China is eyeing more investment on new infrastructure construction this year as one of its fiscal stimulus packages to minimize economic downturn caused by the outbreak of COVID-19.
Ultra-High Voltage Transmission Grids (UHVs) that feature large investment, long industry chain and strong economic-driving force is believed by Chinese insiders as one of the key sectors in new infrastructure construction to boost economic development.
State-owned grid operator State Grid Corporation of China has revised up its investment in 2020 by 10.3% from 408 billion yuan set at the beginning of the year to 450 billion yuan. The whole-year investment in UHVs, as a major part, is adjusted up to 181.1 billion yuan.
Construction of UHVs, which usually connects clean energy-rich areas in western China with eastern consumption areas, would transmit more electricity generated from wind, solar and water and result in narrowed share for thermal power.
China has stated in 2018 in its three-year action plan for Blue Sky War that newly increased power consumption in key consumption areas, especially in the east, share mainly be met by non-fossil energy generation within the region and power purchases from other areas.
In conformance with the policy, demand for cross-region power transmission is also on the rise.
The country has built 24 UHV AC/DC transmission projects by the end of 2019, with a transmission capacity of more than 140 GW, and supporting more than 70 GW of installed clean energy capacity. About 1.8 trillion KWh of electricity have been transmitted, of which 100% of the power generated in the southwest areas comes from clean energy sources.
According to the calculation by the Power Planning Laboratory under State Grid Energy Research Institute, the power major's west-to-east electricity transmission would exceed 900 TWh and 2,000 TWh respectively by 2020 and 2035, helping reduce coal consumption in eastern and central areas by 380 million and 800 million tonnes, and CO2 emission by 220,000 and 500,000 tonnes.
Basing on proportion of 100% in clean energy in UHV transmission from China Southern Power Grid and 80% in State Grid, the two power majors' clean power transmission via UHV would reach 173.92 GWh, equivalent to a reduction of 755 million tonnes of raw coal consumption.
If coal consumption will be strictly controlled within 4.1 billion tonnes in 2020, in line with the Five Year Plan, the ultra-high voltage transmission of clean energy by the two major power grids in 2020 will help to save coal consumption by 18.4% of the total.
China had responded to the Asian financial crisis in 1997, the SARS epidemic in 2003 and the international financial crisis in 2008 by massively expanding its infrastructure construction, but this year saw more promotion on construction scale and agenda of UHVs.
The Qinghai-Henan UHV ±800 KV, Yazhong-Jiangxi UHV DC, Zhangbei flexible DC, 1000 KV western Inner Mongolia-Jinzhong, northern Shaanxi to Hubei ±800 KV UHV DC and other major projects have quickly resumed work and put into production since March.
More than 30 new UHV power transmission lines are expected to be approved by 2025, according to a report issued on June 2.
(Writing by Emma Yang Editing by Harry Huo)
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