User:FacultiesIntact/sandbox/Smart Grid in China
China is the world's largest consumer of electricity, and its demand rapidly increased during the first decade of the 21st century. It is expected to double over the next decade, and triple by 2035. In 2010, 70 percent of China's electricity generation came from coal-fired power plants, but now the Chinese government is investing heavily in renewable energy technologies. As of 2011, 7 percent of China's electricity generation comes from renewable sources, and their latest goal is to increase renewable energy to 9.5 percent of overall consumption by 2015. To implement China's new clean energy capacity into the national power grid, and to improve the reliability of the country's existing infrastructure, requires significant upgrades and ultimately, a smart grid.[1]
A smart grid differs from a conventional power grid in that it includes a system of information and communication technologies to bidirectionally transmit and distribute electricity more efficiently and reliably. Additionally, smart grid technology allows consumers to manage their power usage and make choices for economically efficient products and services. China's national utility, the State Grid Corporation of China (SGCC), is responsible for the oversight of these upgrades.
Technology
Smart meters
During 2011 SGCC took bids for 44 million smart meter units. In total, 65 companies received bids for smart meters from SGCC. The total smart meter market in China is estimated to be 330 million smart meter units worth approximately $7.7 billion USD. By 2011, SGCC had deployed 45 million smart meter units. All SGCC users are expected to be equipped with smart meters by 2014.[2]
Top 10 Smart Meter Bid Winners in the First Four Biddings of SGCC, 2011[3]
- Jiangsu Linyang Electronics Co., Ltd 6.48%
- Waision Group Holdings Limited 6.07%
- Shenzhen Clou Electronics Co., Ltd. 5.95%
- Nigbo Sanxing Electric Co., Ltd. 5.54%
- Holley Metering Limited 4.14%
- Ningxia LGG Instrument Co., Ltd. 3.89%
- Hangzhou Hexing Electrical Co., Ltd. 3.85%
- Shenzhen Haoningda Meters Co., Ltd. 3.70%
- Shenzhen Kaifa Technology Co., Ltd. 3.63%
- Shenzhen Techrise Electronics Co., Ltd. 3.12%
Battery Energy Storage Station
In December 2011 construction on battery energy storage station residing in Zhangbei, Hebei Province was completed by BYD and SGCC. The storage station is capable of storing 36 MWh of energy in a series of lithium iron-phosphate batteries approximately the size of a football field. Designed to be implemented in conjunction with a 140 MW expansion of renewable energy (solar and wind), this project is worth over $500 million USD.[4][5]
Digital Substations
The first digital substation was built in China in 2006. By 2009 China had implemented more than 70 digital substations.[6] The implementation of digital substations is critical to the smart grid because of it allows for processing of energy generated from conventional and renewable sources, protects the grid from attack, and communicates with the rest of the grid.
Flexible Power Transmission
Flexible power transmission is important to the development and expansion of China's power grid due to the distance between energy resources and load. In order for flexible power transmission to be achieved by the Chinese smart grid, substantial infrastructure upgrades must be made to the existing power grid. This is primarily being done by upgrading the existing power grid to a system capable of transmitting ultra high voltage AC and ultra high voltage DC power. Over half of China's investment in flexible power transmission is in the form of static VAR compensators or SVCs. In 2009, SGCC announced its plan to invest approximately 88 billion dollars in ultra high voltage equipment.[6]
Electric Vehicle Charging Equipment
In August 2009 SGCC established its first commercially available electric vehicle charging station, the Caoxi Electrical Vehicle Charging Station. As of 2010, 76 electric vehicle charging stations have been build in 41 Chinese cities. Continued investment in electric car infrastructure reflects the country's goal of having 500,000 electric, hybrid and fuel-cell vehicles on the road by 2015 and 5 million by 2020,.[6][7]
| City | Charging Stations | City | Charging Stations |
| Shanghai | 6 | Changchung | 1 |
| Beijing | 5 | Hangzhou | 1 |
| Tianjin | 5 | Suzhou | 1 |
| Jinan | 5 | Wuxi | 1 |
| Nanjing | 5 | Xiamen | 1 |
| Dalian | 4 | Changsha | 1 |
| Hefei | 4 | Zhengzhou | 1 |
| Xi'an | 4 | Guangzhou | 1 |
| Harbin | 3 | Chongqing | 1 |
| Chengdu | 3 | Kunming | 1 |
| Nanchang | 2 | Lanzhou | 1 |
| Wuhan | 2 | Taiyuan | 1 |
| Shenzhen | 2 | Yinchuan | 1 |
Deployment and Deployment Attempts
Pilot Programs
Currently China has an agreement with the US to deploy its first smart grid pilot project. Honeywell corporation was selected in 2011 to develop and implement the technology and expertise to improve energy use in commercial buildings. The project is part of a grant agreement between the State Grid Electric Power Research Institute (SGEPRI), a subsidiary of State Grid Corporation of China, and the US Trade and Development Agency. According to a [9] press release, "China's goals for a smarter electrical grid is to manage the growing electricity demand side and to enhance electrical infrastructure's reliability and efficiency by giving utility customers ways to better manage their electricity use and cost, increasing their energy efficiency and supporting the integration of renewable energy sources"[9] A better connection between residential and industrial electricity customers and grid operators needs technologies to measure day-to-day energy use and to broadcast when the energy use spikes and outpaces the ability to generate power. Implementation of this pilot project will give State Grid Corporation of China exposure to the latest technologies and perspective on how to realize the benefits of the smart grid. China is the World's largest Transmission and Distribution market with capital expenditures on power lines growing at an annual rate of 15 to 20 percent until 2018.[10] With this level of investment, US companies can test and commercialize technology in China at a faster and larger scale than in other parts of the World, including developed countries.
Upcoming Deployments
According to the Chinese authorities, a strong and robust smart grid market would total $20 billion annually by 2015. Rolling out Ultra-High Voltage (UHV) transmission systems would account for more than 60% of that market, while smart meters and wind power connectivity could reach $2 billion and $800 million annually respectively. According to State Grid Corporation of China, the period 2011-15 is going to be dedicated to the promotion of smart grid construction. 2011 has been devoted to pilot implementation, and in 2012 equipment market will raise.
References
- ^ "]China's Energy Consumption Rises the Wall Street Journal". Wall Street Journal. 2011. Retrieved 11 April 2012.
- ^ "China's smart meter market potential – 330m meters, $7.7bn". Retrieved 10 April 2012.
- ^ "China Smart Meter Industry Report, 2011–2012". Research in China. 2011. Retrieved 10 April 2012.
- ^ "Massive battery energy storage station kicks off in China". Gigaom. 2012. Retrieved 10 April 2012.
- ^ "China & BYD Launch Largest Battery Energy Storage Station in World". CleanTechnica.com. 2012. Retrieved 10 April 2012.
- ^ a b c "Marketing Information". smart grid tec - china. 2010. Retrieved 9 April 2012.
- ^ "China's largest electric car charging station opens in Beijing". xinhuannet. 2012. Retrieved 9 April 2012.
- ^ "China Electric Vehicle Charging Station Market Report,2010". Research in China. 2010. Retrieved 10 April 2012.
- ^ a b "Honeywell And TEDA Launch China's First Demand Response Project Under United States-China Smart Grid Cooperative". 2012. Retrieved 10 April 2012.
- ^ "Can the smart grid live up to its expectations?". Mckinsey news. 2011. Retrieved 10 April 2012.