my country's energy system will need an additional investment of one trillion yuan in the next 30 years

China Energy Storage Network News: "Achieving the carbon peak and carbon neutrality goals as scheduled is both a challenge and an opportunity. From 2020 to 2050, China's energy system will require an additional investment of approximately 100 trillion yuan. The new power system with new energy as the main body will undergo revolutionary changes. Emerging fields such as low-carbon technology, clean energy materials, and new energy vehicle industry chains have broad prospects." On November 26, Wang Tong, president of the China Development Institute, said at the 2021 Southern Power Grid Energy Development Forum and the Southern Power Grid Energy Institute Research Results Release Conference.

Wang Tong believes that to accelerate the construction of a new power system, we must not only study new energy access models to serve the rapid development of new energy, but also study how to strengthen the regulation capabilities of conventional power sources to ensure adequate power supply. We must not only study the coordinated planning of power grids at all levels to enhance the ability to absorb new energy, but also study the digital transformation of power grids to enhance the intelligence level of the entire network. We must not only study the new generation of dispatching systems to improve the control capabilities of power grids, but also study integrated energy service models to enhance the energy efficiency level of the entire society.

"The carbon peak and carbon neutrality goals are highly consistent with the strategic goals of clean and low-carbon energy transformation." Zhou Xiaoxin, academician of the Chinese Academy of Sciences and honorary president of the China Electric Power Research Institute, pointed out that the energy storage demand of the new power system with new energy as the main body can be divided into two types: one is to cope with the short-cycle (intraday) volatility and intermittent operation flexibility adjustment needs of wind and solar new energy power generation, which can adopt pumped storage, electrochemical batteries, compressed air and other energy storage technologies; the second is to cope with the long-cycle (intra-week, intra-month, cross-season) output fluctuations of wind and solar new energy power generation, the imbalance between energy supply and demand, and the energy storage needs of energy and power supply under sudden disasters, mainly using green technologies to produce and store hydrogen and gas/liquid fuels (such as methane, methanol, ammonia) and other methods.

The annual report series is an important carrier and display platform for the strategic and basic research results of CSG Energy Research Institute. CSG Energy Research Institute officially launched the "China Electricity Market Reform Report", "China Electricity Industry Investment Development Report", "Guangdong-Hong Kong-Macao Greater Bay Area Electricity Development Report" and "Global Leading Enterprise Innovation Development Report" at the conference.

According to the "China Electricity Market Reform Report", as of the end of 2020, there were approximately 30,500 registered power generation companies nationwide, and more than 5,000 registered power sales companies; in 2020, the scale of electricity market transactions reached 3.17 trillion kWh, a year-on-year increase of 11.7%. The State Grid and Southern Grid operating areas released reform dividends of more than 90 billion yuan through electricity market transactions.

The report suggests that the market-oriented reform of the power industry is facing many challenges under the background of carbon peak and carbon neutrality. The power market system should be improved to guide the orderly development of new energy; expand the scope of market allocation and accelerate the construction of a regional unified power market; innovate mechanisms, be compatible with new market players, and smooth the channels for the consumption of distributed resources; improve the price formation mechanism and promote the coordinated development of new energy and regulation resources; reform the pricing mechanism of transmission and distribution prices, strengthen investment incentives, and optimize the layout of new energy.

Investment is a barometer of the industry's status. According to the "China Power Industry Investment Development Report", the total investment in my country's power industry in 2020 was 994.4 billion yuan, a year-on-year increase of 9.6%. In terms of investment results, the national power generation reached 762.36 billion kWh in 2020, a year-on-year increase of 4.5%, maintaining a stable growth trend in the past 10 years; in terms of investment types, since 2010, my country's wind power installed capacity has shown a trend of year-on-year growth and a large increase, with an increase of more than 10%.

The report predicts that in the next three to five years, the profitability of my country's power generation companies will remain stable, but they will still face certain challenges. In order to resolve the contradiction between the intermittent characteristics of new energy and the stability of power supply, investment in high-efficiency and high-capacity energy storage should be increased, and the investment scale of new energy storage devices such as pumped storage and other regulating power sources and electrochemical energy storage should be increased.

In addition, the release of the "Power Development Report of the Guangdong-Hong Kong-Macao Greater Bay Area" also systematically sorted out the development status of the Greater Bay Area in terms of power supply and demand, power grid planning and construction, power market, and power technology innovation in 2020. According to the "Report", the total social electricity consumption of the Guangdong-Hong Kong-Macao Greater Bay Area in 2020 was 554.5 billion kWh, a year-on-year increase of 1.1%, of which the nine cities in the Pearl River Delta increased by 1.6% year-on-year; the installed capacity of clean energy was 54.14 million kilowatts, a year-on-year increase of 11.2%, accounting for 63.8% of the total installed capacity, and the clean energy power supply in and outside the region accounted for more than 60%.