China’s National Energy Administration (NEA) has reportedly ordered electricity distributors to keep giving priority to wind farms in the northeastern region to ensure that the producers there can dispatch their power.
Despite much improvement, about 10 percent of the wind energy generated in the country gets wasted as it cannot be consumed in the remote areas where the power is generated, and as the producers cannot transmit the power to energy-hungry regions due to lack of grid capacity.
To fill the supply void left by hydropower (which is highly seasonal depending on the rainfall), wind power should be considered first, the NEA said, on top of setting a specific wind power dispatch target.
Network congestion, unstable carbon credit income and a possible rise in maintenance costs are issues wind energy firms will continue to wrestle with, but policy tailwind will at least help ease some of the pressure.
About 3 percent of China’s power now comes from wind. It will take years before it can catch up with the number two power source — hydro electricity, which contributes about 17 percent of the total power. So, authorities still have a lot of work to do.
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