Specialist
Senior manager at Chongqing Datang International Pengshui Hydropower Development Co Ltd
Agenda
- China’s hydropower market – market scale and major growth drivers in the long term
- Hydropower pricing and market-related policy dynamics
- China Yangtze Power’s (SHA: 600900) production capacity dynamics, profitability per kilowatt-hour, Wudongde Dam and Baihetan Dam projects operations, future CAPEX focuses and equipment depreciation
- Hydropower companies’ automated and digital operations as well as equipment upgrade and maintenance
Questions
1.
What are the major growth drivers for China’s hydropower market in the future? Will the annual installed capacity have the potential for growth in the next 3-5 years?
2.
The costs of new energy resources such as photovoltaic power, wind power and nuclear power will keep reducing. What impact will this have on the proportion of the hydropower generation capacity in China’s total electricity consumption?
3.
What is the cost per kWh and cost structure of hydropower projects with different designed production capacities such as 5GW, 10GW or 15GW?
4.
The cost of hydropower projects mainly arises from the equipment depreciation and financial cost. Could you talk about the path for hydropower companies’ cost reduction?
5.
What do you think about the hydropower pricing in the next few years considering the market factors or policies?
6.
Will the profitability of hydropower continue to increase in the long term?
7.
How about the investment in new installed capacity?
8.
What are the core competitive advantages of Yangtze Power? Why does it take up the largest market share among the hydropower companies? Are its advantages sustainable?
9.
Can you tell us more about the cost advantages of Yangtze Power? Will Yangtze Power continue to have this advantage? Can other companies achieve the same cost as Yangtze Power through some changes or strategies?
10.
From the perspective of market pattern, big companies, such as Yangtze Power, GHD, Huaneng Hydropower, China Energy Investment Corporation (China Energy) and SPIC, are operating the majority of domestic installed hydropower capacity. What do you think of the prospects of these companies? Do you think there will be any new changes in the division of market share in the future?
11.
Do you think Yangtze Power’s market share will continue to rise in the future?
12.
What is the installed capacity and production capacity of Wudongde and Baihetan Hydropower Stations? As you mentioned earlier, the investment cost of these two hydropower stations is relatively low. So how does the industry evaluate their operations?
13.
What is the depreciation degree of Yangtze Power’s equipment? When will there be a large-scale overhaul or replacement?
14.
Would you share with us what the differences in the operation of the hydropower company between flood season and dry season are? Could you please explain to us in detail what key measures might be taken and the core factors of successful operation?
15.
What is the water underutilisation rate of Yangtze Power?
16.
What innovations will hydropower companies make in automation, digital equipment and management methods? In this process, how do hydropower companies reduce operating costs and improve operating efficiency?
