Consolidate the foundation of the new power system and promote the high-quality development of photovoltaic "14th Five-Year Plan"

2 Historic opportunity to promote high-quality development of photovoltaic "14th Five-Year Plan" period

Photovoltaic power generation in a variety of renewable energy generation technologies with low power generation costs, wide distribution of resources, easy installation, rich application scenarios and other multiple advantages, by the International Energy Agency (IEA) and many domestic and foreign energy research institutions that is considered to be the main source of electricity in the future. As the world's largest photovoltaic equipment manufacturer, China accurately supports photovoltaic power through top-level design, combined with the carbon peak target of some provinces and cities and industries during the "14th Five-Year Plan" period, the photovoltaic industry may usher in historic development opportunities during the "14th Five-Year Plan" period.

2.1 The development of photovoltaic power generation is in line with the overall trend of international energy transition

Countries have joined the ranks of the United Nations Voluntary Contribution emission reduction commitments, and actively adopted measures to address climate change, the pace of global energy green transition has gradually accelerated, and the importance of clean energy has been deepened.

Oil-rich Middle Eastern countries have also come up with strategies to develop clean energy. The International Energy Agency report shows that by 2030, the total power generation capacity of renewable energy (excluding hydropower) in the Middle East will exceed 192GW, 17 times the current level, of which photovoltaic will account for more than 42%. Under the framework of "One Belt and One Road", China can take advantage of the world's leading advantages in photovoltaic manufacturing to export photovoltaic products to Middle Eastern countries, providing a broad market space for China's photovoltaic industry.

2.2 Photovoltaic power generation has become a key development industry during the "14th Five-Year Plan" period

The "14th Five-Year Plan" period is a key period and window period for carbon to peak, benefiting from the precise support of the top-level design, photovoltaic power generation is expected to better play the role of energy substitution, and achieve the transformation from power generation to the main force.

The Outline of the 14th Five-Year Plan and the 2035 Vision Target Plan clearly states that "accelerate the development of non-fossil energy, adhere to both centralized and distributed, vigorously increase the scale of photovoltaic power generation, accelerate the development of distributed energy in the eastern and central regions, build a number of multi-energy complementary clean energy bases, and increase the proportion of non-fossil energy in total energy consumption to about 20%." In addition, for the current problems plaguing the development of renewable energy such as photovoltaic consumption "Outline" put forward a variety of solutions. "Accelerate the intelligent transformation of power grid infrastructure and the construction of smart microgrids, improve the complementarity and intelligent regulation capacity of the power system, strengthen the connection between the charge and storage of the source network, and improve the consumption and storage capacity of clean energy."

Around the high-quality development of renewable energy of general concern to the two sessions in the past two years, the national energy authorities have actively carried out a series of effective work, from improving the renewable energy consumption protection mechanism, to promote the solution of renewable energy subsidy funds arrears, and then to guide the photovoltaic power generation, wind power, biomass power generation industry sustained and healthy development. The Government Work Report of 2021 clearly states that it is necessary to formulate an action plan for peaking carbon emissions before 2030, optimize the industrial structure and energy structure, and vigorously develop new energy.

2.3 China's photovoltaic equipment manufacturing industry and photovoltaic applications have achieved global leadership

As the world's largest manufacturer of photovoltaic equipment, China continues to deepen international cooperation in the field of photovoltaic, supplying more than 70% of photovoltaic modules to the global market. At present, China has become the world's largest photovoltaic application market, and the new installed capacity and cumulative installed capacity of photovoltaic power generation have ranked first in the world for several consecutive years. In 2020, China will increase its installed PV capacity by 48.2 million kilowatts, including 32.68 million kilowatts of centralized PV power stations and 15.52 million kilowatts of distributed PV. The cumulative installed capacity reached 253 million kilowatts, and the annual electricity generation was 261.1 billion kilowatt-hours, accounting for 3.4% of the total electricity generation in the whole society. The economy of photovoltaic power generation continues to improve, and the initial investment cost per watt of China's ground photovoltaic power generation system in 2020 has been less than 4 yuan, see Figure 4 below. The annual installed capacity of affordable Internet access projects is about 33.05 million kilowatts, and in the past year or two, new photovoltaic power generation projects will basically be fully affordable Internet access.