Sectoral Capsule - Wind Power Market in China (2014-2018) - Blowing Hot
China’s total installed wind power capacity reached 91.4 GW in 2013. Nearly 16.1 GW of wind capacity was added in the year, increasing the total installed capacity by 21 percent. For the third consecutive year China’s addition was more than any other country’s in the world; the trend is expected to continue for the next few years.
The wind power sector in China is facing the problem of power transmission from turbines, especially in the remote north eastern part of the country. Overall, wind power accounted for 134.9 billion kwh of electricity in 2013, recording a growth of 34 percent year-on-year and contributing 2.6 percent of the country’s total electricity generation. China’s total installed electricity generation capacity was predicted at 1,145 GW at the start of 2013. By the end of the year, wind energy accounted for the third largest installed capacity (5 percent), after coal and hydropower China is exploring opportunities in the energy sector to promote further growth, including energy efficiency (EE), market pricing, competition and renewable projects. The country is also looking to attract private investment sector by streamlining its approval procedure and fostering transmission links.
China is currently the leader in Asia in the implementation of smart grid and Transmission & Distribution (T&D). It is also emphasizing on investment in ultra high voltage (UHV) transmission to stimulate growth in the renewable energy sector. The estimated investment to build UHV infrastructure by 2015 would amount to USD 75.5 billion.
The renewable sector in China is flooded with a steady investment flow over the last decade.. Global new investment in renewable power stood at USD 214.4 billion in 2013 - a drop of 14 percent compared to the investment level in 2012. In contrast, China kept on increasing its level of investment each year for the last ten years.
Despite of several challenges the wind power sector in estimated to grow in 2014. Annual installations are predicted to increase backed by favourable government initiatives.