9 CHINA’S PROMOTION OF WIND AND SOLAR POWER …
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transmission cost and recover them from the selling price (PRC Renewable Energy Law 2005, Article 21). After four years of implementing the
Renewable Energy Law, the government found that although the country
had rapidly increased its installed capacity of renewable energy, much of
this capacity was not promptly connected to the grid and that not all
power being generated was being purchased as required by the law.
When the Renewable Energy Law was amended in 2009, the top legislature required electricity grid companies to buy all the power produced
by renewable energy generators and authorized the State Council energy
department, in conjunction with the state power regulatory agency and
the State Council finance departments, to determine the percentage of the
quantity of electricity generated from renewable energy in the total quantity of electricity generated during the planned period (PRC Amended
Law on Renewable Energy 2009, Article 14), a regulation system similar
to the Renewable Portfolio Standards (RPS) adopted by some US states.
The amendment made it clear that power enterprises refusing to buy
power produced by renewable energy generators would be fined up to
an amount double that of the economic loss of the renewable energy
company (PRC Amended Law on Renewable Energy 2009, Article 29).
To encourage grid companies to accept more power generated from
renewable sources, the amendment waived partially the value-added and
income taxes levied on grid companies on their revenue (the tax rate is
about one-third of the revenue) generated from the surcharge on the
retail power tariff for supporting renewable energy. China, a latecomer
to modernization, has been swiftly emerging as the world’s clean energy
powerhouse, with strong national policies aimed at incentivizing the use
of new renewables including solar and wind.
Hydrogen Energy Development in China
The Chinese government pays intensive attention to the research and
development of hydrogen fuel technology as means of transporting,
carrying and storing clean energy. China has shown its ambition in
manufacturing and deploying hydrogen fuel cell technologies, which was
included in the 13th FYP and “Made in China 2025” initiative issued by
the State Council in 2015. According to China’s guideline on strategic
emerging sectors in the 13th FYP, the country tried to promote research
and development of fuel cells, step up building hydrogen stations and
achieve the mass production of fuel cell electric vehicles (FCEVs) by 2020
211
transmission cost and recover them from the selling price (PRC Renewable Energy Law 2005, Article 21). After four years of implementing the
Renewable Energy Law, the government found that although the country
had rapidly increased its installed capacity of renewable energy, much of
this capacity was not promptly connected to the grid and that not all
power being generated was being purchased as required by the law.
When the Renewable Energy Law was amended in 2009, the top legislature required electricity grid companies to buy all the power produced
by renewable energy generators and authorized the State Council energy
department, in conjunction with the state power regulatory agency and
the State Council finance departments, to determine the percentage of the
quantity of electricity generated from renewable energy in the total quantity of electricity generated during the planned period (PRC Amended
Law on Renewable Energy 2009, Article 14), a regulation system similar
to the Renewable Portfolio Standards (RPS) adopted by some US states.
The amendment made it clear that power enterprises refusing to buy
power produced by renewable energy generators would be fined up to
an amount double that of the economic loss of the renewable energy
company (PRC Amended Law on Renewable Energy 2009, Article 29).
To encourage grid companies to accept more power generated from
renewable sources, the amendment waived partially the value-added and
income taxes levied on grid companies on their revenue (the tax rate is
about one-third of the revenue) generated from the surcharge on the
retail power tariff for supporting renewable energy. China, a latecomer
to modernization, has been swiftly emerging as the world’s clean energy
powerhouse, with strong national policies aimed at incentivizing the use
of new renewables including solar and wind.
Hydrogen Energy Development in China
The Chinese government pays intensive attention to the research and
development of hydrogen fuel technology as means of transporting,
carrying and storing clean energy. China has shown its ambition in
manufacturing and deploying hydrogen fuel cell technologies, which was
included in the 13th FYP and “Made in China 2025” initiative issued by
the State Council in 2015. According to China’s guideline on strategic
emerging sectors in the 13th FYP, the country tried to promote research
and development of fuel cells, step up building hydrogen stations and
achieve the mass production of fuel cell electric vehicles (FCEVs) by 2020