Duan Wenquan: The cost of transmission is too high and it seriously squeezes hydropower competitiveness

March 6, China Energy News reporter an exclusive interview to the National People's Congress, Yunnan Energy Investment Group Co., Ltd. Party Secretary, Chairman Duan Quan.

For Yunnan 'abandoned water' 'abandoned power', Yunnan sending end tariff, water and electricity consumptive and other issues, Duan Quan seriously answered that. And, to how to relieve the southwest region of 'problem abandoned water', 'abandoned electricity' is, Duan Quan said: 'between national grid and China Southern power grid to be fused to form a game of the national electricity grid hydro south consumptive not, they should rush to the national grid.'

China Energy News: In recent years, the phenomenon of abandonment of electricity in Yunnan is serious. What do you think are the main reasons?

Duan Wenquan: Yunnan is a major province of green energy, which is dominated by hydropower. The total installed power capacity is approximately 86 million kilowatts. The proportion of clean power installed by hydropower accounts for more than 85%, and power generation accounts for more than 90%.

The relatively small amount of Yunnan's industrial economy, low growth rate, and underdeveloped manufacturing industries have constrained the growth of Yunnan's electricity demand, resulting in inadequate consumption in the province. From 2013 to 2016, Yunnan’s water discharge capacity was 50 In billions of millions, when it was 16.8 billion yuan, 15.3 billion kwh and 31.4 billion yuan, although eased in 2017, the amount of abandoned water was still nearly 30 billion kwh.

At present, about half of Yunnan's electricity is sent through 'West Power Transmission' and 'cloud power transmission'. Although the problem of 'abandoning water' and 'abandoning electricity' has been alleviated to a certain degree in Yunnan, the high cost of power transmission has severely squeezed out Yunnan. Sending-side on-grid tariff. On the one hand, low on-grid tariffs have not been able to strongly support the economic development in Yunnan Province. On the other hand, the high transmission costs have caused Yunnan Hydropower to lose its price advantage in receiving market-oriented transactions.

In addition, under the general situation that the power of the whole country is generally loose, the room for growth of 'West Power Transmission to the East' is also very limited.

China Energy News: What advice do you have for solving the 'abandoned water' problem in Yunnan?

Duan Wenquan: For example, the average transaction price of a Yunnan power generation company participating in the marketization transaction of the Guangzhou Power Trading Center was 0.361 yuan/kWh. After deducting the average transmission cost of about 0.192 yuan/kWh, it was converted to Yunnan's sending end power-on tariff of only 0.169 yuan/ In the same period, the average transaction price of the Kunming Electricity Trading Center's marketization transaction was 0.18 yuan/kWh. The on-grid tariff was not only lower than the transmission cost, but also lower than the market trading price in Yunnan Province.

The solution to the problem of 'abandoning the water' depends on the reform of the power system. In addition, Yunnan has not yet formed a national-level clean energy base. In the consumption of Guangdong and the entire Southern Power Grid, the positioning of the National Clean Energy Base in Yunnan should be optimized.

China Energy News: Did you just talk about promoting electricity and water consumption in Yunnan through electricity reform? Can you tell us about it?

Duan Wenquan: For a long time, we all think that hydropower is not good for dispatch. Our traditional approach is to focus on thermal power dispatch. This is not in line with the idea of ​​clean energy development. If we change a way, don’t turn clean energy and water TV into waste electricity. However, priority is given to scheduling clean energy. It is technically feasible to reduce the capacity of fossil fuels, including coal. What needs to be changed is the traditional mode of thinking.

In addition, China Southern Grid and the State Grid, the two networks should be integrated to form a national chess game. The South China Grid can't absorb hydropower, and the State Grid should be rushed to. Yunnan's 'abandoned water', Central China and East China are still a lot of power. Even if thermal power is still under construction on a large scale, the market allocation of resources should play a role.

China Energy News: The location of the selected hydropower delivery involves many stakeholders. The parties also have their own considerations. What do you think about this?

Duan Wenquan: In the trans-provincial market-oriented transactions, the core of power transmission is to put energy-saving dispatching into consideration and reflect the development of energy conservation. Taking overall co-ordination and balance of power as a higher requirement, we must solve the problem systematically from the institutional perspective. With the province, between regions and regions, to make overall planning.

The reform of the power system is a co-ordination process. It is not only a technical issue, but also an optimization of the market allocation of resources or an adjustment of the structure of interests. All of these must be co-ordinated and coordinated.

China Energy News: What is your advice on the energy structure of the new era, especially hydropower development in Southwest China?

Duan Wenquan: Hydropower in the southwest region is dominated by hydropower in Sichuan and Yunnan. This is the core of the country’s clean energy hydropower. It should increase and accelerate the development of clean energy. At the same time, it needs to address the issue of clean energy consumption in the entire power system reform. To highlight the importance of clean energy, we must rationalize clean energy consumption from the reforms and rationalize the entire price mechanism of clean energy.

If we add environmental protection costs to developed regions, the advantages of hydropower are much more prominent than those of thermal power. We do not include environmental costs in energy costs, and the cost advantage of hydropower is not reflected. In fact, the price of hydropower in Yunnan is There are advantages, but long-distance power transmission will consume such advantages.

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