Huaneng Design Institute

Design consulting EPC general contracting project supervision and other whole process professional service institutions

Biomass power generation investment again into the meat and potatoes: the National Energy Administration promised 20 years of subsidies unchanged.


The National Energy Administration recently made it clear that it does not distinguish between stock and incremental assets, and that the intensity of renewable energy subsidies remains unchanged for 20 years.This news by the authoritative media broke, immediately attracted the industry's unanimous cheers.Previously, the industry was worried about the content of the second consultation draft of the renewable power quota system originally planned to be publicly released by the National Energy Administration at the end of June-ensuring that power generation beyond the number of hours of utilization may not be supported by subsidies.

 

If, according to the June solicitation, future biomass power generation projects will not be able to enjoy electricity price subsidies, it will be a devastating blow to the low-lying biomass power generation industry.It is precisely because of this opinion in June that many investment companies are cautious about biomass power generation. Some investment companies simply refuse when they hear that it is a biomass power generation project.

 

Now that the National Energy Administration has made it clear that the intensity of renewable energy subsidies will remain unchanged for 20 years, there is no doubt that the biomass power generation industry will usher in spring again, and investment companies will turn their attention again. in particular, those biomass cogeneration projects with industrial steam load and residential heating will become popular among investment companies.It is believed that the biomass power generation industry will once again usher in an investment boom.

 

In addition, a number of new support policies for biomass have also been launched.First of all, biomass power generation will select the key areas of air pollution in Beijing, Tianjin and Hebei, start the pilot site of straw conversion, and plan to introduce policies and measures such as agricultural electricity consumption for primary processing of straw, reduction and exemption of straw transportation fees, and credit support. Therefore, biomass projects in this area will be the focus of investors' attention.

 

At the same time, the State Energy Administration and the Ministry of Environmental Protection issued the "Notice on Carrying out the Construction of Biomass Shaping Fuel Boiler Heating Demonstration Projects", which pointed out that 120 biomass molding fuel boiler heating demonstration projects will be built in China, with a total investment of about 5 billion yuan.These demonstration projects use biomass briquettes to establish district heating projects in village and town agencies, hospitals, primary and secondary schools, etc., to solve heating energy and replace coal.Can also be used for family cooking, heating.

 

 

In view of the utilization of livestock manure and other resources, the relevant departments of the state support the construction of a number of large-scale biogas projects in suitable areas, striving for an annual biogas production capacity of 0.487 billion cubic meters and an annual treatment of 1.5 million tons of crop straw or 8 million tons of livestock and poultry fresh manure and other agricultural organic wastes.Thus, for the development of biomass industry, the state has been a strong support.

 

Of course, the National Energy Administration promises that the intensity of renewable energy subsidies will remain unchanged for 20 years, which also means that the market access system for the biomass power generation industry will be stricter, and the number of newly approved biomass power generation projects will be strictly controlled to prevent duplication. Investment and excessive competition are conducive to the healthy development of the industry.That is to say, the subsidy will remain unchanged for 20 years, but the planning of biomass power generation projects will be more stringent.

 

 

For the project owners who have already obtained the road strips and franchise rights, the commercial value of the biomass power generation project in their hands will be higher.For investment, in order to get new biomass power generation projects, it is bound to automatically lower the threshold of investment audit.After all, according to the policy, there can only be one biomass power generation project in a county, and whoever grabs this resource is the one.