Major Announcement: State Grid’s New Round of Rural Power Grid Renovation and Upgrade Project to Total RMB 522.2 Billion
Release Date:
2020-06-02
On April 29, State Grid Corporation of China convened a videoconference to launch the implementation of the new round of rural power grid renovation and upgrade project and to kick off the first batch of projects, thereby studying and implementing the important directives issued by the Party Central Committee and the State Council on this initiative and accelerating the advancement of the new round of rural power grid renovation and upgrade. According to the State Council’s deployment, the total investment for State Grid’s new round of rural power grid renovation and upgrade is RMB 522.2 billion. The project is slated for completion over a five-year period, with the most challenging tasks to be accomplished in the next two years. The project encompasses seven key areas: 1. “Electricity Access to Every Irrigation Well” initiative: By the end of 2017, electricity access and upgrades will be completed for 2.19 million agricultural irrigation wells. 2. Power grid renovation and upgrade in small towns (central villages): By the end of 2017, renovation and upgrade work will be completed in 66,000 small towns (central villages). 3. Electricity access to every village: By the end of 2017, electricity access will be extended to 26,000 natural villages that currently lack power, while 52,000 natural villages that are already electrified will undergo capacity expansion and upgrading. 4. Grid connection for photovoltaic poverty-alleviation projects: Ensure timely grid connection for national photovoltaic poverty-alleviation projects within the company’s service area, including photovoltaic power stations in the five counties and districts designated for targeted assistance. 5. Equalization of rural power supply services in western and impoverished regions: Focus on enhancing power supply services in key poverty-alleviation counties, contiguous areas with extreme difficulties, and revolutionary base areas, with particular emphasis on improving power supply capacity in 553 impoverished counties and comprehensively addressing the issue of “low voltage” among rural users. 6. Integration of urban and rural power grids in eastern and central regions: By the end of the 13th Five-Year Plan period, essentially achieve the goal of integrated urban–rural power grids. 7. Rural power grid development in Tibet, Xinjiang, and Tibetan-inhabited areas of Sichuan, Gansu, and Qinghai provinces: Prioritize resolving the weak interconnection between the remaining 14 county-level power grids and the main grid. Objectives: By the end of 2020, rural areas within State Grid’s service territory will achieve basic full coverage of stable and reliable power supply services, with significant improvements in power supply capacity and service quality. The average annual outage duration per household will be reduced to 10.5 hours, the comprehensive voltage compliance rate will reach 99.45%, the average distribution transformer capacity per household will increase to 2.2 kVA, and the share of electricity in rural household energy consumption will rise substantially. Over the years, State Grid has continuously increased its investment in rural power grids, with cumulative investments totaling RMB 1.0261 trillion. This has supported the construction and renovation of 6.97 million kilometers of power lines and 26,800 substations, achieving universal electricity access across all households in its service area. As a result, rural power supply quality has improved markedly, power grids in ethnic minority and border areas have been strengthened, the level of electrification in rural areas has continued to rise, and the management system of county-level power companies has been further standardized. It is foreseeable that State Grid’s new round of rural power grid renovation and upgrade will stimulate a market worth trillions of yuan.
On April 29, State Grid Corporation of China convened a videoconference to launch the implementation of the new round of rural power grid renovation and upgrade project and to kick off the first batch of projects, with the aim of studying and implementing the important directives issued by the Party Central Committee and the State Council on this initiative and accelerating the advancement of the new round of rural power grid renovation and upgrade.
According to the State Council’s arrangements, State Grid Corporation of China’s new round of rural power grid renovation and upgrade project has a total investment of RMB 522.2 billion. 。 The project is scheduled for completion within five years, with the most challenging tasks to be accomplished over the next two years.
It mainly covers seven aspects:
1. The “Electricity Access for All Wells” project will complete the electrification and renovation of 2.19 million agricultural irrigation wells by the end of 2017.
2. The upgrading and renovation of power grids in small towns (central villages) shall be completed by the end of 2017, with a total of 66,000 such projects undertaken.
3. By the end of 2017, electrification with power supply shall be extended to all 26,000 natural villages that currently lack such access, and capacity expansion and renovation projects shall be carried out in the 52,000 natural villages that are already electrified.
4. The grid-connection project for photovoltaic poverty-alleviation initiatives shall ensure the timely grid connection of national photovoltaic poverty-alleviation projects within the company’s operating area, including the photovoltaic power stations in the five counties and districts designated for the company’s targeted assistance.
5. Promote equal access to rural power supply services in western and impoverished areas by prioritizing improvements in power supply services in key counties for poverty alleviation and development, contiguous areas with particularly difficult conditions, and old revolutionary base areas; focus on enhancing the power supply capacity in 553 impoverished counties and comprehensively addressing the issue of “low voltage” among rural users.
6. By the end of the 13th Five-Year Plan period, the urban and rural power grids in the eastern and central regions will have basically achieved the goal of integrated urban–rural grid development.
7. In Tibet, Xinjiang, and the Tibetan-inhabited areas of Sichuan, Gansu, and Qinghai provinces, rural power grid development should prioritize addressing the weak interconnection between the remaining 14 county-level power grids and the main grid.
Objective:
By the end of 2020, stable and reliable electricity supply services will have been extended to virtually all rural areas within the State Grid Corporation’s service area, with significant improvements in both supply capacity and service quality. Specifically, the average annual outage duration per household will be reduced to 10.5 hours, the comprehensive voltage compliance rate will reach 99.45%, the average distribution transformer capacity per household will increase to 2.2 kVA, and the share of electricity in rural household energy consumption will rise substantially.
Over the years, State Grid Corporation has continuously increased its investment in rural power grids, with cumulative investments totaling RMB 1.0261 trillion. This has supported the construction and renovation of 6.97 million kilometers of power lines and 26,800 substations, ensuring universal access to electricity across all households within its service area. As a result, the quality of rural power supply has improved markedly, power grids in ethnic minority and border areas have been strengthened, the level of electrification in rural areas has continued to rise, and the management system for county-level power companies has been further standardized.
It is foreseeable that the State Grid’s new round of rural grid renovation and upgrade project will undoubtedly stimulate a market worth trillions of yuan.
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