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People's Republic of China

Electricity Sector Regulation

Tariffs are set by the National Development and Reform Commission*. The State Electricity Regulatory Commission (SERC)* is overseeing the development of electricity wholesale markets, and will assume responsibility for licensing and for determining wholesale prices through these markets when they are ready.

Tariffs

Electricity prices are determined by the regulator. Transmission and distribution/retail prices are bundled and separate from generation tariff.

Generation Tariff:
varies but $0.037 per kWh may be taken as average
Transmission and Distribution/

Retail Tariff:
varies, with cross-subsidies, but $0.0527 per kWh may be taken as average

Fuel Mix

Thermal (mainly coal):
82.6%
Hydroelectric:
15.0%
Nuclear:
2.3%
Other:
0.1%

Industry Structure

Transmission and distribution/retail services are provided by two regional grid parent-companies: State Grid Corporation and China Southern Power Grid Corporation*. The performance of each subsidiary company is closely and separately monitored by the respective provincial governments and the parent-company. Generation facilities are mostly owned and managed by the government, but there are many independent power producers (IPPs).

Electricity (2004 data)

Production:
2,187 TWh
Consumption:
2,178 TWh
Trade:
9 TWh (import)

More Information

See Chapter V (People's Republic of China) of the Electricity Sectors in CAREC Member Countries: A Diagnostic Review of Regulatory Approaches and Challenges. [ PDF ]

Visit: www.adb.org/PRC/


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