Nils: What exactly does it mean that the provinces are responsible for their own market design?
Jan: On the one hand, it means that each province has its own flexibility products. This ranges from different demand-response measures to the varying design of standard service products. On the other hand, there are only a few provinces with spot markets. These are operated by Stategrid. In general, it can be said that the energy industry is still strongly oriented towards the classic planned economy.
Nils: Ah ok. And how can I imagine the role of renewables? Who operates these plants? Are they being aggregated? Can they participate in the spot market or in the market for balancing power?
Jan: Renewable energies primarily belong to state operators. In some provinces, they can also participate in the spot market. However, this is not necessarily the case everywhere. In addition, renewables (in contrast to Germany, for example) do not have feed-in priority. If too much electricity is produced, renewables are switched off. In addition to this, the standard output is currently only provided by conventional power plants. Furthermore, DSM measures are the more preferred way of dealing with frequency fluctuations. Plans to aggregate renewables are still at a very early stage.
Nils: In what way?
Jan: Ideas that we have seen during our visit to one of the largest manufacturers of wind turbines, for example, go more in the direction of merging renewables into microgrids and then networking them within an onsite VPP to cover the electricity needs of large consumers.
Nils: And what are China's plans for the future with regard to renewable energies?
Jan: China has the goal of expanding PV to 1.3 TW by 2035 and achieving a total installed capacity of two terawatts by 2050. Wind should reach 1800 TWh by 2030 and produce up to 3300 TWh by 2050. Chinese hydropower is already one of the global leaders in this field. This role is to be further expanded in the coming years. By 2050, 70 percent more capacity is to be installed. Biomass plays a subordinate role in China. Here the plan is to have almost 60 GW of capacity installed by 2050.
|Power consumption:||6 313TWh (2017)|
|Electricity mix*:||Fossile energy sources: 62,31 %|
Nuclear: 2,06 %
Hydropower: 17,92 %
Wind: 9,33 %
Solar: 7,44 %
|Percentage of renewable energies:||35,56 %|
|INDCs in the Paris Agreement:||China will cut its CO2 emissions per unit of GDP by 60-65% from 2005 level by 2030, aiming to increase non-fossil fuel sources in primary energy consumption to about 20% by the same date. However, China “will work hard” to peak its CO2 emissions before 2030 /td>|
All about our Products and Services
With the rise of renewables all over the world, we are facing a gigantic transformation of the global energy system. The Virtual Power Plant answers the demands of the decentralized energy world and opens up new business prospects for its participants and, of course, RES aggregators. We help you utilize them in the best possible way.