Competing For The "Battlefield" Of New Energy

On February 24, when A-share suffered deep adjustment, the share price of Guangdong Electric Power Development Co., Ltd. (hereinafter referred to as Yuedian, 000539. SZ) bucked the trend and closed up.

This is related to a news released by the company recently: Guangdong electric power signed a cooperation agreement with Tumushuke City, the third division of Xinjiang production and Construction Corps, and plans to invest and construct photovoltaic power generation projects with a total installed capacity of 1.5gw and wind power generation projects of 0.5gw in Tumushuke City, with a total investment of about 10.5 billion yuan.

"Vigorously promote the company's energy clean and low-carbon transformation." Guangdong Electric Power said frankly that the signing of the above cooperation is of great significance for the company to take an efficient, clean and low-carbon road.

A more realistic problem is that broadening the development boundary of new energy business may become a key step for Guangdong power to re stimulate business activities. Financial data show that since 2013, the company's revenue has been "uneventful", and its profitability has declined for a time. Reflected in the capital market, Guangdong electric power a has lost the glorious moment of approaching 60 billion market value in 2015, and has recently fallen below 20 billion yuan.

However, affected by the "3060" carbon target and the high expectation of new energy development during the "14th five year plan", the "battlefield" of new energy is "full of gunpowder". The first five power generation groups successively issued the "14th five year plan" and "carbon neutral" development goals to vigorously develop new energy; later, a number of local energy state-owned enterprises such as Jingneng group, zheneng group and Shenneng Co., Ltd. followed closely to seize new energy development resources.

Under the fierce competition, the domestic new energy field is setting off a test of capital and sustainability of the competition.

It has long been in the field of wind power

The reporter of 21st century economic report consulted the historical announcement and found that the new energy investment scale of Tumushuke announced by Guangdong electric power has set a historical record of the company's new energy investment.

According to official data, Guangdong electric power is one of the first listed power companies in China, and its power generation business structure includes coal-fired power generation, natural gas power generation, hydropower generation, wind power generation, etc. By the end of 2020, Guangdong electric power has a controllable installed capacity of 23.27gw and a holding installed capacity of 21.61gw. Specific to various types of energy installed capacity: coal fired power generation holds 17.15gw of installed capacity, accounting for 79.35%; natural gas power generation holds 3.72gw, accounting for 17.21%; wind power, hydropower and other renewable energy power generation holds 70.74gw, accounting for 3.43%. The installed capacity structure shows that the main business of Guangdong electric power is coal-fired power generation, which means that the operation of coal-fired power will have a significant impact on the company's performance.

Financial data show that since 2013, the performance of Guangdong electric power has fluctuated. Compared with 2013, although the company's revenue data rebounded in recent years, it failed to break through 30 billion yuan. However, from 2016 to 2018, the net profit of Guangdong Electric Power Co., Ltd. experienced a significant decline for three consecutive years, and it was once as low as 474 million yuan in 2018.

Behind the profit fluctuation, fuel cost has a great impact on the company's performance. Taking 2018 as an example, the profit of Guangdong power generation business suffered a serious decline due to the expansion of market-oriented trading price difference and the high price of steam coal. Among them, the fuel cost of the company in 2018 was as high as 17.939 billion yuan, accounting for 73.98% of the operating cost. Due to the continuous rise of coal price and the increase of power generation, it increased by 921 million yuan compared with 2017.

However, with the price of steam coal falling since 2019, Guangdong electric power's profit has been restored. According to the performance forecast, in 2020, the company is expected to realize a net profit of 1.6 billion yuan to 2 billion yuan belonging to the shareholders of the listed company, with a year-on-year increase of 39.52% to 74.40%. "During the reporting period, the main business profit of thermal power generation increased year on year due to the impact of fuel cost reduction," the company said

The excessive proportion of coal-fired power structure not only affects the performance of Guangdong electric power, but also does not conform to the development of energy structure transformation. Therefore, the new energy has become the inevitable choice of the company.

With its location and resource advantages, Guangdong electric power is the first to fall into the wind power industry in the field of new energy.

