Corporate Net Zero pathways: Guangdong releases its ESS development for the 14th FYP, targets 2 GW by 2025

Since the release of NEA’s policy to promote the development of independent energy storage systems (ESS), Guangdong Energy Bureau announced several actions to promote energy storage development during the 14th FYP:

  • Power generation side: Continue to promote the construction planning of joint frequency regulation of “thermal power + energy storage” projects, carry out research on bundled energy storage facilities for offshore wind power and solar PV. In large-scale offshore wind power development bases such as Yangjiang, Shantou, and Jieyang, as well as areas with a large number of utility-scale solar PV projects, deploy multi-energy complementary pilot projects relying on coastal stocks of coal power, and give full play to the regulation capacity of thermal power units and new energy storage facilities to promote the efficient consumption and utilization of new energy.
  • Power grid side: Lay out power grid-side energy storage stations in key transmission channels of the power grid and key locations such as those with high load density or large-scale new energy connection, and areas with challenges regulating peak load, frequency, and voltage. Promote ESS’s peak, frequency, and voltage regulation, accident backup, and black start to reinforce local power grids in the Pearl River Delta and areas with strong wind resources, as an important means to improve the system’s ability to resist emergencies and recovery after failures.
  • Power user side: Promote the integrated construction of “power generation-grid-load-energy storage” (源网荷储) in urban commercial and office areas and residential areas, relying on solar PV power generation, microgrids and charging infrastructure. Guide users to participate in building a distributed energy supply system. Encourage enterprise users or integrated energy service enterprises to independently build energy storage facilities according to the characteristics of user loads, explore new models such as shared energy storage, interaction between electric vehicles and smart grids. Explore the development of new trends such as smart energy and virtual power plants.
  • Large-scale independent energy storage system: Encourage the construction of independent energy storage stations and explore commercial models for independent ESS projects to generate revenues through ESS leasing and service offerings and optimize their operation and regulation capacity.
  • Flexible load aggregation platform: build a flexible and centralized load control module, remotely monitoring and managing various types of response resources on a “considerable, measurable, adjustable, and controllable” basis. Coordinate energy storage, charging stations, interruptible industrial loads, and air conditioning loads in the province to achieve demand-side response, and provide frequency regulation, peak shaving, backup, rotation inertia and other ancillary services for new power systems.

As one of the provinces with the largest grid flexibility challenges, the development of energy storage in Guangdong is anticipated to accelerate. According to Guangdong Energy Bureau, the total installed capacity of energy storage system amounted to 456MW/388MWh in Guangdong by the end of 2021 while the government aims reach more than 2GW by the end of 2025.


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