China Pumped Storage Power Station Operation Mode and Investment Opportunities Report, 2013-2017

The most distinctive characteristics of this report is forward-looking and timeliness. Through analyzing forward-looking characteristic of abundant first-hand market data, we deeply and objectively dissect China current pumped storage power station industry’s operational models, equipment installed size, construction demand and electricity price compensation mechanism. Furthermore, based on future development tracks and years’ practice experience of pumped storage power station industry, we conduct prudent analysis and forecast for pumped storage power station industry’s future development trend.

In recent years, many deep and great changes have taken place in world’s political and economic trends. With greater and greater pressure of energy saving and emission pollution, China will conduct large-scale development and utilization of nuclear power, wind power, solar power and other cleaning power, a new round of energy reform with a focus of electricity will begin. The electricity grid has new function positioning. Besides traditional power transmission function, the electricity grid has become a carrier for resources optimum, and an important component of modern comprehensive transport system and economic network. The electricity system faces new challenges: firstly, the electricity peak is gradually broadening and the peak regulation contradiction becomes prominent; secondly, the increasingly expanding of electricity size increase the risks in the safe and stead operation of electricity system; thirdly, the society has higher requirements for the quality of electricity supply; fourthly, the rapid development of renewable resources will bring great pressure on the safe and steady operation of electricity system. In order to deal with new challenges, it’s urgent to improve the flexibility of electricity operation system and ensure the safe and steady operation of electricity system. The large-scale development of pumped storage power has been a must choice for the development of China electricity industry.

The large-scale development of China wind electric power, nuclear and other cleaning energy will provide precious opportunities for the development of pumped storage industry. In 2009, After the pumped storage station construction work meeting held by the National Energy Administration, the State attaches great importance to the vital role of pumped storage power in energy saving and emission reduction, the adjustment of energy structure, and the construction of smart electricity grid, as well as deeply optimizes the pumped storage power layout and conducts indepth researches on the development mechanism. The location choosing planning work of pumped storage power in the nationwide has been made a great progress. The location choosing plan work of five regional electricity pumped storage power governed by the State Grid Corporation has been basically completed, which chooses about 100 sites for the planning work, and which plans to reach the installed capacity of 120 million KW; and the location choosing planning work in Hainan province and Guangdong province governed by China Southern Power Grid has basically finished, which lays a good foundation for the sustainable development of pumped storage power. On this basis, the National Grid Corporation will increase efforts to pre-projects reserves, and launch the feasibility research work for 21 pumped storage projects, then a virtuous pumped storage power development pattern of “make plans for projects, reserve for projects and develop projects”, which creates conditions for the fast development of pumped storage power. Meanwhile, the National Grid Corporation positively research to optimize the pumped storage power layout so that make fully use of every function of pumped storage power, meet the requirement for the safe and steady economic operation of electricity system, and satisfy the needs for China’s economic and social development. As of the end of 2011, the production scale of China pumped storage power reached 18.36 million KW.

On one hand, China pumped storage power has good development opportunities; on the other hand, there are a series problems and challenges. For instance, the electricity price of pumped storage power still needs improving; the manufacturing technology of domestic pumped storage power equipment needs to be advanced, and the design, construction and operation standards, which adapt to pumped storage power, are waiting for being researched and established. These problems have a great impact on the development of China pumped storage power. At present, China pumped storage power occupies only 1.74% of the total system installed capacity. The world’s developed countries, which have a large proportion of fuel gas for electricity peak shaving, still occupy 3%-10% of pumped storage power in the total system capacity. Compared to foreign advanced countries, China’s pumped storage power installed capacity is obviously insufficient. Under the background of large-scale development of wind power, nuclear power and other cleaning energy, as well as the adjustment of energy structure, it’s very urgent for China to construct considerably large-scale pumped storage power stations, to meet the requirement for safe and steady operation of electricity system. According to prediction, the installed capacity of China pumped storage power in 2020 will reach 80 million KW.

With Forward’s long-term tracking and collecting market data of pumped storage power station industry, we roundly and accurately analyze the industry structure system for you from the view of mastering the whole industry. This report mainly focuses on analyzing the development environment and necessities of China pumped storage power station industry; the operational models and experiential learning of international pumped storage power station industry; the construction and demand situation of China pumped storage power station industry; the market situation of China pumped storage power equipment; the construction investment mechanism and operation & management models of pumped storage power station; the benefit compensation mechanism of China pumped storage power station; the economic and environment benefits of China pumped storage power station; the construction project risks and protection measures of China pumped storage power station; as well as the development prospects and development suggestions of China pumped storage power station. Meanwhile, with comprehensive and specific first-hand market data over the past 5 years, Forward helps you to grasp the market and development trends of pumped storage power station industry, so as to win advantages from competition!

The most distinctive characteristics of this report is forward-looking and timeliness. Through analyzing forward-looking characteristic of abundant first-hand market data, we deeply and objectively dissect China current pumped storage power station industry’s operational models, equipment installed size, construction demand and electricity price compensation mechanism. Furthermore, based on future development tracks and years’ practice experience of pumped storage power station industry, we conduct prudent analysis and forecast for pumped storage power station industry’s future development trend. This report helps pumped storage power station operational enterprises, investment enterprises, and pumped storage power equipment manufacturing enterprises to precisely grasp current latest developments of the industry. Afterwards, they can make wise operating decisions and define enterprises’ development directions.

Here, we would like to express our sincere gratitude to State Information Center, Bureau of Statistics of China, International Information Research Institute, Chinese Academy of International Trade and Economic Cooperation, Tsinghua University Library, Development Research Center of the State Council and Beijing Essence Forward Research Center, for their great support when we conduct this report!

Notice: All the market data, especially corporations' ranking data in the report, only for business reference. Please do not take the data for enterprise publicity. Thank you! Or Forward shall not take any responsibility for any consequences!

Qianzhan Business Information Co., Ltd. Industry Research Center
Research Team of Pumped Storage Power Station