power industry has become the basic industry for the cooperation between china and asean countries.
audiences visited the 10th anniversary exhibition of asean-china expo. (by xinhua news agency)
the winding lantsang river and plenteous south china sea has linked china and asean countries closely. from sep.3rd to 6th, the 10th session of china-asean expo was held in nanning, guangxi. in the expo, the trade transaction volume between china and asean enterprises has demonstrated an up-rising trend, with large turnover of power equipments and new energy products.
xu ningning, deputy executive secretary general of china-asean business council in charge of china鈥檚 affairs, expressed on sep. 3rd in nanning that asean has been accelerating the 鈥渋nterconnection and interworking鈥?project of infrastructure, including power facilities. he said that 鈥渢he interconnection and interworking of hardware includes the construction of power, communications and transportation facilities, providing a huge opportunity to the cooperation between the power industries of china and asean鈥?
in recent years, power industry has become the basic industry for the cooperation between china and asean; cooperation on power investment, equipment, technology and project contracting between china and asean has been flourished everywhere in asean countries. in addition, china and asean countries with adjoining mountains and rivers share the same dream in the field of new energy power: asean boasts its abundant resources, while china enjoys its advanced technologies, creating opportunities for the both parties to conduct cooperation in terms of clean power.
the top investment of chinese enterprises in asean is power investment.
the conflict of the rapid economic development and shortage of power supply in various asean countries has been increasingly severer, restricting the development of productivity. according to related information, asean countries has strengthened their investment and construction of power plants, upgraded and improved the power system, resulting in the market demands on investment cooperation, technology equipment and engineering design. xu ningning stated that the access of chinese enterprises to asean has enjoyed a soaring momentum in the recent years, increased by 52% on a year-on-year basis. and the leading field invested by china in asean is power industry.
in terms of power investment, chinese enterprises mainly operate by means of equity merger and acquisition, bot (build-operate-transfer) and franchise, to invest in the fields of asean grid, thermal power plants and hydropower plants.
in 2009, state grid corporation of china gained the 40% stock right of state grid corporation of philippine and started executing the 25-year franchise. 鈥淭his will be the key to upgrade the power transmission level of local grid and the stable operation of the grid of philippine鈥? said by wu tianrong, deputy director of international cooperation department of china electricity council.
philippine is a country suffering from multiple typhoon disasters. from august 18th to 21st, luzon island, philippine, has been attacked by a severe tropical storm, maring; state grid corporation of philippine, subordinated to state grid international development co., ltd, has timely launched its contingency plan, with the emergency command centers at different levels on duty around the clock. in addition, the scada/ems power network dispatching automatic system of nari technology has timely found the weak link of the grid in the hardest-hit areas and provided with analysis tool and control method. there is no trip happened in the national grid line of philippine in the course of this flood.
after starting operating the national grid of philippine, the chinese side has actively adopted the international advanced standard and the best practice, and upgraded its anti-disaster ability and the efficiency of emergency commanding and coordination. wu tianrong said that the power supply in philippine would be recovered very long after typhoon attack in the past. after holding the state grid corporation of philippine, the state grid corporation of china has applied its advanced management methods and technologies in the state grid of philippine, and finally thoroughly changed its original look.
from the perspective of external engineering contracting, the bilateral cooperation gives first place to the overall contacting of thermal power and hydropower. beyond that, engineering contracting also refers to the field of grid; in the recent years, nari group has established cooperative relationships with metropolitan electricity authority of thailand, bangkok power company of thailand and miescor company of philippine, undertaking several reconstruction projects of comprehensive automation and power transmission and transformatilines.
in terms of power trade, china has formed power networking and conducted transactions with its surrounding countries and regions, and established the coordination mechanism of power trade. according to the information published on the website of ministry of commerce, yunnan has transmitted electric power to vietnam with the quantity as much as 21.84 billion kilowatt hours accumulatively by the end of september 2012. by the end of august 25th of this year, china has transmitted electric power to laos with the quantity as much as 412 million kilowatt hoursaccumulatively, which has relieved the power shortage suffered by northern laos and vietnam. in addition, between december 2008 and april 25th, 2013, yunnan grid has purchased power from shweli power plant of burma as much as 7.413 billion kilowatt hours accumulatively.