In March 2018, Guangdong electric power announced that its wholly-owned subsidiary Guangdong Yuedian qujie Wind Power Generation Co., Ltd. plans to invest in the construction of Guangdong Yuedian Zhanjiang wailuo offshore wind power project (phase I), with an installed capacity of 198mw and a total investment of 3.739 billion yuan. According to the announcement at that time, Zhanjiang wailuo offshore wind power project (phase I) is rich in wind energy resources and has the potential to build wind farms. It is one of the first approved offshore wind power demonstration projects in Guangdong Province. After the completion of the project, 470.2gwh of clean energy can be provided to the power grid every year. Based on 315g / kWh of alternative standard coal consumption, 148100 tons of standard coal can be saved every year.

The 21st century economic reporter found that, up to now, the total installed capacity of wind power projects owned by Guangdong electric power is 558700 kilowatts. And in 2020, the company's wind power projects will generate 1.279 billion kwh, significantly higher than that in 2019.

After the investment of 10 billion yuan in photovoltaic and wind power projects, Guangdong electric power has also widened the boundary of new energy business. After filling the blank of photovoltaic business, the company's power structure optimization has more imagination space.

Local energy state owned enterprises compete for new energy

In the layout of new energy field, Guangdong electric power is not the first and will not be the last local state-owned energy enterprise.

On February 24, Leshan Electric Power replied on the investor interaction platform that "the company pays close attention to the national solar photovoltaic power generation policy, relying on Sichuan Shengtian New Energy Development Co., Ltd., which is a shareholder of the company, and takes advantage of the high altitude, rich lighting resources and geographical advantages of the three Western prefectures of Sichuan Province, actively develops and constructs solar photovoltaic projects in the three prefectures and expands the business scale And gradually develop solar photovoltaic projects in Tibet, Yunnan and Hunan

This is a microcosm of local energy state-owned enterprises actively carrying out new energy business.

In the past year, affected by the "3060" carbon target and the "14th five year plan", the domestic new energy industry has ushered in a blowout of development enthusiasm. No matter the five major power generation groups have successively issued new energy development plans, a number of local energy state-owned enterprises such as Beijing Energy Group, Zhejiang energy group and Shenneng Co., Ltd. have increased their investment in new energy business.

In the "local army", the layout of new energy business of Beijing Energy Group is ambitious.

On the last day of 2020, Jingneng group's H-share listed company Jingneng clean energy's offer officially began. The privatization return of this energy listed enterprise has triggered the association of Beijing Energy Group's new energy assets integration.

There are four energy listed companies under Jingneng group - A-share Jingneng power and Haohua energy, H-share Jingneng clean energy and Beijing Energy International. Among them, two H-share listed companies carry the new energy assets of Beijing energy group. With the help of Beijing energy clean energy and Beijing Energy International, Beijing Energy Group has made great strides in the field of wind power and photovoltaic.

In December 2020, Beijing energy clean energy and Jiaze Xinneng, A-share listed company, signed an agreement on the acquisition of photovoltaic and wind power projects with an installed capacity of nearly 500MW. In June 2020, Beijing Energy International and the local government of Manas County in Xinjiang Uygur Autonomous Region signed a comprehensive demonstration project for the development of new energy, which will be equipped with photovoltaic power generation, solar thermal power generation and storage It is expected that the total installed capacity of the equipment capable of hydrogen production business will not be less than 1000 MW, and the total investment of the project is expected to be about 10 billion yuan.

According to the notice recently issued by Beijing Energy Group, the group said, "it will vigorously implement the" wind and solar strategy ", build a number of million kilowatt level affordable project bases based on the best, and lay out a number of 10 million kilowatt level new energy bases relying on UHV transmission lines. By the end of the" 14th five year plan ", we will ensure that the installed capacity of wind power and photovoltaic power will not be less than 15 million kilowatts, and the proportion of renewable energy power generation in the group will account for Not less than 50%. "

It is worth mentioning that the investment in new energy business is a competition of capital strength. To this end, major enterprises accelerate the listing of their new energy asset platforms.

In December 2020, Zhejiang Xinneng, a subsidiary of Zhejiang energy group, will hold an IPO, with a plan to raise 1.91 billion yuan to increase offshore wind power projects. According to public information, Zhejiang Xinneng's main business is investment, development, construction and operation management of renewable energy projects such as hydropower, photovoltaic and wind power. As of June 30, 2019, the company has put into operation with a holding installed capacity of 1756.22mw, including 795.20mw hydropower, 947.52mw photovoltaic power and 13.50mw wind power.

Similarly, in December last year, Zhejiang new energy purchased 70% of the equity of Jingke technology's wholly-owned subsidiary with 18.34 million yuan to increase the proportion of photovoltaic and wind power capacity.