One of the hidden concerns - vicious competition is unfavorable to the industry fair
China's 280MW photovoltaic bidding results will be released soon. The authority of the National Energy Administration said that the tender will continue to adhere to the "lowest price bid" principle. This means that the lowest price of 0.7288 yuan / kWh reported in the "Qinghai Republic 30 MW grid-connected project" is likely to make the PV feed-in tariff into the "fine ticket era" as the final bid price.
A number of industry experts said that if the on-grid price of 0.7288 yuan / kWh is implemented, the winning bidder will lose money. Why is there anyone else doing "the sale of lost money"? According to the data, among the 13 PV bidding projects that participated in the bidding, among the enterprises that reported the lowest price, the central enterprises accounted for 70%.
The mood of the central enterprises to spare no effort to "enclosure" is evident. According to industry insiders, most of the central enterprises that have won the bid to win the bid for the power market are power central enterprises. One of the reasons is that the power central enterprises mostly use traditional thermal power as the main industry. Under the situation that the government encourages the development of renewable energy, it has entered the photovoltaic market. It is imperative that losing money to enter the market is a strategy; the second reason is that the policy requires that thermal power enterprises must have certain renewable energy power generation quotas, so the power central enterprises are equivalent to accumulating quotas for themselves.
In contrast, PV component manufacturers, mainly private enterprises, are clearly unable to support such low prices. Wuxi Suntech said that if the on-grid price of 0.7288 yuan / kWh is implemented, the company is expected to lose 0.2 yuan per kilowatt hour. Jiangxi Saiwei people said that if the price is above, the company is expected to lose 20%-30%.
This means that in the current situation, if the power central enterprises do not hesitate to spend money, then the private enterprises can not compete with them anyway.
Analysts said that in the current situation of the domestic PV industry is still not mature, if the participation is mainly in the central enterprises that are not sensitive to cost and price, then the market mechanism and efficiency of the industry may gradually fade, which is not conducive to the industry structure. Balance and healthy development.
The second worry - quality or difficult to guarantee
For the PV on-grid price of 0.7288 yuan / kWh, Li Junfeng, deputy director of the Energy Research Institute of the National Development and Reform Commission, said that according to the project accounting, it is estimated that it will take 17-18 years to achieve profitability. However, some experts said that the above figures are still relatively conservative, and it may take 20 years for the real profit to be realized.
It is understood that the price of solar modules used in the Dunhuang photovoltaic power generation project won at 1.09 yuan / kWh last year is about 9 US dollars, so the project is expected to take 16 years to achieve profitability. Today, the price of solar modules has risen to about $12. At this cost, under the price of 0.7288 yuan / kWh, the project will take at least 20 years to achieve profitability.
In addition to the large delay in the profit period, the low on-grid tariff will directly reduce the supply price of photovoltaic components and the profit of suppliers. For the domestic PV component manufacturers, on the one hand, the demand for the international PV market is rising, and on the other hand, the domestic PV market is being squandered by the central enterprises. Many enterprises are not interested in this “obvious loss of the saleâ€.
Wuxi Suntech said that the company's overseas orders as of December next year have been fully booked. The relevant person of Artes also said that if the company fails to win the bid, the company is not sorry.
A supplier who does not want to be named said that the price of solar modules exported to foreign countries has reached 15-16 US dollars. Therefore, even if there are suppliers who are willing to pay a low price or even lose money to supply the winning central enterprises, it is difficult to guarantee. The quality and conversion rate of the battery components. This will bring a series of unpredictable problems, such as frequent failures, high maintenance costs, and a significant delay in profitability. The cost of manpower during the period may double, and this phenomenon is in the existing photovoltaic power plants. Not unusual.
According to industry experts, in fact, if the quality of photovoltaic components is not good or the operation and maintenance work of photovoltaic power plants is not in place, the PV project itself will be damaged. The result is likely to be worth the loss. In the end, it is better to choose a reasonable and moderate bid price. Ensure the healthy and continuous operation of PV projects.
The third worry - or the industry standard down
It is gratifying to realize the "popularization" of photovoltaic power generation in advance. However, industry experts worry that the price of international photovoltaic components is on the rise, the domestic electricity price is low, and the domestic and international cost prices are upside down for a long time, which is likely to bring China's photovoltaic yuan. The standard downgrade of the device.
A domestic battery component manufacturer said that most of the components produced by the company are used for export, and a small number of domestic sales. Due to high export prices and strict international standards, the quality and conversion rate of products used for export must be first-class, and the remaining defective products are in Domestic low price digestion.
According to industry experts, many domestic manufacturers are already implementing “double standards†in terms of photovoltaic components. Nowadays, once the domestic PV concession bidding has generated ultra-low prices, it will only aggravate the adverse effects of “double standards†on the domestic PV market. There are even serious consequences of “bad money driving out good moneyâ€, which is not good for the PV market in the early stage of development in China.
China Securities Journal reporter learned that the procurement of photovoltaic components does not pay attention to quality, shoddy and other phenomena, in the "Golden Sun" project is not uncommon, resulting in a lot of photovoltaic projects in actual operating conditions.
How to avoid the same situation in the PV concession project is a serious challenge. The China Securities Journal reporter learned from the relevant departments of the Energy Bureau that it is a corporate behavior for the PV project investors to choose which quality components to purchase, and the government will not intervene. This means that once the tender is completed, there will be significant loopholes in the future regulatory aspects of the PV concession project. Who will guarantee the normal and healthy operation of the project in the next 20 years? Who is going to urge the current PV project that won the bid is not a bad project in the future? No one can answer these questions at present.
Industry experts have warned that it seems that to avoid the quality problems that may arise in the construction and operation of power stations, we can only hope that the central enterprises responsible for project construction will check their own. However, companies that are eager to win the bid at a low price do not seem to pay enough attention to quality, and the situation is worrying.
The vigorous bidding for photovoltaic concession is coming to an end. Although the results of the bidding have not yet been released, the suspense seems to be small – the central enterprises will not hesitate to win the territory, and the private enterprises will be out of power. However, the story is not over. The industry is worried that under the electricity price of at least 0.2 yuan / kWh below the industry average, the quality and power generation of power plants built in the future will be difficult to guarantee.
The China Securities Journal reporter asked the relevant government departments about this, and the relevant supervision of photovoltaic power plants is still in a vacuum. This means that this huge bidding will not ensure the healthy and stable operation of photovoltaic power plants in the future. If several major power central enterprises achieve centralized bidding at low prices, they may hide the quality, operation quality and industry of photovoltaic components. The series of hidden imbalances such as the imbalance of competition.
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