China Wind Power Grid Report: Some experts believe that overcapacity in new energy will bring competition, which is a good thing, while others believe that overcapacity in new energy is a "Great Leap Forward".

On September 14th, at the "China US New Energy Forum" co hosted by the Shanghai Municipal Commission of Science and Technology, GE China R&D Center, and Tongji University, two completely different voices emerged from the attending experts regarding the recent allegations of overcapacity in the new energy industry.

"The overcapacity of new energy leads to more effective competition, thus choosing more scientific technological paths and prices that can be accepted by consumers. It is particularly important to choose the best enterprises." Wang Yuan, Executive Vice President of the China Academy of Science and Technology Development Strategy, clearly stated that the development of the new energy industry has its own special laws and should not be heavily criticized, or various means should be used to curb the spread of this "overcapacity".

China's wind power generation is undergoing the 'Great Leap Forward'. Ni Weidou, an academician of the CAE Member, "tit for tat", believes that more than half of the enterprises that have rushed forward may be eliminated, causing huge waste.

Ni Weidou gave an example that last year China added 5030 wind turbines, with a cumulative installed capacity of over 12 million kilowatts. However, the wind power generation that year was only 12.8 billion kilowatt hours. "This means that on average, wind power in China only works 1000 hours per kilowatt of installed capacity per year, with electricity revenue of only a few hundred yuan. This utilization efficiency is too low, and even investment cannot be recovered, not to mention labor, maintenance and other costs."

It is understood that before 2004, there were only six enterprises in China that produced wind turbines. However, in recent years, various capital groups have flocked in, and there have been more than 80 manufacturers of wind turbines and more than 50 blade manufacturers. Ni Weidou frankly stated that many wind turbines are being exposed to the sun and used as decorations, because the characteristics of wind power determine that many wind farms are located in remote areas, and the construction cost of power generation and grid connection lines is high. Grid companies lack the willingness to build transmission grids to connect wind power.

Ni Weidou believes that wind power construction is an industrial chain, and currently, manufacturing capacity and installed capacity are making a limp leap forward because other links in this industry chain, such as power grid renovation and wind farm evaluation, are still lacking. What is most needed now is to calm down and break through some key technologies.

However, Wang Yuan believes that emerging industries are not mature industries, and their development requires the selection of dominant products and mainstream technologies through competition. "With competition, the new energy industry can establish a business model that can sustainably support its development." He emphasized that the current emergence of the so-called "overcapacity" in the new energy industry can turn all technologies that initially relied on fiscal supply into effective demand that people are willing to pay for.

Wang Yuan believes that without sufficient competition, wind power construction cannot form true commercial value, and subsidies cannot achieve an emerging industry. "Only competition can bring people affordable energy and create effective demand."

"Concerns about potential overcapacity are more focused on the production of monocrystalline silicon," Michael Edge, Global Vice President and President of Global R&D High tech Development at GE, told reporters. "The efficiency of crystalline silicon has reached its limit and there is no advantage in cost control, so the development prospects of thin-film solar energy are better." It is worth noting that he believes that the existing technology of wind power generation is only enough to support the development of the next four years, and in four years, this market will shift to the latest next-generation technologies, paying more attention to cost control, low wind speed efficiency, and other issues. ".

According to statistics, currently 18 provinces and cities in China have proposed building new energy bases or developing new energy as a pillar industry. In addition, nearly 100 cities have made solar and wind energy their pillar industries. This kind of rapid development not only wastes resources, but also inevitably affects the orderly development of the entire industry. The executive meeting held by the State Council at the end of August pointed out that there is a tendency towards duplicate construction in emerging industries such as wind power and polycrystalline silicon in China. (The above content is from Science and Technology Daily)

*Some documents are sourced from the internet. If there is any infringement, please contact the website to delete them