State-Owned Power Group "grabs" small and medium-sized hydropower stations

State-owned power groups are turning their attention to small and medium-sized hydropower resources.

Zhang Boting, deputy secretary-general of the China Hydropower Engineering Society, told reporters that in addition to the Yarlung Zangbo River, the hydropower resources in major river basins in China have basically been allocated by several major state-owned power groups. Since last year, they have started to build small and medium-sized hydropower stations on tributaries of the river basin. The tide of acquisitions.

“Several state-owned power groups are still facing the pressure of increasing the proportion of clean energy, so small and medium-sized hydropower resources have become the object of their competition for layout and acquisition. Correspondingly, resource development costs and purchase prices will also rise accordingly.” Zhang Boting said .

The so-called medium and small hydropower resources refer to hydropower stations with an installed capacity of less than 250,000 kilowatts. The construction of hydropower stations with this installed capacity is not subject to approval by the State Council or the Energy Development and Reform Commission, and can be directly approved by the provincial government.

"I have three small hydropower plants in Sichuan that do not exceed 100,000 kilowatts capacity. A state-owned power group has already acquired one. I am still talking to me recently and I want to buy another one. Several big groups are scrambling for SHP resources. Resource prices have also risen, and the current premium of about 10% to sell is basically not a problem,” said a veteran of private companies.

Recently, the number of cases of transfer and acquisition of SHP resources that have been developed in Sichuan Province has gradually increased. According to Li Chunyong, chief of the Liangshan Prefecture People's Government Office, in Liangshan, there has been a trend in recent years that the state-owned power group has gradually increased the acquisition of small and medium-sized hydropower resources and many private hydropower stations have been acquired.

He disclosed that during the past years, most of the owners of medium and small hydropower stations in Liangshan Prefecture were state-owned power companies, such as Huadian, Guodian, Huaneng, and Xichang Power, and only a few were privately owned.

“State-owned power groups are rushing to allocate hydropower, which is mainly due to the adjustment of the country’s energy structure and the requirement for the power group to develop the proportion of clean energy. Compared to wind power and solar power, which are costly, hydropower and nuclear power are technically and commercially significant. Both are relatively mature and clean energy, and the development of nuclear power is currently at a low point due to the nuclear crisis in Japan, and hydropower has become a 'toon'." Zhang Boting said.

Chen Yunhua, general manager of Ertan Hydropower Development Co., Ltd., said in an interview that several major state-owned power groups are competing to allocate hydropower resources in a watershed, which is actually not conducive to the overall planning and scientific layout of China’s hydropower resources. At present, many rivers in China are faced with problems such as the low resource utilization efficiency brought about by “diversion” and “backstabbing” by different stakeholders. It is suggested that a river basin is best developed by one subject to be more conducive to comprehensive scientific planning and cascade development.

At present, the main stream of the Yalong River, which is responsible for the development of the Ertan River, is the only remaining watershed in the country with only one subject under development. It scientifically laid out the development schedule of 21 power plants with a total installed capacity of more than 30 million kilowatts on the Yalong River. Formulated a timetable for the full completion of development within 25 years.

“Even so, there are still some Other stakeholders who are 'watching' the Yalong River and trying to divide up some of the hydropower resources. If it was not authorized by the Development and Reform Commission in 2003 to develop the Yalong River, it is estimated that the river’s scientific plan Can't hold it," said Chen Yunhua.

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