price system that has stagnated for many years is expected to be in the “Twelve Five Years.” "A breakthrough.

During the "12th Five-Year Plan" period, restructuring and integration are still the main theme of the energy industry. In recent years, restructuring and integration have been the main theme of the energy industry. In 2010, China’s energy and minerals industry accounted for the largest proportion of M&A transactions in several major industries, of which the coal industry was the most active. At present, the integration of Shanxi's coal resources has basically been completed, and the integration of resources in coal-producing provinces such as Henan, Shaanxi, and Shandong has already begun. In the "Twelfth Five-Year Plan", it has been pointed out that the development of safe and efficient coal mines, the promotion of coal resources integration and the merger and reorganization of coal mining companies, and the development of large-scale coal enterprise groups, is expected to further increase industry concentration.

The construction of energy transmission pipeline network will be the focus. The characteristics of China's energy resources and demand are reversely distributed: China's onshore wind, hydro, and solar resources are concentrated in the west and north; clean energy power is far from the load center and the location of the resources is lagging behind in economic development; , long-distance transmission, in order to achieve large-scale regional absorption. During the "Twelfth Five-Year Plan" period, China's energy regional layout will undergo major changes. Among them, the eastern region will implement total coal consumption control, strictly control the development of coal and electricity, and focus on nuclear power and gas-fired power plants. In the western and central regions, the large-scale pit power station will be optimized according to the carrying capacity of water resources and the environment; the southwest will focus on development. Natural gas and hydropower development in key river basins; the “12th Five-Year Plan” will focus on the formation of a “5+1” energy development pattern for the construction of five comprehensive energy bases in Shanxi, Ordos Basin, Southwest China, Mengdong, and Xinjiang, and the construction of Central East Nuclear Power Stations. . According to the national grid company's smart grid construction plan, after 2013, new energy grid-connected devices will become the focus of construction, and grid-connected problems that plagued new energy development are expected to be gradually cracked.