1 Introduction to the Project

1.1 Project background

1.1.1 Product introduction

Wind power energy storage integration refers to the combination of wind power generation and energy storage systems to form a comprehensive energy system. This system stores the electrical energy generated by wind turbines for release when needed, thereby achieving efficient energy utilization and stable supply.

1.1.2 Market prospect

(1) Current global wind power market

At present, the global wind power market is rapidly developing, especially in regions such as China, Europe, and North America. Wind power has become an important component of the global renewable energy sector, and many countries have formulated corresponding policies and plans to actively promote the development of the wind power industry.

According to the report from the Energy Research Center of the National Development and Reform Commission, it is predicted that by 2030 and 2050, China's installed wind power capacity will reach 400 GW and 1 TW, respectively, meeting the 8% electricity demand in 2030 and the 17% electricity demand in 2050. The national wind power development plan is: Before 2020, onshore wind power will be the main focus, and offshore wind power demonstration will be carried out; From 2021 to 2030, both onshore and shallow-water offshore wind power will be equally developed, and deep-water offshore wind power demonstrations will be carried out; From 2031 to 2050, comprehensive development of onshore wind power, shallow-water offshore wind power, and deep-water offshore wind power in the eastern, central, and western regions will be achieved. After 2030, the widespread application of energy storage, smart grid, and other advanced power system technologies will fundamentally solve the problems of wind power grid connection and consumption.

In the Renewable Energy Law of the People's Republic of China, corresponding provisions have been made for the admission conditions and management methods of renewable energy resource development projects, that is, projects in which enterprises develop wind energy, solar energy, and biomass energy resources to a certain scale shall be approved by the energy competent department of the provincial people's government and filed with the energy competent department of the State Council. Subsidies for renewable energy shall be allocated fairly to all enterprises, regardless of their ownership. In the field of renewable energy development, market rules and access shall be equally applied to ensure a level playing field.

As a renewable energy source second only to hydro-power in technological maturity and commercial viability for large-scale development, wind power has become one of China's main strategies for renewable energy utilization. Nowadays, in the context of the implementation of the National Renewable Energy Law, energy companies shall take the lead in occupying the wind power market, which is economically reasonable and in line with the market development laws.

According to the national laws and regulations on the Renewable Energy Law of the People's Republic of China, the Energy Conservation Law of the People's Republic of China, the Management Regulations on Renewable Energy Power Generation, and the Trial Measures for the Management of Renewable Energy Power Generation Prices and Cost Sharing, this project is an encouraged construction project of China.

(2) Jilin Province wind power market analysis

Developing new energy is an important way for China to achieve sustainable development and an important component of Chinese energy development strategy. Jilin Province is currently in the stage of economic structural transformation and development. Therefore, Jilin Province will focus on improving energy structure and encouraging the use of renewable energy such as wind energy.

Jilin Province is one of the few provinces with relatively complete types of new and renewable energy resources, with abundant reserves of hydropower, wind energy, biomass energy, solar energy, and geothermal energy resources. At the same time, Jilin Province has insufficient reserves of fossil fuels, with a shortage of coal, oil, and gas, and a coal self-sufficiency rate of less than 50%. The development of new and renewable energy has unique resources and market conditions.

The 14th Five Year Plan for National Economic and Social Development and the 2035 Long Range Objectives of Jilin Province clearly state that the top priority for key power projects is the "Wind and Solar Three Gorges" project. The "Wind and Solar Three Gorges" Project refers to a national-level wind and solar energy production base under construction in the western region of Jilin Province, with planned installed capacity equivalent to that of the Three Gorges Hydropower Station on the Yangtze River (22.5 GW). The advantages of abundant wind and solar resources and unused land in Baicheng, Songyuan, and other areas shall be fully leveraged to vigorously develop wind and photovoltaic power generation, and build three new energy production bases with a capacity of 10 GW for consumption, transmission, and hydrogen production within the province. By the end of the 14th Five Year Plan, the installed capacity of wind and photovoltaic power generation aims to reach 30 GW, surpassing the installed capacity of the Three Gorges Dam on the Yangtze River.

