[State Grid] 96GW of New Wind and Solar Power Installed in the First Half of 2024, Marking a 18% Year-on-Year Increase

degree of heat108

On July 11, State Grid Corporation of China (SGCC) held a press conference in Beijing to announce the high-quality development of new energy services, releasing the "State Grid Corporation of China's New Energy Development Service Report 2024" (hereinafter referred to as the "Report"). The event showcased the progress of new energy development within SGCC's operational regions, summarized the company's achievements in promoting high-quality new energy development, analyzed the current trends, unveiled the State Grid's actions and initiatives for supporting new energy development, and introduced advancements in deepening the construction of the electricity market.

2023 marked the initial year of fully implementing the spirit of the 20th National Congress of the Communist Party of China and served as a pivotal juncture for implementing the "14th Five-Year Plan." As a major state-owned enterprise crucial to national energy security and the lifeblood of the national economy, SGCC diligently implemented the Party Central Committee's decisions and deployments related to actively and steadily advancing carbon peaking and carbon neutrality, as well as planning and constructing a new energy system. The company accelerated the construction of a new-type power system, led comprehensive measures across source, grid, load, and storage, and fully committed to supporting the high-quality development of new energy.

The "Report" detailed the development of new energy within SGCC's operational regions in 2023, systematically explained the company's willingness to fulfill its responsibilities in serving new energy development, comprehensively reviewed its key measures and innovative practices from five aspects: power grid connection, grid construction, dispatching operations, market transactions, and technological innovation. It also analyzed the trends of new energy development and unveiled the State Grid's actions and initiatives for supporting its growth.

±800kV Qinghai-Henan UHV DC Project

In 2023, new energy grid connection and consumption within SGCC's operational regions exhibited four primary characteristics: the installed capacity reached a new milestone, with 226 million kW of new wind and solar power installed throughout the year, approximately 80% of the cumulative installed capacity of new energy in the United States at the end of 2023 and 1.5 times that of Germany; distributed power sources emerged as the primary growth driver. The cumulative installed capacity of new energy reached 870 million kW, accounting for 37.7% of the total installed power capacity, an increase of 6.1 percentage points year-on-year; both electricity generation and volume reached record highs, with 1.2 trillion kWh of new energy generated throughout the year, accounting for 16.9% of total electricity generation, a 2.0 percentage point increase year-on-year; and the utilization rate remained high, with a new energy utilization rate of 97.4%, maintaining above 97% for four consecutive years.

SGCC comprehensively implemented five strategies to support the high-quality development of new energy in 2023.

First, it leveraged the grid platform to enhance grid connection services. Adhering to the principles of "overall network planning and ensuring stable output," the company actively promoted the construction of large new energy bases, accelerated the construction of supporting grid projects, scientifically serviced the large-scale development of distributed photovoltaics, and ensured that new energy sources were "connected as soon as possible and as many as possible." SGCC also established the world's largest new energy cloud platform to provide online services to new energy stations.

Second, it accelerated grid construction to enhance resource optimization and allocation capabilities. The company continuously strengthened the construction of new energy connection and transmission projects, having completed 19 AC and 16 DC UHV transmission projects. It promoted high-quality development of distribution networks to meet the needs of various distributed power sources for grid connection and operation; accelerated the construction of regulation capabilities, with 94.04 million kW of pumped hydro storage capacity in operation and under construction, supporting the flexibility transformation of coal-fired power plants and the development of new energy storage; and actively promoted the demonstration construction of a new-type power system.

Guoxin Anhui Jixi Pumped Storage Power Station Lower Reservoir

Enhance unified dispatch across the grid and elevate system-wide consumption capacity. Fully support the construction, safe operation, and efficient utilization of new energy sources, meticulously managing dispatch to ensure every kWh of power is accounted for, continuously strengthening unified dispatch across the grid, advancing spot and ancillary service markets, bolstering power forecasting capabilities for new energy sources under extreme weather conditions, fully leveraging the role of new energy in ensuring and increasing power supply, and enhancing its proactive support capabilities, thereby providing solid guarantees for high-proportion consumption of new energy and the safe operation of the grid.

Expand the scale of market transactions and tap into the potential for new energy consumption. Accelerate the construction of a unified national electricity market, refine market rules and mechanisms, strengthen the continuous operation of medium- and long-term markets, expand the trading scale of green electricity and green certificates, fully leverage market mechanisms to support power supply security and transformation; cater to the operational needs of large-scale wind and photovoltaic bases, better adapt to the participation of new energy in the market, and actively engage in bundled transactions of wind, solar, hydro, and thermal power, generation rights trading, and priority substitution of new energy. By 2023, the market-based trading volume of new energy will reach 551.5 billion kWh, accounting for 45% of total new energy generation.

Zecheng Beiyicheng Photovoltaic Power Station in Jincheng, Shanxi Province

Undertake core technology research and accelerate the construction of a new-type power system. Continuously strengthen technological innovation in new energy, carry out technology research for the new-type power system, increase scientific and technological R&D investment in the field of new energy, and organize the research of 163 scientific and technological projects; further promote the improvement of the new energy standard system, leading the formulation of 7 international standards and 17 national standards; actively participate in international and domestic exchanges to jointly promote the high-quality development of new energy with all parties.

In the first half of 2024, the new energy sector within the State Grid's operational areas maintained a robust growth and efficient consumption trend. The newly added installed capacity of wind and solar power reached 96.15 million kW, up 18% year-on-year; among them, distributed photovoltaic installations increased by 44.62 million kW, also up 18%. New energy generation amounted to 734.4 billion kWh, up 18% year-on-year. The utilization rate of new energy stood at 96.2%, maintaining a high level.

The National Demonstration Project of Wind, Solar, Storage, and Transmission in Zhangjiakou, Hebei Province

In accordance with national plans, by 2025 and 2030, the share of non-fossil energy consumption nationwide will reach approximately 20% and 25%, respectively. The power supply mix will continue to shift towards cleaner sources, the construction of new-type power grids will be accelerated, electricity demand will grow rapidly, energy storage will exhibit diversified development trends, and policy mechanisms and market construction will progress steadily. The State Grid Corporation will resolutely shoulder its grid responsibilities, balance power supply security with transformation, and vigorously promote the high-quality development of new energy, coordinated development of power grids at all levels, digital and intelligent grid construction, regulatory capacity enhancement, power regulation system construction, load management system development, energy efficiency improvement across society, high-level technological innovation, supporting policy and mechanism research, and overall coordination and management innovation. These ten areas of work will better support and serve China's modernization through high-quality development in the energy and electricity sectors.