According to the reporter from the Dunhuang Municipal Development and Reform Commission, this 10 MW solar power plant is the third solar power plant demonstration project approved by the Chinese government. The other two are the 255 kW Inner Mongolia Erdos project and 1 MW Shanghai. Chongming Island project.

The 10 MW project with an investment of only 500 million yuan, which will be open for public bidding on March 20, has attracted competition from 50 PV companies nationwide. State-owned enterprises include Huaneng, Huadian and other five power generation groups, as well as private enterprises such as Wuxi Suntech, and even attracted foreign companies from Germany and Denmark. On March 11, Zhao Pingqian, director of the Energy Department of the Development and Reform Commission of Dunhuang City, told the China Business Journal that the fierce competition was beyond their expectations.

Why do so many companies compete for Dunhuang, a solar power project with a small investment? The industry believes that the Dunhuang project adopts a franchise, and the National Development and Reform Commission has a series of policies to ensure the profitability of the project. This project may provide a basis for the next country to develop a photovoltaic power generation policy. Whoever wins this project means gaining first-mover advantage in terms of policies and experience in the future. Industry sources said that the completion of this project may actually activate the domestic market of photovoltaic power generation and change its two-out landscape.

Franchise test field

Solar power requires plenty of sunlight.

Dunhuang City is located at the western end of the Hexi Corridor in Gansu Province. The annual average sunshine hours are 3,362 hours. The number of dusty days is small and the terrain is flat and open. It is known as the golden zone of China's solar energy.

Dunhuang has abundant solar energy resources and convenient power transmission conditions, which can ensure large electric load and photovoltaic grid-connected power generation system. It is an ideal area for China's desert optoelectronic engineering planning. Zhao Pinggan told reporters. In his view, the impact of this project is not only in Dunhuang and Gansu, but more importantly, it will drive the development of solar power projects in other provinces and cities in the west, thereby improving the overall level of China's solar power industry.

However, this project has also been twists and turns.

According to local NDRC sources, the project was first proposed by the Gansu Provincial Development and Reform Commission in September 2004, and passed the review meeting of the Dunhuang 8 MW grid-connected photovoltaic power generation system construction pre-feasibility study report. The scale is set at 8 MW. Then in 2006, Zhonghao New Energy Investment Co., Ltd. from Beijing began to intervene in this project. After consulting with Dunhuang City, it quickly mentioned 8 trillion to a scale of 100 trillion, and the investment increased from less than 500 million yuan to 6 billion. yuan.

Later, I discovered that this was a scam. The company couldn’t do so much money. After two years of investment intentions, the company did not start construction. So last year, we decided to re-inviting the country through public means. Also determined to be around 10 MW. The above-mentioned insiders told the reporter of China Business News.

The National Energy Administration also paid great attention to this project and put forward detailed requirements for the bidding process of the power station.

A copy of the National Energy Administration’s reply to the project (the National Energy Administration’s Comprehensive Letter (2008) No. 70, hereinafter referred to as the “Re:”) was agreed to by the “China Business News” reporter, agreeing to adopt the concession bidding method. Dunhuang 10 MW grid-connected photovoltaic power generation demonstration project, and stipulates that the selection of photovoltaic power generation equipment for this project is determined by the investors selected by the tender. After the investors are selected through public bidding, the winning bidder has 25 years of franchise rights. The project needs to be completed within 18 months, otherwise the contract will be automatically lifted. The available electricity after the completion of the photovoltaic power station is all purchased by the local power grid enterprises, and the difference is compensated by the national competent authority for the grid enterprises to add renewable energy prices.

The reply also set the highest limit price. The "Resolution" stipulates that the price of the bid shall not exceed 4 yuan per kWh, and the on-grid price within 25,000 hours after winning the bid will be executed according to the bid price, while the on-grid price after 25,000 hours will be submitted to the State Council price director. The department approved.

For the evaluation criteria that are more sensitive to the concession bidding, the “Response” stated that the on-grid tariff will be the main bid evaluation standard, and the lowest on-grid price will win the bid.

The reporter found that the National Energy Administration clearly stated in the "Response" that the successful bidder will set up a project company in the local area and sign a contract for electricity sales with the grid company. The "Resolution" also stated that the construction and operation management of the project implemented various preferential policies for large-scale grid-connected photovoltaic power generation at the national and local levels, and stated that in the event of major national policy adjustments, serious losses were caused to investors. At that time, the electricity price of the project can be reasonably adjusted according to the price preference policy of the country at that time.

Industry insiders told reporters that the National Energy Administration's "Reply" regulations are clear and directly mean that the successful bidder has already obtained a certain profit guarantee from the National Energy Administration.

Our project will provide experience for the construction of solar power plants in the future. Zhao Pinggan said.


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