Business Models Help Develop Distributed Photovoltaic Industry

It is China’s century-long plan to vigorously develop renewable energy such as photovoltaic power generation. The state should study the top-level design of China’s energy development without any interference from interest groups and adopt more effective policies and measures to develop renewable energy such as photovoltaic power generation.

Since the reform and opening up, with the rapid development of China's economy, China is also facing environmental pressure to no avail. If we are not determined to completely change the current mode of economic development, energy structure, and consumption patterns, we will not achieve energy transformation in the next 20 or 30 years. Energy shortages and continued environmental deterioration will not be fundamentally improved.

Over time, not only the ecological environment has been destroyed, conventional resources have been depleted, and economic development has not been sustainable. It should be clearly understood that vigorously developing renewable energy such as photovoltaic power generation is China’s century-long plan and the only way out for China’s sustainable development of energy and the environment. The state should study the top-level design of China's energy development without formulating interference from any interest groups, formulate scientific energy strategies and targets, and adopt more effective policies and measures to develop renewable energy such as photovoltaic power generation.

Three-point model

The most widely discussed recently is the distributed photovoltaic power generation system. The generalized distributed photovoltaic power generation system includes not only distributed grid-connected photovoltaic systems but also off-grid photovoltaic systems. The more stringent definition is as follows: Distributed generation (Distributed Generation), usually It refers to small-sized, modular, decentralized, near-user power generating units with power generation capacity of several kilowatts to several tens of megawatts. Mainly include: internal combustion engines, micro gas turbines, cogeneration units, fuel cell power generation systems, solar photovoltaic power generation, wind power generation, and biomass energy power generation using liquid or gas fuels.

There are currently three types of distributed generation systems. First, the photovoltaic system is directly integrated into the medium-voltage public power distribution network through transformers, and the load in the area is supplied through the public distribution network. Its business model can only be the on-grid price, that is, all the power generation is sold in accordance with the on-grid PV power price. For grid companies.

Secondly, the photovoltaic system is connected to the grid at the low-voltage or medium-voltage user side. Without the energy storage system, it cannot be operated off the grid. At present, over 90% of China's building photovoltaic systems belong to this category. The business models adopted are various: Feed-in Tariff model, Net Metering model, and Self-sumption model (ie, self-use, over-net mode). This is the largest form of photovoltaic application in the world. China's Golden Sun demonstration project and photovoltaic construction project all fall into this category. China's forthcoming distributed photovoltaic subsidy policy is also aimed at such forms.

The third type is that the photovoltaic system is connected to the low-voltage user side and has an energy storage system that can be operated off the network. This form is a networked microgrid. The business model used is self-use, with Internet access. This type is currently almost no domestic.

What needs to be pointed out here is that as long as it is grid-connected inside the grid with the user's gateway billing meter, photovoltaic systems that are used for their own use should be considered as captive power plants; distributed generation does not necessarily have to be used for self-use. The business model of the Internet can also adopt the same on-grid price policy as the large-scale photovoltaic power plants, and can be purchased or un-registered.