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The National Energy Administration issued a special chapter on green electricity trading, focusing on wind and solar, and no price limit shall be included in the peak and valley time-of-use electricity price

author:Able to invest in the Commission

On April 19, the National Energy Administration (NEA) issued the Basic Rules for Medium and Long-term Electricity Trading - Special Chapter on Green Power Trading (Draft for Comments) to accelerate the establishment of a market system and long-term mechanism conducive to promoting the production and consumption of green energy to meet the demand of power users for purchasing green electricity.

The National Energy Administration issued a special chapter on green electricity trading, focusing on wind and solar, and no price limit shall be included in the peak and valley time-of-use electricity price

The document clearly points out that green power trading refers to the power trading varieties with green power and the corresponding environmental value of green power as the subject matter, and the traded electricity also provides the renewable energy green power certificate (hereinafter referred to as the green certificate) issued by the state to meet the needs of power generation enterprises, power sales companies, power users, etc. to sell and purchase green power. In the initial stage, the main power generation side participating in green power trading was wind power and photovoltaic power generation projects.

The draft proposes to promote the implementation of green power in the priority power generation plan of inter-provincial and autonomous regions by participating in green power trading, expand the supply of green electricity across provinces and regions, and meet the demand for green electricity consumption across provinces and regions.

The price of green electricity trading includes the price of electricity and the price of green certificates, which shall be determined by both parties through market-oriented transactions, taking into account factors such as the weight of renewable energy consumption responsibility, dual control of energy consumption and dual control of carbon emissions。

Unless otherwise specified by the state, there is no price limit in green power transactions organized through bilateral consultations. In centralized bidding transactions, in order to avoid market manipulation and vicious competition, the upper and lower limits can be set on the price of electric energy quotation or clearance. In principle, the upper and lower limits of electricity prices shall be proposed by the corresponding electricity market management committee, and shall be examined and approved by the dispatched agencies of the National Energy Administration and relevant government departments, and improper government intervention shall be avoided。 The price of green certificates is not included in the calculation of the peak-to-valley time-of-use electricity price mechanism and the power adjustment fee, and in case of national policy adjustment, the latest regulations shall prevail.

The original text is as follows:

Basic Rules for Medium- and Long-term Electricity Trading – Special Chapter on Green Power Trading (Draft for Comments)

1. Definition of green power trading

(1) Green power refers to all the electricity produced by renewable energy power generation projects that have established and established cards, such as wind power (including distributed wind power and offshore wind power), solar power generation (including distributed photovoltaic power generation and solar thermal power generation), conventional hydropower, biomass power generation, geothermal power generation, and marine power generation, which meet the requirements of relevant national policies。

(2) Green power trading refers to the power trading varieties with green power and the corresponding environmental value of green power as the subject matter, and the traded electricity provides the renewable energy green power certificate (hereinafter referred to as the green certificate) issued by the state at the same time, so as to meet the needs of power generation enterprises, electricity sales companies, power users, etc. to sell and purchase green electricity。 In the initial stage, the main power generation side participating in green power trading was wind power and photovoltaic power generation projects.

(3) Green power trading is an integral part of medium and long-term trading, and the implementation of medium and long-term power trading rules shall be organized and carried out by power trading institutions in the electricity trading platform in accordance with the cycles of years (years), months (multi-month), and intra-month (ten, weekly, and daily rolling). The power trading platform relies on blockchain technology to reliably record the information of all business links such as green power trading, contracts, settlements, and consumption statistics, and provides trading entities with services such as green power trading declaration, transaction result viewing, settlement result viewing and confirmation.

2. Establish and improve the green power trading mechanism

Green power trading should adhere to the principles of green priority, market orientation, safety and reliability, give full play to the role of the market, and fully reflect the electric energy value and environmental value of green power。 It is not allowed to organize and carry out special transactions for the purpose of disguised price reduction in the name of green electricity trading。

(1) Trading organizations

Green power trading mainly includes intra-provincial green power trading and inter-provincial green power trading, including:

1. Provincial green power trading refers to the purchase of green electricity from power generation enterprises in the province by power users or electricity sales companies through direct electricity trading.

