State Energy Administration: Large-scale industrial and commercial distributed photovoltaic power generation projects can be connected to users for dedicated power supply.

On January 23, the National Energy Administration released the policy interpretation of the "Management Measures for the Development and Construction of Distributed Photovoltaic Power Generation," stating that in areas where the electricity spot market operates continuously, price signals in the electricity market can guide large industrial and commercial distributed photovoltaic power generation projects to achieve a high proportion of self-use as much as possible. And in times of tight power supply, surplus electricity can be sold back to the grid to ensure supply. Therefore, the "Management Measures" allow large industrial and commercial distributed projects in areas where the electricity spot market operates continuously to participate in the spot market using the self-use surplus electricity model. In addition, it allows large industrial and commercial distributed photovoltaic projects to adjust to centralized photovoltaic power stations when there are significant changes in electricity load, providing them with more options. The original text is as follows: Policy Interpretation of the "Management Measures for the Development and Construction of Distributed Photovoltaic Power Generation" Recently, the National Energy Administration revised and issued the "Management Measures for the Development and Construction of Distributed Photovoltaic Power Generation" (hereinafter referred to as the "Management Measures"), aimed at further promoting the healthy and sustainable development of distributed photovoltaic power generation. Now let's interpret the background, guiding ideology, revision principles, main contents, etc. of the "Management Measures." I. Background of the Revision of the "Management Measures" In 2013, the National Energy Administration issued the "Interim Measures for the Management of Distributed Photovoltaic Power Generation Projects" (National Energy Administration New Energy [2013] No. 433, hereinafter referred to as the "Interim Measures"), which clarified the relevant policies and requirements for the development of distributed photovoltaic power generation, playing a positive role in the rapid development of the industry. Over a decade after the introduction of the "Interim Measures," there have been significant changes in the development of the distributed photovoltaic power generation industry, making it necessary and urgent to revise the measures. In terms of scale, by the end of 2013, the national cumulative grid-connected photovoltaic power generation installed capacity was 19.42 million kilowatts, of which distributed photovoltaic reached 3.1 million kilowatts, accounting for 16% of the total. By the end of 2024, the cumulative installed capacity of distributed photovoltaic power generation reached 370 million kilowatts, 121 times that of the end of 2013, accounting for 42% of all photovoltaic power generation installed capacity and 11% of the total national power generation installed capacity. In terms of additional installed capacity, in 2024, the additional installed capacity of distributed photovoltaic power generation reached 120 million kilowatts, accounting for 43% of the new photovoltaic power generation installed capacity that year. In terms of electricity generation, in 2024, the electricity generation of distributed photovoltaic power generation was 346.2 billion kilowatt-hours, accounting for 41% of the total photovoltaic power generation. Regardless of cumulative installed capacity, additional installed capacity, or electricity generation, the trend of coexistence and equal importance between distributed and centralized photovoltaic power generation is evident. Distributed photovoltaic power generation has become an important force in energy transformation. In terms of the development environment, the price of photovoltaic modules has decreased from around 5 yuan per watt in 2013 to around 0.7 yuan per watt currently. New energy, including distributed photovoltaic power generation, has entered a stage of market-oriented development without subsidies. The provisions established around financial subsidies in the "Interim Measures" are no longer applicable. The country has gradually established development guidance mechanisms such as renewable energy power acceptance responsibility weighting and distributed photovoltaic power generation access distribution network carrying capacity assessment. The "Management Measures" need to institutionalize and improve some good mechanisms and practices at the national and local levels, keeping pace with the times. In terms of major contradictions and prominent issues, with the explosive growth of distributed photovoltaic power generation, grid connection and absorption have become the main contradictions restricting development. There is an urgent need to adjust management thinking, coordinate source-network-load-storage efforts, and promote the healthy and rapid development of distributed photovoltaic power generation. In terms of prominent issues, in recent years, as distributed photovoltaic power generation, especially household photovoltaic, continues to expand and develop, some companies develop projects in the name of natural persons, causing infringements on the interests of farmers in the development and construction of some projects, which urgently need to be standardized. II. Guiding Ideology and Principles of the Revision of the "Management Measures" The "Management Measures" will support the combination of supporting and regulating the development of distributed photovoltaic power generation. Support what needs to be supported and adhere to what needs to be adhered to. It is necessary to promote development and address the constraints faced by the industry, such as insufficient grid connection and absorption capacity. At the same time, it is essential to regulate the market, resolutely correct unreasonable phenomena in development, and strictly regulate the industry to adapt to new situations and changes, effectively safeguard the legitimate rights and interests of both producers and users, especially farmers, and promote the improvement of the quality of distributed photovoltaic power generation while increasing its quantity. Distributed photovoltaic power generation has many nodes, a wide range, involves multiple entities, and has complex interests. The revision of the "Management Measures" adheres to the following four principles. First, adhere