(3) Market prospects of wind power energy storage integration project in Songyuan City

Energy is an important material foundation and driving force for the progress of human civilization, which is closely related to national economy, people's livelihood, and national security. In today's world, a new round of technological revolution and industrial transformation is deepening, global climate governance is presenting a new situation, new energy and information technology are closely integrated, production and lifestyle are accelerating towards low-carbon and intelligent, and the energy system and development model are entering a new stage dominated by non-fossil fuels. Accelerating the construction of a modern energy system is an inherent requirement for ensuring national energy security and striving to achieve carbon peaking and carbon neutrality goals on schedule. It is also an important support for promoting high-quality economic and social development.

Wind energy, as a green and environmentally friendly intermittent energy source, its power generation efficiency is greatly influenced by natural conditions such as wind speed and direction. Such discontinuity and volatility pose many challenges for wind power generation in practical applications. However, by combining with advanced energy storage systems, excess electricity can be stored when wind resources are abundant; And when the wind power is insufficient to meet the electricity demand, the stored energy can be released. Not only does it effectively smooth out power output, but it also significantly enhances the grid's peak shaving and valley filling capabilities. While ensuring the stable operation of the power system, it also greatly enhances the overall safety and reliability of the power grid, bringing more stable and reliable power supply to residents' lives.

The project is located in Fuyu City, Songyuan City, with a large investment scale that can directly drive local GDP growth. Throughout the entire cycle of project planning, construction and operation, a large number of economic activities will be generated, attracting upstream and downstream industrial chain enterprises to settle in, including wind power equipment manufacturing, energy storage technology suppliers, and power grid transformation service providers, forming a new energy industry cluster and bringing sustained economic growth momentum to Fuyu City. As a model of green energy projects, the wind power energy storage integration project helps to enhance the urban image of Fuyu City, improves its external attractiveness, adds green, technological, and sustainable development labels to the city brand, and has broad market prospects.

1.1.3 Advantageous conditions of project construction

(1) Policy advantageous

The Guiding Opinions on Promoting Energy Storage Technology and Industrial Development jointly issued by the National Development and Reform Commission (NDRC), the National Energy Administration (NEA) and other five departments clarifies the key position of energy storage technology in the modern energy system and emphasizes the importance of developing energy storage technology. This provides policy support and guidance for the construction of wind power energy storage integration project in Fuyu City.

On May 30, 2022, the NDRC and the NEA issued Guobanhan [2022] No. 39 Implementation Plan for Promoting High Quality Development of New Energy in the New Era. The Plan points out that the integrated development of new energy development and utilization with rural revitalization shall be promoted. Local governments shall be encouraged to increase support for farmers to use their own building roofs to construct household photovoltaic projects, and the development of decentralized wind power in rural areas shall be actively promoted.

The General Office of the People's Government of Jilin Province has issued Notice on Several Measures to Promote the Accelerated Development of Jilin Province's New Energy Industry (JL-ZBF [2024] No. 1). Among which, Article (6) approval system for wind power projects shall be adjusted and optimized. According to the adjustment of the national approval catalog, wind power projects shall be adjusted from an approval system to a filing system. Article (10) the demand for new energy grid access shall be ensured. The construction of the "four horizontals and four verticals" backbone network in Jilin Province shall be accelerated to establish a one-stop service platform for new energy project grid connection, develop a standard flow chart for new energy grid connection and implementation rules for the work management of early stage power connection, thus efficiently promote the rapid construction of grid connection projects. Article (15) the construction of the market trading system shall be improved. The construction of the provincial spot market shall be actively promoted. The scale of inter provincial spot trading shall be expanded, the trading mechanism of the electricity market shall be innovated, and the variety and scope of trading shall be expanded. The above content provides policy support for the project.

On January 9, 2025, the Provincial Energy Bureau held a series of themed press conferences to implement the spirit of the Fifth Plenary Session of the 12th Provincial Party Committee (the 14^th press conference), focusing on the following tasks: Further strengthening work guidance and coordination, and promoting the coordinated development of "generation-grid-load-storage" in new energy systems. Efforts shall be made to accelerate “the construction of industrial parks, the utilization of green electricity, the reduction of electricity prices, and the initiation of projects” across various regions, thereby stimulating industrial vitality and unleashing industrial momentum. The valuable new energy resource advantages of Jilin Province shall be transformed into industrial advantages, developmental advantages, and competitive advantages.

