National Development and Reform Commission: Promote the rapid approval, early construction and early commissioning of inter-provincial power transmission channels

China Energy Storage Network News: On January 18, the National Development and Reform Commission held its first press conference in 2022. Li Yunqing, director of the Economic Operation Regulation Bureau of the National Development and Reform Commission, said at the meeting that the National Development and Reform Commission will work with relevant parties to do its utmost to ensure power supply, promote the accelerated approval of cross-provincial transmission channels, and start construction and put them into production as soon as possible, effectively improving the ability to optimize resource allocation over a large range.

Regarding the overall situation of energy supply security, Li Yunqing pointed out that in response to prominent contradictions and problems, the work of energy supply security and price stabilization has achieved phased results, coal prices have returned to a reasonable range, coal reserves at power plants have reached the highest level in the same period in history, electricity supply has continued to be stable, and the supply of natural gas resources is relatively sufficient.

Regarding coal, Li Yunqing said that the domestic coal supply is guaranteed in terms of production capacity, transportation capacity, storage capacity and key coal use.

In terms of production capacity, the main coal producing areas such as Shanxi, Shaanxi and Inner Mongolia were organized to increase production and supply, and the coal production level recovered rapidly. According to data from the National Bureau of Statistics, the national coal output in 2021 was 4.07 billion tons, which is fully capable of ensuring reasonable coal demand.

In terms of transportation capacity, in recent years, the construction of coal collection and distribution has been continuously strengthened, and coal transportation capacity has been greatly enhanced. In the fourth quarter of last year, the national railway power coal transportation increased by more than 20% year-on-year, and the throughput of northern coal ports set new historical highs. The demand for coal transportation can be better guaranteed.

In terms of reserve capacity, we have accelerated the construction of coal reserve capacity. In recent years, the reserve capacity of key areas has continued to improve, and the government's available reserve resources have increased significantly, playing an important role in ensuring coal supply.

Li Yunqing stressed that as of January 16, the country's unified dispatching power plants had 166 million tons of coal in stock, which can be used for 21 days, the highest level in the same period in history. In terms of key coal use, this year my country will continue to promote full coverage of medium- and long-term contracts for power generation and heating, and further consolidate the basic supply of coal. According to preliminary summary data, the amount of contracts that have been completed in various regions has increased by nearly 700 million tons compared with last year, and most provinces have achieved full coverage of coal contracts for power generation and heating.

In terms of electricity, Li Yunqing said that due to the combined influence of multiple factors, my country's electricity demand grew rapidly in 2021.

According to statistics, the national electricity consumption in 2021 was 8.31 trillion kWh, a year-on-year increase of 10.3%, and an average growth of 7.1% over two years, 1.4 percentage points higher than the average annual growth rate in the "13th Five-Year Plan" period; the national maximum electricity load was 1.192 billion kilowatts, an increase of 10.8% over the previous year.

Comprehensive analysis shows that the national electricity consumption and peak load are expected to continue to grow rapidly in 2022. At the same time, the coordinated development of economic and social development, clean and low-carbon energy transformation, carbon peak and carbon neutrality and other goals have put forward higher requirements for power supply. Li Yunqing pointed out that the National Development and Reform Commission will work with relevant parties to do a good job in power supply.

First, give full play to the role of various types of power sources in ensuring supply, accelerate the construction of large-scale wind power and photovoltaic base projects focusing on deserts, Gobi, and desertified areas, and combine the progress of new peak-shaving units in various places and the need to ensure power supply. Scientifically promote the "three-in-one" transformation of coal-fired power energy conservation and consumption reduction, heating transformation, and flexibility transformation and manufacturing, and reduce the coal consumption of power supply of in-service units to below 300 grams of standard coal per kilowatt-hour.

Second, we will give full play to the role of large power grids in optimizing resource allocation. We will accelerate the approval of inter-provincial transmission channels, start construction and put them into operation as soon as possible, and effectively improve the ability to optimize resource allocation on a large scale. We will make full use of the advantages of unified dispatching across the entire network to achieve mutual assistance between surplus and shortage and complementarity between peaks and valleys. We will implement the inter-provincial priority power generation system, scientifically formulate inter-provincial power balance plans, and effectively enhance the overall national supply guarantee capacity. We will establish and improve a market-oriented mechanism for inter-provincial optimized dispatching to promote the overall balance of supply and demand.

Third, we will bring into play the role of power demand-side management in protecting people's livelihood. We will guide all regions to strengthen the construction of interruptible load resources, guide users to use electricity in a market-oriented manner in a staggered and avoidable manner, control unreasonable electricity demand, and firmly maintain the bottom line of ensuring people's livelihood electricity. We will advocate a simple, moderate, green and low-carbon lifestyle, increase publicity efforts on energy conservation and power saving, and guide the whole society to use electricity scientifically, economically, and stagger electricity consumption.

Regarding natural gas, Li Yunqing said that since the beginning of winter, my country's natural gas supply situation has been generally better than in previous years.

From the perspective of resource supply, the national gas storage inventory, coastal LNG storage tank inventory, and national pipeline company pipeline inventory have been running at a high level. On December 27 last year, the national gas consumption hit a record high of 1.372 billion cubic meters, 50 million cubic meters higher than the maximum daily gas consumption in the previous heating season.

From the perspective of demand guarantee, the contract volume for the heating season has exceeded 170 billion cubic meters, and there is sufficient and stable supply of gas for heating and other people's livelihood needs in the northern region. The gas use in key areas such as gas-fired power generation and fertilizer production is also well guaranteed. So far, there has been no situation of "suppressing non-essentials to protect the people" in the country.

From the perspective of price operation, domestic natural gas prices are basically stable, and even decreased year-on-year during the peak period of gas consumption, far lower than the global market gas price level. Gas prices for people's livelihood such as daily life remain stable.

At present, the national natural gas resources are in sufficient supply, which can ensure that the people can have a warm holiday during the Spring Festival. Li Yunqing stressed that in order to ensure the continuous and stable supply of natural gas, the National Development and Reform Commission will work with various regions, relevant departments and enterprises to further deepen the construction of the natural gas production, supply, storage and sales system, and do a solid job in ensuring the supply and stabilizing the price of natural gas.

First, we will organize the signing and fulfillment of medium- and long-term natural gas contracts, implement resources as soon as possible, and strictly follow the contracts to ensure the stability of gas supply and use. This year, we will implement the signing of separate contracts for people's livelihood gas use, with the aim of making the work of ensuring people's livelihood gas use more solid and in place.

Second, we will vigorously increase exploration and development efforts, focus on unconventional resources such as shale gas, promote domestic natural gas reserves and production, and lay a solid foundation for domestic resource supply.

The third is to accelerate the improvement of gas storage peak-shaving and supply guarantee capabilities, strengthen the responsibilities of all parties, strengthen coordination and assessment, comprehensively promote the construction of gas storage facility projects, and enhance peak regulation capabilities.

Fourth, we will accelerate the establishment of a diversified and stable import supply system, strengthen overall coordination, promote facility capacity building, and ensure the safety and stability of imports.

Fifth, deepen the market-oriented reform of natural gas, improve the pipeline operation and dispatching mechanism, strengthen the construction of interconnection, give full play to the role of "one network across the country", and improve the efficiency of resource allocation and operation.

Sixth, we will implement the "suppressing unnecessary consumption and protecting the people" plan in a practical and detailed manner, strengthen practical exercises, and implement it accurately and orderly when necessary to ensure that people's gas needs are met.