2. Inter-provincial green power trading refers to the purchase of green electricity by power users or electricity sales companies from power generation enterprises in other provinces。 In the initial stage, power grid enterprises can summarize and confirm the demand for green power purchase in the province, and purchase green power across provinces and regions. The Beijing and Guangzhou power trading centers should provide convenient and favorable conditions for users with green electricity consumption needs, promote users to directly participate in cross-provincial transactions, and encourage cross-provincial centralized bidding for green electricity transactions。

3. The intra-provincial green power trading shall be organized and carried out by the provincial (autonomous region, municipal) power trading center, and the inter-provincial green power trading shall be organized and carried out by the Beijing and Guangzhou electric power trading centers.

(2) Transaction methods

1. The organization of green power trading mainly includes bilateral negotiation, listing, centralized bidding, etc. According to market needs, the transaction methods can be further expanded, and the two parties are encouraged to sign multi-year green power purchase agreements. Regions that carry out medium- and long-term time-based trading on a regular basis should carry out time-based or time-based green electricity trading with power curves in accordance with relevant rules。

2. Promote the implementation of green power in the inter-provincial priority power generation plan by participating in green power trading, expand the supply of green electricity across provinces and regions, and meet the demand for green electricity consumption across provinces and regions。

(3) Price mechanism

1. The price of green electricity trading includes the price of electricity and the price of green certificates, which shall be determined by both parties through market-oriented transactions, taking into account factors such as the weight of renewable energy consumption responsibility, dual control of energy consumption, and dual control of carbon emissions。 Unless otherwise specified by the state, there is no price limit in green power transactions organized through bilateral consultations. In centralized bidding transactions, in order to avoid market manipulation and vicious competition, the upper and lower limits can be set on the price of electric energy quotation or clearance. In principle, the upper and lower limits of electricity prices shall be proposed by the corresponding electricity market management committee, and shall be examined and approved by the dispatched agencies of the National Energy Administration and relevant government departments, and improper government intervention shall be avoided。

2. The uniqueness of the environmental value of green electricity should be ensured, and it should not be double-counted or sold.

3. The price of green certificates is not included in the calculation of the peak-to-valley time-of-use electricity price mechanism and the power adjustment fee, etc., and in case of national policy adjustment, the latest regulations shall prevail. The green certificate corresponding to the loss of electricity in the transmission and distribution line shall be owned by the power generation enterprise.

(4) Contract signing and execution

1. When a power user or electricity sales company signs a green power trading contract with a power generation enterprise, it shall specify the amount of electricity to be traded, the price (including the price of electric energy and the price of green certificates) and other matters。 The above matters shall be specified in the retail contract signed between the electricity sales company and the electricity user.

2. Green power trading can be based on the basic rules for medium and long-term electricity trading, the implementation rules for medium- and long-term electricity trading at the provincial level, the implementation rules for medium- and long-term electricity trading across provinces and regions, and other relevant regulations, on the premise that all parties to the contract reach a consensus and ensure that green power can be traced and traced, and carry out contract transfer and other transactions on a monthly or shorter basis.

(5) Transaction settlement and deviation handling

1. The settlement basis for green electricity trading issued by the power trading institution to the trading entity includes the following:

(1) The amount of electricity, price, and settlement fee for the settlement of electric energy;

(2) The amount of electricity, price, and settlement fee for the settlement of the green certificate;

(3) Settlement expenses for partial deviation of electric energy.

2. The electric energy part of green power trading is settled separately from the green certificate part:

(1) The electric energy part shall be settled in accordance with the inter-provincial and intra-provincial market trading rules.

(2) The settlement amount of the green certificate shall be determined according to the principle of the lesser of the contracted electricity of the current month, the on-grid electricity of the power generation enterprise, and the electricity consumption of the power user (the whole number is taken in megawatt hours, and the penny difference is rolled over to the next month), and the settlement shall be made at the price of the green certificate.

(3) If the same power user/electricity sales company contracts with multiple power generation enterprises, and the total electricity consumption is lower than the total contracted electricity, the electricity consumption of the power user/electricity sales company corresponding to each power generation enterprise shall be reduced according to the proportion of the total electricity consumption in the total contracted electricity;

(6) Issuance and transfer of green certificates

The National Energy Administration is responsible for the management of green certificates, and the Electric Power Business Qualification Management Center of the National Energy Administration is responsible for the issuance of green certificates.

The green certificate shall be issued according to the monthly settlement of the renewable energy power generation project, and shall be issued uniformly after review, and the corresponding green certificate shall be transferred to the green certificate account of the power generation enterprise or project owner in accordance with the regulations.

Article source: PV

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