Okay, let’s break down the key takeaways from this document regarding electricity billing for “nearby consumption projects” (likely referring to on-site generation and consumption, like solar or wind power directly used at a facility). Here’s a summary, categorized for clarity:
1. Capacity (Demand) Electricity Bill – The core Change
* New Calculation: The primary shift is how capacity charges are calculated.Instead of the conventional two-part transmission and distribution price model, there’s a new formula:
* Capacity Bill = Policy-based Capacity Charge + (Voltage Level Price * Average Load Rate * 730 hours * Grid Connection Capacity)
* Key Components of the New Formula:
* policy-Based Capacity Charge: This is determined by current regulations.
* Voltage Level Price: The standard electricity price for the voltage level of the connection.
* Average Load Rate: this is a crucial factor, currently set at the average for industrial/commercial users with 110kV+ connections. It’s calculated by the grid operator and approved by provincial authorities. This is a key variable impacting the cost.
* 730 Hours: A fixed number of hours used in the calculation (likely representing peak demand hours).
* Grid Connection Capacity: The total capacity connected to the public grid, including:
* Power receiving transformers
* High-voltage motors not connected through transformers.
* Option to Stay with Old Model: Projects needing high reliability and backup capacity can opt to continue with the traditional two-part transmission and distribution pricing.
2. System Operation Fee
* initial Approach: Initially, the system operation fee will be based on the grid power used.
* Transition: The plan is to move to a fee based on capacity occupied (how much capacity the project reserves on the grid).
* Self-Consumption Incentives: There’s a temporary exemption of cross-subsidies for self-consumed electricity (electricity generated and used on-site). New cross-subsidies for self-consumption will be introduced.
3. Power Market Participation
* equal footing: The project is treated as equal to other power generators and users.
* Market-Based Pricing:
* Spot Market areas: Trading and settlement will follow market rules.
* Non-Spot Market Areas: Reverse power transmission (selling excess power back to the grid) is generally not allowed.
* new Energy Price Exclusion: The project’s grid power supply is not included in price settlement mechanisms designed for the sustainable development of new energy.
* Direct market participation: The project must directly participate in market transactions when consuming electricity. The grid company cannot act as an intermediary.
* Wire Loss Costs: The project bears the cost of wire losses (energy lost during transmission) when using the grid.
4. Implementation & Oversight
* Provincial responsibility: Provincial price authorities are responsible for tracking, monitoring, and providing feedback on the implementation.
* Policy Guidance: They must also interpret the policy and guide project owners.
* Grid Connection Process:
* Project owners file with local authorities.
* They apply to the grid company for connection.
* They independently determine grid capacity.
* They sign contracts (power supply, purchase, grid connection) with the grid company.
* Grid Company audits: Grid companies must audit connections and provide settlement services based on filed documents.
* Reporting: Grid companies must report monthly data on fees to provincial authorities.
5.Effective date
* October 1, 2025: This is when the new rules take effect.
* Existing Projects: Local price authorities will handle the transition for projects already connected before this date.
In essence,this document outlines a move towards a more market-oriented and transparent electricity billing system for nearby consumption projects,with a greater emphasis on capacity charges and direct market participation. The average load rate and grid connection capacity will be key factors in determining costs.
Do you have any specific questions about any of these points, or would you like me to elaborate on a particular aspect? For example, are you interested in how the average load rate is calculated, or the implications of not being able to sell excess power back to the grid in non-spot market areas?