Jiangsu starts application for photovoltaic power generation marketization project: 8% and 10%/2h energy storage in the south and north of the Yangtze River

Recently, the Jiangsu Provincial Development and Reform Commission issued the "Notice on Matters Concerning the Market-oriented Grid Connection of Photovoltaic Power Generation Projects in Our Province in 2021", officially launching the application for photovoltaic market-oriented projects.

According to the document, in 2021, new photovoltaic power generation projects in the south of the Yangtze River in Jiangsu Province shall, in principle, be equipped with peak-shaving capacity (duration of 2 hours, the same below) at a power ratio of 8% or more, and the areas north of the Yangtze River shall, in principle, be equipped with peak-shaving capacity at a power ratio of 10% or more; if the peak-shaving capacity exceeds the prescribed ratio, the remaining part can be coordinated within Jiangsu Province and traded to other power generation companies through market-based means.

Regarding the recognition of peak-shaving capacity, the document makes it clear that new energy storage and pumped storage are recognized according to installed capacity; compressed air energy storage is recognized according to the ratio of its actual operating efficiency to the efficiency of the pumped-storage power station; the newly added peak-shaving capacity of the existing heating gas-fired power plant is calculated based on one unit in the whole plant, with 50% of the capacity as the benchmark value. All heating units in the power plants applying for registration must have the ability to operate continuously and stably below 50%. The peak-shaving capacity is determined by multiplying the part below the benchmark by 0.4 and 0.2 to the north and south of the Yangtze River respectively; the peak-shaving capacity of 300,000-kilowatt and 600,000-kilowatt and above coal-fired power units is determined by 35% and 30% of the capacity as the benchmark values ​​respectively. The newly added peak-shaving capacity is determined by multiplying the part below the benchmark by 0.5 and 0.4 to the north and south of the Yangtze River respectively.

The following is the original text

Notice of the Provincial Development and Reform Commission on matters related to the market-oriented grid connection of photovoltaic power generation projects in our province in 2021

Sufa Gai Neng Yuan Fa [2021] No. 949

To the Development and Reform Commission of each prefecture-level city and provincial power company:

In order to actively implement the national "carbon peak and carbon neutrality" goals and further promote the high-quality development of renewable energy in the province, in accordance with the "Notice of the National Energy Administration on Matters Concerning the Development and Construction of Wind Power and Photovoltaic Power Generation in 2021" (Guo Neng Fa Xin Neng [2021] No. 25), "Notice of the National Development and Reform Commission and the National Energy Administration on Encouraging Renewable Energy Power Generation Enterprises to Build or Purchase Peak-Shaving Capacity to Increase Grid Connection Scale" (Fagai Yun Heng [2021] No. 1138) and "Notice of the Provincial Development and Reform Commission on Doing a Good Job in the Construction of Wind Power and Photovoltaic Power Generation Projects in 2021" (Su Fa Gai Neng Yang Fa [2021] No. 641), the relevant matters concerning the market-oriented grid connection of photovoltaic power generation projects in our province in 2021 are hereby notified as follows:

1. Project Scope

Photovoltaic power generation market-oriented grid-connected projects refer to photovoltaic power generation projects that are willing to be connected to the grid outside the guaranteed grid-connected scale. After the grid-connected conditions are met through market-oriented methods such as self-construction, joint construction and sharing, or purchasing services, the grid companies will connect them to the grid. The grid-connected conditions mainly include the addition of new energy storage, pumped storage, compressed air energy storage, and flexibility transformation of existing gas-fired and coal-fired power units for heating.

2. Construction requirements

Implement market-based grid connection conditions through self-construction and joint construction of peak-shaving capacity. In order to encourage power generation enterprises to participate in the construction of peak-shaving resources in a market-based manner, and taking into account factors such as resource endowment, grid absorption and the actual situation in our province, in 2021, new photovoltaic power generation projects in the south of the Yangtze River in our province will, in principle, be equipped with peak-shaving capacity at a power ratio of 8% or more (duration of 2 hours, the same below), and in principle, areas north of the Yangtze River will be equipped with peak-shaving capacity at a power ratio of 10% or more. Power generation enterprises should specify the specific configuration capacity when applying for projects. If the actual supporting peak-shaving capacity exceeds the prescribed ratio, the remaining part can be coordinated within the province and traded to other power generation enterprises through market-based means, and shall not be carried forward to the next year for continued use.

