five pilot projects for testing and verifying whether these advanced storage technologies are
durable and can be reused in different market
environments. The roadmap and pilot projects
complement the formation of a pan-European
network that pools industrial and scientific
resources for research and innovation activities.
In addition, the Roadmap also suggests establishing an education and training centre for
electrochemical and energy storage.
6.3.2 Current Developments in Energy
Storage in China
(1) Policies related to energy storage in China
Since 2005, China’s policies on energy storage
have gradually evolved, from early-stage technical exploration to a technology roadmap,
industry guidelines and support mechanisms.
China’s early polices focused on funding scientific research in battery materials and technologies and proof of concept. As technologies and
applications progressed, the government introduced policies to reform the electricity system,
incentivise energy storage and create support
mechanisms.
Energy storage is part of the national energy
strategy and industry development plan. The
government has issued a series of 13th Five-Year
Plans (2016–20) for Strategic Emerging Industries Development, Renewable Energy Development, Energy Development, and Energy
Technology Innovation, all of which develop the
positioning and direction of energy storage.
The government has also introduced several
support policies for energy storage development.
Examples are polices like the National Energy
Administration’s for promoting energy storage in
electricity ancillary services market mechanisms
in north, north-west and north-east China; and
guidelines for developing energy storage technologies and an energy storage industry.
The former of the two policies was issued in
2016. It stipulated that each province should
select no more than five electric energy storage
facilities to be part of a pilot project on peak load
and frequency regulation ancillary services. It
encouraged power generators and end users to
take part in the market. And, it set out the principles of results-based compensation.
The second of the two policies was introduced in
2017. It defines the pathway and describes application scenarios for China’s energy storage development. In the future, compensation policies for the
application scenarios will be defined and the standards for those advanced energy storage technologies eligible for compensation will be introduced.
In combination with electricity system reform, the
policies for energy storage pricing will be researched and a timetable for their introduction drawn
up. In Stage 1 of the policy, during the 13th
Five-Year Plan (2016–20), the following focus
areas will drive energy storage to early commercialisation: start up pilot and demonstration projects, research and develop key technologies and
equipment, draw up a preliminary system of standards for energy storage technologies, create new
business models and foster competitive market
players. By Stage 2, during the 14th Five-Year Plan
(2021–25), energy storage projects will be widely
deployed to enable the transition from early commercialisation to scale development, thus becoming a new growth point in the energy sector.
The energy storage industry is increasingly
attracting attention and its importance is growing. Many energy planning policies introduced
by the Chinese government—including the Outline for the 13th Five-Year Plan (2016–20), the
Strategic Action Plan on Energy Development
(2014–20), and the Action Plan for Innovation in
the Energy Technology Revolution (2016–30)—
identify energy storage as a major research and
development field for the future. Energy storage
will play an important role in connecting
renewable energy to the grid and in electricity
ancillary services and retailing.
(2) Current developments in China’s energy
storage technologies
In the 12th Five-Year Plan (2011–15), China’s
energy storage technologies and industry development had three characteristics.
First, different technologies were developed in
a coordinated way and were characterised by
Special Report 3: A Study of China’s Technology Revolution
349
durable and can be reused in different market
environments. The roadmap and pilot projects
complement the formation of a pan-European
network that pools industrial and scientific
resources for research and innovation activities.
In addition, the Roadmap also suggests establishing an education and training centre for
electrochemical and energy storage.
6.3.2 Current Developments in Energy
Storage in China
(1) Policies related to energy storage in China
Since 2005, China’s policies on energy storage
have gradually evolved, from early-stage technical exploration to a technology roadmap,
industry guidelines and support mechanisms.
China’s early polices focused on funding scientific research in battery materials and technologies and proof of concept. As technologies and
applications progressed, the government introduced policies to reform the electricity system,
incentivise energy storage and create support
mechanisms.
Energy storage is part of the national energy
strategy and industry development plan. The
government has issued a series of 13th Five-Year
Plans (2016–20) for Strategic Emerging Industries Development, Renewable Energy Development, Energy Development, and Energy
Technology Innovation, all of which develop the
positioning and direction of energy storage.
The government has also introduced several
support policies for energy storage development.
Examples are polices like the National Energy
Administration’s for promoting energy storage in
electricity ancillary services market mechanisms
in north, north-west and north-east China; and
guidelines for developing energy storage technologies and an energy storage industry.
The former of the two policies was issued in
2016. It stipulated that each province should
select no more than five electric energy storage
facilities to be part of a pilot project on peak load
and frequency regulation ancillary services. It
encouraged power generators and end users to
take part in the market. And, it set out the principles of results-based compensation.
The second of the two policies was introduced in
2017. It defines the pathway and describes application scenarios for China’s energy storage development. In the future, compensation policies for the
application scenarios will be defined and the standards for those advanced energy storage technologies eligible for compensation will be introduced.
In combination with electricity system reform, the
policies for energy storage pricing will be researched and a timetable for their introduction drawn
up. In Stage 1 of the policy, during the 13th
Five-Year Plan (2016–20), the following focus
areas will drive energy storage to early commercialisation: start up pilot and demonstration projects, research and develop key technologies and
equipment, draw up a preliminary system of standards for energy storage technologies, create new
business models and foster competitive market
players. By Stage 2, during the 14th Five-Year Plan
(2021–25), energy storage projects will be widely
deployed to enable the transition from early commercialisation to scale development, thus becoming a new growth point in the energy sector.
The energy storage industry is increasingly
attracting attention and its importance is growing. Many energy planning policies introduced
by the Chinese government—including the Outline for the 13th Five-Year Plan (2016–20), the
Strategic Action Plan on Energy Development
(2014–20), and the Action Plan for Innovation in
the Energy Technology Revolution (2016–30)—
identify energy storage as a major research and
development field for the future. Energy storage
will play an important role in connecting
renewable energy to the grid and in electricity
ancillary services and retailing.
(2) Current developments in China’s energy
storage technologies
In the 12th Five-Year Plan (2011–15), China’s
energy storage technologies and industry development had three characteristics.
First, different technologies were developed in
a coordinated way and were characterised by
Special Report 3: A Study of China’s Technology Revolution
349