Guiding Opinions of the National Development and Reform Commission and the National Energy Administration on the High-quality Development of Distribution Networks under the New Situation

(V) Improve the level of operation and maintenance services. Strengthen equipment inspection and maintenance, and promptly eliminate equipment defects and hidden dangers. Carry out lean operation and maintenance inspections, optimize power outage schedules, strengthen the management of rapid emergency repairs and power restoration, promote active emergency repair technology for distribution network faults and the "power restoration first, then repair" model, and reduce the duration, number, and scope of power outages. Electricity users should strengthen the operation and maintenance of their own facilities, promptly eliminate hidden dangers, prevent accidents, and avoid affecting the public power grid. Revise and improve the grid connection standards, and strengthen the foundation for safe and stable operation of the distribution network. Simplify the grid connection process, speed up the construction and commissioning and acceptance of grid connection projects, and improve service efficiency. Support the development of comprehensive energy services based on the distribution network.

V. Strengthen reform and innovation to solve development problems

(I) Continue to promote scientific and technological innovation. Strengthen the research on planning methods, operation mechanisms, balancing methods of active distribution networks, and dispatching and operating control methods of new models such as microgrids and virtual power plants, improve relevant standards, and actively carry out international cooperation. Explore the optimal layout and efficient use of new energy storage, carry out research on efficient carrying technology of charging facilities, and promote flexible access of new entities. Support regions with conditions to carry out pilot projects in the innovation of distribution network technology and models.

(II) Improve the market trading mechanism. Clarify the market access, clearing and settlement standards for new entities and new formats such as distributed new energy, new energy storage, electric vehicle charging facilities, microgrids, virtual power plants, etc., study and design appropriate trading products and trading rules, and encourage diversified resources to participate in market transactions on an equal basis. Improve the multi-time scale and multi-level electricity market to meet diversified needs. Innovate and expand new power system business models and trading mechanisms to create conditions for industrial and commercial power users to conduct direct transactions with distributed power sources, new energy storage and other entities.

(III) Continue to optimize the electricity price mechanism. Further improve the time-of-use electricity price mechanism, establish and improve the time-of-use electricity price mechanism for electric vehicle residential charging piles; in areas where the electricity spot market continues to operate, promote the dynamic adjustment of peak and valley time division according to spot price signals to improve user electricity consumption characteristics. Study and improve the energy storage price mechanism. Based on the evaluation of the pilot market for distributed power generation market transactions, study and improve the transmission and distribution price mechanism to better promote the local consumption of new energy.

(IV) Improve fiscal and financial policies. Give full play to the guiding and driving role of central investment, and further promote the consolidation and upgrading of rural power grids. Support the construction of qualified distribution network projects through local government special bonds. Establish and improve the mechanism for guiding the investment and operation and maintenance costs of universal power services in remote areas, encourage local governments to adopt policies such as fiscal subsidies, fiscal and tax reductions, and guide more resources to be allocated to weak links and key areas. Encourage financial institutions to improve their financial service capabilities and support the construction of distributed new energy, charging infrastructure, and new energy storage.

VI. Strengthen organizational support and coordinate work

(I) Establish and improve the working mechanism. Establish a working mechanism for the coordinated cooperation of local energy authorities at all levels and relevant authorities such as price, housing and construction, and land, energy regulatory agencies, various power companies, new business project units, and important power users, formulate implementation plans based on local conditions, and fully implement all requirements for high-quality development of the distribution network.

(II) Strengthen the work responsibilities of all parties. Local energy authorities should organize the preparation of distribution network planning, optimize the project approval process, strengthen the construction, transformation and operation management of distribution networks, improve investment efficiency, and control the cost of power grids; take the initiative to connect with relevant departments and grassroots governments, coordinate station sites and corridor resources, and ensure the smooth implementation of the project. Power companies and relevant new business project units are the main implementers of distribution network construction and operation. They should take the initiative to enhance service awareness, continuously improve service quality, do a good job in project management, construction, operation and maintenance, grid connection services, and implement the main responsibility for safety. The dispatched agencies of the National Energy Administration shall strengthen supervision according to the division of responsibilities, promptly identify problems and promote their resolution.

(III) Continue to carry out regulatory assessments. Local energy authorities and dispatched agencies of the National Energy Administration shall strengthen tracking, analysis, supervision and management of the development of distribution networks in accordance with their duties, and timely evaluate the results and summarize improvements. The National Development and Reform Commission and the National Energy Administration shall organize assessments and summaries in a timely manner, and publicize and promote typical practices and successful experiences that have achieved remarkable results in key tasks such as the transformation of distribution networks in urban villages, the consolidation and improvement of rural power grids, the operation of distributed new energy networks, the interaction of electric vehicle charging infrastructure networks, and the coordinated operation and control of sources, grids, loads and storage.

National Development and Reform Commission
National Energy Administration
February 6, 2024