to a systemic concept, focusing on the essential requirement of distributed photovoltaic power generation for localized development and utilization. The essential difference between distributed photovoltaic power generation and centralized power stations lies in the development of the user side for localized consumption. The "Management Measures" adhere to the essential characteristics and requirements of distributed photovoltaic power generation, such as definition, classification, and grid-connection mode, emphasizing the proportion of self-use in projects, returning to the "original intention" and essence of distributed photovoltaic power generation. Second, prioritize the people, effectively protect the legitimate rights and interests of users, especially farmers. Distributed photovoltaic power generation is the most closely related power source to users. Distributed photovoltaic power generation must fully respect the wishes of users and establish good interactions with users to achieve sustainable development. The "Management Measures" refine the requirements at various stages such as leasing users' rooftops, record-keeping, development, construction, and operation to effectively protect the interests of users, especially farmers, making distributed photovoltaic development more beneficial to rural farmers and empowering rural revitalization. Third, focus on problem-oriented approaches and highlight key management issues. Focus on key points such as definition, classification, grid-connection mode, and grid connection capacity to clarify and correct new issues facing the industry. Covering all aspects of distributed photovoltaic power generation development and construction, from project planning to record-keeping, construction, grid connection, and operational management, the "Management Measures" clearly define key management requirements to ensure practical and effective management. Fourth, adhere to differentiated management to enhance operability. While covering all forms of distributed photovoltaic power generation, the "Management Measures" ensure clear boundaries, laying the foundation for differentiated and targeted management of different types of distributed photovoltaic power generation projects and providing support for provincial energy supervisory departments to formulate and implement detailed regulations based on practical circumstances. III. Main Contents of the "Management Measures" The "Management Measures" consist of seven chapters, including General Provisions, Industry Management, Record-keeping Management, Construction Management, Grid Connection, Operational Management, and Supplementary Provisions, with a total of 43 articles. It covers the definitions, classifications, and management requirements for each stage of the project life cycle of distributed photovoltaic power generation, emphasizing industry supervision, investmentThe responsibilities required by various parties such as power grid enterprises form a supportive and normative management system that extends horizontally to the edge and vertically to the bottom.() What is distributed photovoltaic power generation? In terms of definition, highlight three basic characteristics, namely development at the user side, connection to the distribution network, and near-balancing regulation within the distribution network system. In terms of classification, focus on three elements, namely construction site, access voltage level, and installed capacity, subdivided into four types: residential, non-residential, general industrial and commercial, and large industrial and commercial. Regarding grid connection modes, clarify three methods, namely full grid connection, all self-consumption, and self-consumption with excess electricity fed into the grid. Residential and non-residential users can choose any of the three modes, general industrial and commercial users can choose between all self-consumption and self-consumption with excess electricity fed into the grid, with the proportion of self-consumed electricity to total electricity determined by provincial energy authorities, and large industrial and commercial users should generally choose the all self-consumption mode, fully reflecting a differentiated management approach. () How to manage the industry. At the national level, the primary consideration is to coordinate the development needs of distributed photovoltaic power generation, promote the integration of multiple scenarios, strengthen industry monitoring throughout the process, timely improve industry policies, standardize standards, and establish an overall framework to support and regulate the development of distributed photovoltaics. Provincial energy authorities should coordinate with local energy authorities to determine the scale of distributed photovoltaic power generation in their respective regions and guide grid companies in carrying out supporting renovation and upgrade investment plans. County-level energy authorities should focus on specific implementation work. In the development of distributed photovoltaic power generation, the wishes of the owners of buildings and their ancillary sites should be fully respected, and local governments should not affect the business environment by means of franchise operation, etc. () How to handle registration. The "Management Measures" clearly state that distributed photovoltaic projects are subject to registration management, and the registration subject is determined according to the principle of "who invests, who registers." The registered capacity is the AC side capacity. The Measures also detail the requirements for registration information, consolidated registration, registration changes, and filing requirements, emphasizing that additional registration document requirements and exceeding processing deadlines are not allowed. In response to the practice of still registering distributed photovoltaic projects in the name of individual households, the Measures emphasize that projects developed and constructed by non-natural persons shall not be registered in the name of individuals, in order to effectively protect the interests of rural households from harm. () How to build projects. The "Management Measures" specify detailed requirements for the preliminary preparation, agreement signing, technical requirements, procedures processing, and design and construction of distributed photovoltaic projects. Construction can only begin after obtaining the grid company's approval for access. It should strictly adhere to relevant management regulations