The local governments shall be encouraged to fully utilize the pilot model of "green electricity+consumption" and the local utilization of new energy shall be continuously promoted. Secondly, the policy system and operation mode of "green electricity+consumption" shall be continuously improved, and the deep integration of the entire industrial chain for "wind, solar, hydrogen, and energy storage" shall be promoted. The existing "one-to-one" model of power-load pairing (bundled wind and thermal power) shall be explored to expand into a "one-to-many" model, where industrial park loads are bundled to create cost-reduction opportunities for more newly implemented projects. Thirdly, the development models for hydrogen energy shall be further enriched. The strategic emerging industry of "green hydrogen+" shall be cultivated, and the full hydrogen chain, including “production, storage, transportation, utilization, and research”, as well as the integrated development of "green hydrogen, green ammonia, green methanol, and green aviation fuel" shall be advanced to explore more application scenarios.

The above policies provide solid support for project construction.

(2) Resource advantageous

Fuyu City is located in the northern part of Jilin Province, northeast of Songyuan City, on the alluvial plain of the Nenjiang River and Songhuajiang River. It belongs to the eastern temperate monsoon climate with distinct seasons, which is conducive to the formation and distribution of wind energy resources. Due to its geographical location and climatic conditions, Fuyu City has a certain potential for wind energy resources.

(3) Transportation advantageous

The transportation around the park is convenient, which is conducive to the transportation of raw materials and finished products. Convenient communication is conducive to timely feedback of market information. With well-developed infrastructure, flat terrain, a pollution-free surrounding environment, ample water and electricity supplies, and advanced communication networks, the area is highly suitable for investment and construction.  

1.2 Contents and scale of project construction

The total area of the project is 1.9442 square kilometers. The planned installed capacity of the project is 200MW, and it is planned to build a 200 MW integrated wind power storage system. It is planned to install 50 wind turbines with a single capacity of 4.0MW, a newly built 110kV substation with 110km collection line (using direct burial and overhead methods). There will be 3 construction production and living areas for project facilities, 10 waste disposal sites, and 10 temporary soil dumping sites. The total length of the on-site roads is 80km.

1.3 Total investment of the project and capital raising

The total investment of the project is 1.5 billion yuan, including the construction investment of 1.2 billion yuan.

1.4 Financial analysis and social evaluation

1.4.1 Main financial indexes

After the project reaches the production capacity, its annual sales income will be 1.0571 billion yuan, its profit will be 348.8 million yuan, its investment payback period will be 6.3 years (after the tax, including the construction period of 2 years) and its investment profit rate will be 23.2%.

Note: “10 thousand yuan” in the table is in RMB.

1.4.2 Social evaluation

The development and construction of the project not only have a significant driving effect on the development of various specific industrial sectors in the region, but also facilitate the adjustment of the industrial structure in the region, promote the optimization and upgrading of the industrial structure. This project is located in the northern part of Jilin Province, with relatively high wind speed and power in the Fuyu City area. The terrain of the site is relatively flat and the landform is simple. It is one of the areas with abundant wind energy resources in China. The project is located in an area with frequent winds throughout the year, which is suitable for the development and utilization of wind energy resources. The construction of this project can not only provide a large amount of clean electricity for the region, but also promote the vigorous development of various industries in the area, with obvious economic and social significance.

1.5 Cooperative way

Sole proprietorship, joint venture, and cooperation.

1.6 What to be invested by the foreign party

Funds, other methods can be discussed offline.

1.7 Construction site of the project

Fuyu Economic Development Zone

1.8 Progress of the project

The project proposal has been prepared

2 Introduction to the Partner

2.1 Unit basic information

Name: Fuyu Municipal Bureau of Commerce

Address: No.455 Fuyu Street

2.2 Unit overview

Fuyu City is located in the northwest of Jilin Province and the east of Songyuan City. The city has jurisdiction over 12 towns, 5 townships, 5 street offices, 1 state-owned farm, 2 irrigation areas, 2 provincial-level industrial concentration zones, 2 municipal level industrial parks, and 1 agricultural and livestock product processing and logistics park. The city covers an area of 4658 square kilometers and has a total of 383 administrative villages. In recent years, with the goal of enriching the people and strengthening the city, Fuyu City has accelerated the implementation of the development strategy of "expanding the new industrial city, strengthening the modern agricultural city, building a regional medium-sized city, and creating a new cultural and tourism city", striving to create a new situation for economic and social development.

