1. Distributed power generation price
(1) National photovoltaic subsidies
The distributed power supply is implemented in accordance with the full power subsidy policy. The electricity price subsidy standard is: village-level photovoltaic poverty alleviation power station or distributed power supply commissioned before January 1, 2018 subsidy 0.42 yuan/kW·h (tax included, the same below); Distributed power supply subsidies put into operation after January 1, 2018 are 0.37 yuan/kW·h, which will be paid through the Renewable Energy Development Fund and transferred by the grid company. The electricity generated by the distributed power system for self-use and the remaining on-grid will be purchased by grid companies at the benchmark on-grid electricity price of local coal-fired generating units. The distributed power system’s own electricity consumption is exempt from various funds and surcharges levied with electricity prices, as well as system reserve capacity fees and other related grid-connected service fees. In principle, the national subsidy period is 20 years.
2. Provinces (autonomous regions, municipalities) photovoltaic subsidies
Since the National Development and Reform Commission issued the national distributed photovoltaic subsidy standard in August 2013, all provinces and cities across the country have successively introduced subsidy policies in various regions on this basis.
Taking Yancheng City, Jiangsu Province as an example, the construction of a distributed power project, which will be put into operation in 2018, can obtain the national photovoltaic subsidy standard of 0.37 yuan/kW·h, and the subsidy period is 20 years; in addition, Yancheng City recognizes 20 industrial and commercial distributed power generation projects each year, and provides a municipal subsidy of 0.1 yuan/kW·h based on their actual power generation. The maximum annual power generation subsidy for a single project does not exceed 300,000 yuan. In addition, if the components produced in Yancheng are used, a municipal subsidy of 0.1 yuan/kW·h will be given. Therefore, if the project uses components produced in Yancheng City and enters the 20 projects each year after application, a total of 0.57 yuan/kW·h of photovoltaic subsidies can be obtained.
2. Internet price of distributed power supply
According to the solar resource conditions and construction costs of various regions, the country is divided into three types of solar resource areas, and the corresponding distributed power benchmark on-grid electricity prices are set.
The part of the benchmark on-grid electricity price of distributed power generation that is higher than the benchmark on-grid electricity price of local coal-fired units will be subsidized through the Renewable Energy Development Fund.
Taking Jiangsu Province as an example, for distributed power generation or village-level photovoltaic poverty alleviation power stations that were put into operation before January 1, 2018, the benchmark on-grid electricity price is 0.85 yuan/kW·h. For distributed power sources put into operation after January 11, 2018, the benchmark on-grid electricity price is 0.75 yuan/kW·h. This is a manifestation of the state’s policy support for poverty alleviation work across the country.