Market-based grid connection conditions are implemented by purchasing peak-shaving capacity. Purchasing peak-shaving capacity includes purchasing peak-shaving projects and peak-shaving services. The purchased capacity is regarded as the supporting capacity, and the purchase ratio requirements are the same as the self-built and co-built peak-shaving requirements.

Determination of peak-shaving capacity. (1) The newly added peak-shaving capacity of new energy storage and pumped-storage power stations shall be determined according to the installed capacity. (2) The newly added peak-shaving capacity of compressed air energy storage shall be determined according to the ratio of its actual operating efficiency to the efficiency of pumped-storage power stations multiplied by the installed capacity. (3) The newly added peak-shaving capacity of existing heating gas-fired power plants shall be calculated based on one unit in the whole plant, with 50% of the capacity as the benchmark value. All heating units of the power plants applying for the approval shall have the ability to operate continuously and stably below 50%. The newly added peak-shaving capacity of heating gas-fired power plants north of the Yangtze River shall be determined by multiplying the portion below the benchmark value by 0.4, and the newly added peak-shaving capacity of heating gas-fired power plants south of the Yangtze River shall be determined by multiplying the portion below the benchmark value by 0.2. (4) The peak-shaving capacity of 300,000-kilowatt and 600,000-kilowatt and above coal-fired power units shall be determined as 35% and 30% of their capacity respectively. The newly added peak-shaving capacity shall be multiplied by 0.5 for the portion below the benchmark value for coal-fired power units north of the Yangtze River, and by 0.4 for the portion below the benchmark value for coal-fired power units south of the Yangtze River. (5) For those who implement the peak-shaving capacity requirements through joint construction, the newly added peak-shaving capacity shall be determined according to the investment ratio; for those who implement the peak-shaving capacity requirements through purchase, the newly added peak-shaving capacity shall be determined according to the peak-shaving capacity signed in the purchase contract.

Construction and commissioning schedule. In principle, photovoltaic power generation projects that meet the market-based grid-connected conditions in 2021 should be completed and connected to the grid before the end of June 2023. In principle, supporting new peak-shaving capacity projects should be projects that are put into operation after January 1, 2021, and should be built and connected to the grid simultaneously with photovoltaic power generation projects. They can be built at the location of the photovoltaic power generation project or in a different location. However, the peak-shaving capacity built or purchased by photovoltaic power generation projects connected to the grid in a market-based manner north of the Yangtze River must, in principle, be built in the area north of the Yangtze River.

Performance requirements for new energy storage power stations. For those who implement market-oriented grid connection conditions by building new energy storage, the energy storage time should not be less than 2 hours, the capacity decay rate during operation should not exceed 20%, the AC side efficiency should not be less than 85%, the discharge depth should not be less than 90%, and the power station availability should not be less than 90%.

III. Project Application

In principle, all investment and development companies should fill in the relevant information of photovoltaic power generation projects and supporting peak-shaving capabilities in the "New Energy Cloud System" (http://sgnec.esgcc.com.cn) before October 31 (rooftop distributed and household photovoltaic power generation projects do not need to be reported), and organize and implement them on schedule.

The Development and Reform Commissions of all prefecture-level cities should further promote the development and construction of photovoltaic power generation projects. In accordance with the requirements of the "Notice of the Provincial Development and Reform Commission on Monthly Reporting of the Development and Construction of Renewable Energy Power Generation Projects", they should report the development and construction status of photovoltaic power generation projects in their regions that have achieved market-oriented grid-connected conditions in the previous month to our Commission (Energy Bureau) before the 10th of each month.

IV. Strengthening production safety and operation management