in terms of technology and equipment, asean countries have been the important markets for chinese enterprises to export technologies and equipments. for instance, nari group has provided with equipments and services for couples of hydropower stations in cambodia, laos, vietnam, burma and india in recent years.
shared dream: join hands to develop 鈥淣ew energy鈥?
the deepened cooperation of new energy is one of the highlights of this exhibition. in the first session china-asean conference on technology transformation and innovation cooperation as one of the most important activities of china-asean exhibition, china has held the signing ceremony of 20 cooperative projects and 2 projects of new energy between china and asean, with tal investment volume near 3 billion yuan. most of asean countries have set foot in the field of new energy; while setting their targets of carbon emission reduction, those countries have also issued related policies to support the new energy. under the support of those policies, the applicable scope of solar power and wind power in asean countries have been increasingly expanded; biological energy and solid waste have also been applied in thailand and cambodia. the coal-gasification power plant constructed in a garbage station of cambodia can transfer 1,200 ton of solid waste into 30,000 kilowatt hoursevery day.
in the 2013 china-asean forum on power cooperation and development as one of the activities of this exhibition, attending experts believed that the strengthened cooperation between china and asean in the field of clean power will help to relief the energy shortage of the regions, promote regional economic prosperity and boost the regionalization and integration of power market. related experts indicated that china and asean can complement each other in the field of new energy power, 鈥渆.g. vietnam, laos, burma and cambodia boast abundant resources but in lack of funds and technology; while china has enjoyed rapid development in power industry recently, having accumulated rich experience in terms of technology, equipment, design, construction, operation and management.鈥?nbsp;
chinese enterprises are also optimistic about the prospect of new energy power in asean. cfo of yingli green energy, wang yiyu, indicated recently that yingli will focus on developing the emerging markets, such as the southeast asia, in the near future.
鈥淐hint has conducted business in asean over 10 years ago,鈥?said gao xiang, apac gm of zhejiang chint electrical appliance co., ltd, 鈥渇rom the single product export at the earliest to the multiple products export today, including new energy, photovoltaic cells and energy-saving electrical appliances, the export volume of chint to asean market has been expanding, with the export value accounting for 5% of the total export value of chint.
previously, some insiders have also suggested chinese photovoltaic enterprises to focus asean market; on the one hand, asean is equipped with the gifted natural condition to develop photovoltaic industry, on the other hand, expanding overseas photovoltaic market would be able to relief the pressure of excessive photovoltaic production capacity domestically.
vietnam is one of asean countries developing the wind power. according to the fiscal times of vietnam, vietnam government planned to construct 37 wind power products, with a total planned power as high as 4.3 million kilowatt; the government has exempted the land rent of wind power projects and planned to provide with $0.01 per kilowatt hour for organizations and individuals who purchase wind power, through environmental protection fund.
the favorable investment conditions have attracted chinese wind power enterprises. ningbo winpower group is a small-size wind power generator manufacturer. a couple of years ago, the group started to expand the asean market; currently, it has entered the markets of cambodia, malaysia, indonesia and thailand. li xinhua, vp of winpower, said during an interview that he was optimistic about the prospect of new energy in asean, 鈥淧articularly after the establishment of china-asean free trade zone, our products are more competitive in asean countries.鈥?
according to information, due to the establishment of the free trade zone, 93% of china-asean products enjoy zero tariffs, leading to the prominent advantage of product export cost. the 10th china-asean exhibition has shown that china will strengthen its cooperation with asean by means of rmb settlement and the cooperation between enterprises and banks, which will help to reduce the operation risk of new energy enterprises domestically. (zhang jing, yuan zhongwei)