The industrial system of Fuyu City has initially taken shape. The first industry of Fuyu City is the agricultural and livestock product processing industry. The abundant agricultural and livestock product resources in Fuyu have promoted the rapid development of the agricultural and livestock product processing industry. The Yurun Group's Million Head Pig Slaughtering and Processing Project, Zhengbang Group's Integrated Breeding and Processing Project, Hefeng Group's Breeding and Feed Processing Project, Dongrui Food Processing Project, Longhua Food Peanut Processing Project, and other projects have driven the development of the entire industry. The key direction for the future industrial development of Fuyu is to utilize peanut resources to construct oil processing, beverage production, and food processing projects, and to deeply develop the deep processing industry of agricultural and livestock products by utilizing miscellaneous grains, beans, and livestock resources. The second industry of Fuyu City is the building materials industry. Jidong Cement, Northern Cement, Jilin Forest Industry Group, Penghong Wood Industry, Penghong Flooring, Oliwei Building Materials, Hongyuan Solid Wood, Xinlongyi Doors and Windows, Dongyuan Aluminum, Liuhuan Cement Products, Leitai Cement Products, Longyu Cement Products, and Gongpengzi Industrial Concentration Zone Wood Processing Project Group have built a strong building materials industry. Relying on industrial clusters, Fuyu have developed and constructed new energy-saving and environmentally friendly building materials, energy-saving composite doors and windows, panel furniture, solid wood furniture, new pipe manufacturing and other projects, extending the industrial chain and having great potential. The third industry of Fuyu City is the manufacturing industry. The manufacturing industry in Fuyu has developed rapidly and has formed advantageous industries such as fertilizer manufacturing, automotive parts manufacturing, and glass manufacturing. Stanley, Xinyangfeng, Zhongyan Hongsifang and other fertilizer companies have successively started construction. After being put into operation, Fuyu City will become the largest fertilizer manufacturing base in Northeast China. Led by Shengbao Glass and Hezhong Glass, Fuyu City has become one of the important glass manufacturing bases in Northeast China. In addition, Fuyu's unique transportation location advantage is closely related to large enterprises such as FAW Group, Jilin Oilfield, and Daqing Oilfield, and the construction of automotive parts and oilfield supporting projects has a promising future. The fourth industry of Fuyu City is the new energy industry. The new energy projects in Fuyu City have become new economic growth points. Projects such as Changchun Zhongcheng Oil Shale Development Project, China Energy Conservation Green Carbon Environmental Protection Company Organic Waste Comprehensive Utilization Project, Guangdong Changqing Group Straw Comprehensive Utilization Project, Shuntai Biomass Cogeneration Project, and Shanghai Chengrui Wind Power Generation have gradually established the direction of Fuyu's new energy industry development. The fifth industry of Fuyu City is the service industry. Fuyu City has always been a major commodity distribution center of Jilin Province and Heilongjiang Province with active commercial logistics. The Fuyu Commercial and Trade City built by China Supply and Marketing Group is bustling with transactions, and the Sanjingzi Wholesale Market for Miscellaneous Grains and Beans has become the largest professional wholesale market for miscellaneous grains and beans in Northeast China. The Sanjingzi Agricultural and Livestock Products Processing and Logistics Park has been approved. Relying on its superior location and transportation advantages, Fuyu has planned a large-scale warehousing and logistics turnover center to directly provide warehousing and logistics services to Harbin city. The sixth industry of Fuyu City is the tourism industry. The tourism industry in Fuyu is thriving, and the Dajinbei Wetland Park, Zhu'er Mountain Scenic Area, Ciyun Temple, Yuantong Taoist Temple, and Jiangshan Tourist Resort have become famous tourist attractions in Jilin province. The Dajinbei Wetland Tourist Area has completed its overall planning, with a total planned area of 414 hectares, including 234 hectares of water area and 180 hectares of land area.

2.3 Contact method

Contact person of the city (prefecture) where the project is located:

Contact unit: Songyuan Municipal Bureau of Commerce Investment Promotion Service Center

Contact person: Yu Lili

Tel: +86-18004388787