DALIAN, June 26 (China Economic Net)-At the 15th Summer Davos Forum, the former Chairman of State Grid Corporation of China, Xin Baoan, addressed questions from journalist regarding China's cross-provincial green electricity trading and the primary challenges in advancing power market reform nationwide.

 

Xin Baoan highlighted that green electricity trading has been a crucial initiative in China over recent years. With significant efforts to promote market-based construction and facilitate power trading, the scale of China's green electricity transactions exceeded 180 billion kWh in 2023, showing rapid growth. He added that green certificate trading also reached 105.9 billion kWh.

 

Xin Baoan emphasized that green electricity is an urgent societal need. Promoting green electricity trading is a crucial tool for advancing green energy, sustainable development, and the energy transition. He stated, "I believe China will continue to push forward the marketization of the power sector, particularly by expanding the scope of green certificate trading."

 

Xin noted that in the past, market mechanisms were still being improved, and the general public lacked awareness of the channels for subscribing to green electricity. However, he pointed out that these issues have now been adequately addressed.

 

Looking to the future, Xin stressed that although effective mechanisms are already in place, new challenges have emerged. He stated that future efforts will focus on policy design, including price guidance. During the energy transition and the development and integration of clean energy, substantial costs will be incurred, which must be gradually absorbed by society. Thus, there is still much work to be done in deepening power market construction.

 

The Chinese government has accelerated the country's energy transition. As of April this year, China's installed capacity of renewable energy reached 1.55 billion kW, accounting for over 51% of the total installed capacity. Since 2021, the average annual growth rate has exceeded 70%. In the past five years, more than half of the global new renewable energy capacity additions have come from China.