and standard specifications for equipment, construction projects, and safety production, ensuring project construction quality and safety, and conducting acceptance work. () How to connect to the grid. The "Management Measures" specify the basic requirements for grid enterprises and the prohibited behaviors, and set out requirements for grid connection applications, acceptance and replies, access system design, acceptance and replies, investment interface segmentation, signing grid connection agreements, and grid connection and operation requirements. Grid companies should establish differentiated grid connection work systems for different types of distributed photovoltaic projects. Particularly in terms of grid carrying capacity for distributed photovoltaic, grid companies should cooperate with provincial energy authorities to conduct assessments, establish quarterly published and warning mechanisms for distribution network open capacity, and guide scientifically and reasonably layout of distributed photovoltaic, ensuring grid requirements. At the same time, the "Management Measures" also require new projects to meet the requirements of "observable, measurable, adjustable, and controllable" to enhance the grid connection capacity and regulation capabilities of distributed photovoltaic power generation. () How to standardize operation. The "Management Measures" specify requirements for the safety production, dispatch operation, mode innovation, operation and maintenance management, information management, absorption monitoring, transformation and upgrade of distributed photovoltaic projects, forming a closed-loop management system. In terms of mode innovation, projects are permitted to participate in dispatch through forms such as microgrids, source-grid-load-energy storage integration, and virtual power plant aggregation, and large industrial and commercial distributed photovoltaic projects can establish special power supply lines with users. Because distributed photovoltaic projects are widely dispersed and large in quantity, and conditions and foundations for development vary greatly in different regions, the "Management Measures" suggest that each provincial energy authority can, in conjunction with the National Energy Administration's dispatched institutions, define specific implementation rules that adapt to the actual conditions of the province (autonomous region, municipality). Four. Several issues that need to be explained () Regarding the "distinction between new and old projects." Ensuring the connection and clear distinction between new and old policies is a concentrated opinion within the industry. Therefore, the "Management Measures" state in the registration section: "Distributed photovoltaic projects developed and constructed by non-natural persons shall not be registered in the name of individuals. For projects that have been registered in the name of individuals before the issuance of these Measures, there is no need to change the registration subject, and they shall be managed according to the original project type...". Moreover, in the appended clauses, it further clarifies, "These Measures shall come into effect on the date of issuance and have a validity period of five years. The "Interim Measures for the Administration of Distributed Photovoltaic Projects" are simultaneously abolished. For distributed photovoltaic projects that have been registered before the issuance of these Measures and are connected to the grid and put into operation before May 1, 2025, they shall continue to be managed according to the original policies.", providing a sufficient transition period for projects registered before the issuance of these Measures. () Regarding the consideration of the grid connection mode for large industrial and commercial distributed photovoltaic projects. Considering that in areas where the electricity spot market operates continuously, the price signals in the electricity market can guide large industrial and commercial distributed photovoltaic projects to achieve high levels of self-consumption as much as possible and play a role in ensuring supply by feeding excess electricity into the grid during periods of tight electricity supply, the "Management Measures" allow large industrial and commercial distributed photovoltaic projects in areas with continuous electricity spot market operation to participate in the spot market through the self-consumption of excess electricity model. Furthermore, it allows large industrial and commercial distributed photovoltaic projects to adjust their projects to centralized photovoltaic power plants when there are significant changes in electricity user loads, providing them with more flexibility. () Regarding agricultural-photovoltaic complementation, fishery-photovoltaic complementation, and small ground stations. Agricultural-photovoltaic complementation, fishery-photovoltaic complementation, and small ground stations usually have small loads and low self-consumption of electricity, often operating in a full grid connection mode. From the perspective of power generation characteristics, they do not match the basic positioning of distributed photovoltaic power generation for local development and utilization. Additionally, such projects have complex land use situations, inconsistent local management methods, and exist in a certain gray area. Based on the fact that they are widely dispersed and of large quantity, and that development conditions and foundations vary greatly in different regions, the "Management Measures" propose that each provincial energy authority may, in cooperation with the National Energy Administration's dispatched institutions, formulate implementation rules that are adapted to the actual conditions of the province (autonomous region, municipality) in accordance with these Measures.In terms of planning, agricultural-photovoltaic complementary, fisheries-photovoltaic complementary, and small-scale ground-mounted photovoltaic power generation projects are classified under centralized photovoltaic power station management. For the above-mentioned smaller-scale projects, provincial energy authorities can prioritize arrangements based on actual situations when formulating annual development and construction plans and organizing competitive allocation, simplifying project filing and related management procedures, and coordinating with power grid enterprises to ensure smooth grid connection work.This article is selected from the official website of the National Energy Administration, edited by GMTEight: Jiang Yuanhua.