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Over the past decade, the photovoltaic (PV) industry in China has made great progress. However, this progress benefited from a series of subsidy policies, and with the continuous enlargement of the scale of centralized PV (CPV), the large subsidies have created great pressure on government finance, so achieving grid parity in CPV electricity is an urgent matter. This paper studies the grid parity of CPV electricity. First, this paper calculates the levelized cost of energy (LCOE) of CPV electricity. Second, using historical data and a dual learning curve, the paper predicts the LCOE of CPV electricity under scenarios with different resource zones and utilization times. Third, the paper predicts the LCOE of coal-fired electricity and draws conclusions based on changes in the price of coal and charcoal. Finally, the paper predicts when grid parity in CPV electricity in different resources areas will be achieved. [ABSTRACT FROM AUTHOR]

As subsidies continue to fall, the technology and cost performance of distributed photovoltaic (PV) determines the progress of its grid parity. Based on the discussion of technology and cost, this paper analyzed the economic performance of China's distributed PV industry by utilizing the two indicators of levelized cost of energy (LCOE) and internal rate of return (IRR). The results show that: firstly, the current external environment is generally conducive to the development of distributed PV, but there are still some constraints. Secondly, with the decrease of unit investment cost, distributed PV can achieve the goal of parity before 2025. Thirdly, distributed PV projects in the three types of solar energy resources all have high IRR, and the economic performance is better for the projects with high proportion of spontaneous self-use. At the end of the paper, policy recommendations are offered as references for the government. • We comprehensively analyzed the technology and cost performance of China's distributed PV. • We focused on the trend and decline path of China's distributed PV costs. • The LCOE of distributed PV in China is expected to achieve full parity in 2025. • Except 100% grid-connected mode, the IRR of distributed PV power plants in three areas is higher than 8% which has shown good economic benefits. [ABSTRACT FROM AUTHOR]

Renewable energy plays significant role in achieving energy savings and emissions reduction. As a sustainable and environmental friendly renewable energy source, concentrated solar power (CSP) is of interest for research and development. This is because CSP plants can be equipped with thermal storage systems, thereby producing electricity when sunlight is not available. The installation of CSP plants also leads to substantial ‘peak shaving effects’. However, the cost of CSP generation is an obstacle hampering the commercialization of this emerging industry. This paper constructs a mathematical model of the levelized cost of energy (LCOE) to calculate the power generation cost of CSP projects on the basis of lifetime cost structure analysis. A sensitivity analysis is conducted to examine the impact of different variables on the LCOE of CSP projects. The variables considered in this study are investment cost over the construction period, annual operation and maintenance cost, annual electricity production and the discount rate. Finally, the influence of incentive policies such as preferential loans, tax support and zero land cost for power stations is analyzed. This research offers a new method for power generation cost calculation of CSP projects and provides support for governments to formulate incentive policies for the industry. [ABSTRACT FROM AUTHOR]

Due to the uneven distribution of renewable resources and electricity load centers in China, renewable energy usually needs to be delivered a long distance from the generation base to the load center. However, wind power and photovoltaic (PV) have to be bundled with flexible resources, such as thermal generators, to compensate for the generation uncertainty and variability. Concentrating solar power (CSP) is a controllable generation technology, and it is receiving great attention in the northwest China to be constructed in the 100% renewable energy generation base. This paper proposes a generation portfolio optimization model of a 100% renewable energy base supported by CSP. Firstly, a flexible operation model of CSP based on the interval theory is proposed. Then, a coordinated operation strategy of a 100% renewable energy base organized by CSP, wind power, PV and also energy storage is formulated. On this basis, a generation portfolio optimization model is established with the target of minimizing an extended levelized cost of energy (LCOE) considering the transmission cost. A case study of 100% renewable energy base in Qinghai Province, China, is conducted to verify the effectiveness of the proposed model. It is depicted that CSP plays an important role in the cost-effective portfolio and can be a better alternative to the combination of PV and storage. For the 100% renewable energy base in Qinghai, the LCOE with an optimal CSP, PV, wind, and storage combination is 0.5785 CNY/kWh, which is 20.3% lower than the case without the installation of a CSP station. • Building a 100% renewable energy generation base with a CSP, PV, wind, and storage combination. • A planning model with the target of minimizing an extended LCOE considering transmission cost. • A coordinated operation strategy of a 100% renewable energy base considering CSP's flexibility. • The LCOE of a 100% renewable energy base can drop 20.3% when equipped with CSP in Qinghai. [ABSTRACT FROM AUTHOR]

To reach Carbon Peak in 2030 and Carbon Neutrality in 2060, China is developing renewable energy at a fast pace. Renewable energy enterprises will participate in the power market in an all-round way as China gradually improves its electricity market. Signing the Power Purchase Agreement (PPA) helps renewable energy companies to avoid market risk and achieve sustainable development. Therefore, a novel PPA pricing model is proposed in our research. Based on the theory of the Levelized Cost of Energy (LCOE), our model considers system operating costs in China's dual-track electric power sector, which is both government-guided and market-oriented. First of all, key influencing factors of the PPA agreement are analyzed in view of the developments of the renewable energy and electricity markets in China. Next, the design of pricing strategies for renewable energy power plants to cope with market challenges is presented through a photovoltaic project case study. The results show that when the operating costs of the system are considered and other conditions remain unchanged, the investment payback period of the new energy power station will change from 10.8 years to 13.6 years. Furthermore, correlation degree and sensitivity coefficient (SAF) were introduced to conduct correlation analysis and sensitivity analysis of key elements that affect the pricing of the PPA. Finally, it is concluded that the utilization hours of power generation have the most significant effect on the PPA price, while the system's operating cost is the least sensitive factor. The study expands the application of LCOE, and provides a decision-making solution for the PPA pricing of renewable energy power enterprises. It is expected to help promote power transactions by renewable energy companies. [ABSTRACT FROM AUTHOR]