National Energy Administration: New Electricity Reform Plan Will Be Issued

National Energy Bureau website on the 9th news, the National Energy Bureau deputy director Wang Yumin recently said that the CPC Central Committee and the State Council attach great importance to the reform of the power system, "About further deepen the reform of the electricity system," a number of opinions will soon be introduced.

Wang Yumin said that the power system reform focuses on solving five problems: First, it is necessary to restore the attributes of electric power products, form a mechanism that determines the price of electricity by the market, and use price signals to guide the effective development and rational use of resources. The second is to build a power market system to promote the optimization of power resources in a wider range. The third is to support the development of clean energy and promote the optimization of energy structure. The fourth is to gradually break the monopoly, orderly release competitive businesses, mobilize social investment, especially the enthusiasm of private capital, and promote the diversification of market players. Fifth, we must change government functions, further simplify administrative devolution, and strengthen power planning.

He said that the specific reform measures are to establish a market-based trading system, differentiate between competitive and monopolistic links, form effective competition on the power generation side and the power sales side, and give full play to the decisive role of the market in allocating resources. The second is to straighten out the electricity price formation mechanism, gradually release the on-grid tariff and sales tariff, and separate the transmission and distribution prices from the sale price in the formation mechanism. The third is to promote the reform of the electricity supply and use plan, improve government non-profit regulatory services, and upgrade the demand side management. The fourth is to promote the development and utilization of new energy and renewable energy, and actively develop distributed energy. Fifth, optimize the layout of power supply and power grids, strengthen overall planning for power grids, improve power supervision measures and methods, and improve supervision methods.