156
Z. Lu and G. Zhu
Fig. 4.25 Comparison of various flexible resources in an integrated energy system based on scale
of cost and time
4.5 Policies and Recommendations for Expediting
Transition of China’s Power System
1. The sustainable development of renewable energy should be underpinned
by a range of policies in order to achieve a high share or even 100% scenario.
(1) Build auxiliary service power markets to support the flexible modification
of thermal power units.
Flexibility modification of thermal power units represents a relatively low cost solution with mature technology. But it must be supported by auxiliary service electricity
market. Therefore, it’s a must to build a stronger national auxiliary service power
market. Pilots could be conducted in provinces where renewable energy develops
well.
(2) Accelerate the building of a new generation of energy market system that
is unified, open, competitive, orderly and coordinated.
It is important to continue to deepen reform of the power system, coordinate mediumand-long term trading of power with spot trading, and actively promote new trading
methods such as green certificates for renewable energy and carbon emission rights.
At the same time, establishing multi-shareholder comprehensive energy investment
and operation enterprises to provide users with efficient and integrated energy
Z. Lu and G. Zhu
Fig. 4.25 Comparison of various flexible resources in an integrated energy system based on scale
of cost and time
4.5 Policies and Recommendations for Expediting
Transition of China’s Power System
1. The sustainable development of renewable energy should be underpinned
by a range of policies in order to achieve a high share or even 100% scenario.
(1) Build auxiliary service power markets to support the flexible modification
of thermal power units.
Flexibility modification of thermal power units represents a relatively low cost solution with mature technology. But it must be supported by auxiliary service electricity
market. Therefore, it’s a must to build a stronger national auxiliary service power
market. Pilots could be conducted in provinces where renewable energy develops
well.
(2) Accelerate the building of a new generation of energy market system that
is unified, open, competitive, orderly and coordinated.
It is important to continue to deepen reform of the power system, coordinate mediumand-long term trading of power with spot trading, and actively promote new trading
methods such as green certificates for renewable energy and carbon emission rights.
At the same time, establishing multi-shareholder comprehensive energy investment
and operation enterprises to provide users with efficient and integrated energy