Water-fired electricity will be the same price change to Guizhou icebreaking

On the 13th, Du Ying, deputy director of the National Development and Reform Commission, revealed at the time of the introduction of the State Council that the State Council promoted economic and social development in Guizhou that it would allow Guizhou to take the lead in carrying out electricity price reforms. Guizhou became the first province in which electricity price reform was piloted.

A person from the Guizhou Electric Supervisory Office revealed to reporters that due to the fact that Guizhou's electric power structure is half of the water, it will consider the implementation of the pilot project of “Hot and Fire Same Price” policy. The on-grid price in Guizhou is far lower than that in the neighboring provinces. The on-grid electricity price in the future is expected to increase, and the economic efficiency of the West-to-East power transmission and power companies will also increase. In the past, once the price of coal was high, the price of on-grid electricity was adjusted once. The scheme would also be implemented in response to the adjustment mechanism of the on-grid price.

According to a reporter from the State Electricity Regulatory Commission, “The preliminary plan for Guizhou's electricity price reform is beginning to be formulated, but it will not be too soon. The preparation of a reform plan in Inner Mongolia took a year.”

Although the clarion call for reform has been sounded, even so, relevant departments and experts are not optimistic about the lack of top-level design for a number of energy system reforms including electricity price reform. Once the reforms enter deep-water areas, they will involve interest groups. In the game, there will be doubts about whether the actual results will be achieved this year. Why choose in Guizhou?

For the reasons for this reform in Guizhou, Du Ying said that due to institutional obstacles that have led to the economic advantages of the Guizhou economy, the electricity price reform will take the lead in Guizhou. “Guizhou has a long-term reserve of coal resources in the country, and there is no other province that has the same water and coal as Guizhou. The coal reserves in one province in Guizhou are the total coal reserves in 12 provinces in southern China,” said Du Ying.

Although Guizhou's hydraulic resources and coal resources are abundant, economic development has been plagued by the "hard shortage" of power shortages. In 2011, the electricity supply in Guangdong, Guangxi, Yunnan, Guizhou, and Hainan covered by the China Southern Power Grid continued to be tight. The contradiction between coal and power was outstanding. The phenomenon of coal shortage was frequent and the regional power shortage was 30% to 40%. The industrial and mining enterprises stopped operating three times.

A middle level reporter from the Guizhou Electric Supervisory Office told reporters that the shortage of electricity in Guizhou is seriously skewed in the tap water, and the cost of coal has risen too fast, accounting for about 85% of the cost of power generation. It has generated much more losses and the new power plant is reluctant to start production as planned. Apart from the factors, there are many high-energy-consuming enterprises in Guizhou, and the economic structure is irrational. Most of the coal in the province directly goes to steel-making plants, so the supply of power coal is insufficient.

According to a survey conducted by the State Electricity Regulatory Commission earlier this month on the Power Supply and demand situation in the South Network region, the electricity gap between Guangxi and Guizhou in January-October last year was more than 30%, and the power supply entered a red alert.

"We are now making preliminary preparations. The design of the tariff reform plan is to eliminate the drawbacks of the mechanism system and solve the power shortage problem," said the Guizhou Power Supervision Office official told the reporter.

Difficulties in electricity price reform Power reform has been a hot topic for many years. The government has stated that it needs to implement reforms for several times. However, due to complicated system and interest relationships, this reform has been progressing slowly and with little success.

According to Zhu Chengzhang, deputy director of the Department of Policy and Regulation of the Ministry of Energy, the authors pointed out that the fundamentals of electricity system reform are electricity prices, and only by rationalizing the electricity price mechanism can the true systemic reforms be carried out.

Establishing a reasonable electricity price mechanism and rationalizing electricity prices should be the ultimate and only goal of the electricity reform. The structure of electricity prices in developing countries has been severely distorted and cross-subsidization has been a prominent problem. It has long been believed that the price of electricity should be kept low, and the reform of electricity prices is particularly difficult.

Electricity price reform is a prerequisite for the electric power industry to develop a competitive market. The World Bank once wrote to warn developing countries that there are four starting points for improving the competitive power market. One of them is that the price of electricity is higher than the cost. Without the government's promise to allow electricity prices to follow the market, the competitive electricity market cannot be carried out.

In the electricity market with a single purchase mechanism in China, the market is unable to operate because there is no balance account mechanism, on-grid tariff, and combined sales price mechanism; serious cross-subsidization and the absence of plans for transmission and distribution costs make direct purchases by large users impossible.

Experts said that the rationalization of electricity prices, currently stuck in the formulation of transmission and distribution tariffs. To formulate a transmission and distribution tariff plan, we must first clarify the cost of transmission and distribution costs. However, various agencies have adopted different pricing systems and standards for the measurement of transmission and distribution costs. Therefore, there is currently no unified and open transmission and distribution tariff.

The above-mentioned Supervisor of the Electricity Regulatory Commission told reporters: “The cost calculation of transmission and distribution costs, although the results of accounting by various agencies are different, there is still a rough price. The key to reform is the game of interest groups. Due to the constraints of all parties, this year’s reforms are difficult. Get real progress."

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