## Revised *Air Pollution Prevention and Control Law of the People's Republic of China* Officially Promulgated and Implemented

On the 29th, the 16th Session of the Standing Committee of the 12th National People's Congress voted to adopt the revised *Air Pollution Prevention and Control Law of the People's Republic of China*, which was promulgated by President Xi Jinping via a Presidential Decree. The newly revised law came into force on January 1, 2016.

The revised *Air Pollution Prevention and Control Law* consists of 8 chapters and 129 articles. In addition to the General Provisions, Legal Liabilities, and Supplementary Provisions, it separately stipulates contents such as standards for air pollution prevention and control and time-limited compliance plans, supervision and management of air pollution prevention and control, measures for air pollution prevention and control, joint prevention and control of air pollution in key regions, and response to heavy pollution weather.

 

## SDIC Power's H1 2015 Performance: Total Loan Balance Reaches RMB 100.6 Billion

On August 28, SDIC Power released its 2015 semi-annual report. Its operating income was approximately RMB 14.926 billion, a year-on-year increase of 2.08%; the net profit attributable to shareholders of listed companies was about RMB 2.45 billion, a year-on-year increase of nearly 22% compared with approximately RMB 2.016 billion in the same period of 2014.

By the end of H1 2015, the installed capacity of controlled power generation projects put into operation by SDIC Power had reached 25.871 million kilowatts, of which hydropower accounted for 62.3%, thermal power 35.2%, and new energy the remaining 2.5%. Notably, by the end of June 2015, the balance of short-term and long-term loans of SDIC Power had reached as high as RMB 100.6 billion.

## China National Nuclear Power Releases First Semi-Annual Report: 150.45% YoY Growth in H1

On the evening of August 30, China National Nuclear Power released its first semi-annual report since its listing. In H1 2015, the company achieved an operating income of RMB 12.893 billion, a year-on-year increase of 52.53%; the net profit attributable to shareholders of listed companies was RMB 2.473 billion, a year-on-year increase of 150.45%; the basic earnings per share after deducting non-recurring gains and losses was RMB 0.207, a year-on-year increase of 140.70%. During the reporting period, China National Nuclear Power generated a total of 36.667 billion kilowatt-hours of electricity.

## Power Construction Corporation of China's H1 2015 Performance: Operating Income of RMB 93.651 Billion

In H1 2015, Power Construction Corporation of China (PowerChina) secured new contract value of RMB 133.559 billion, a year-on-year increase of 18.70%; achieved operating income of RMB 93.651 billion, a year-on-year increase of 9.40%; realized total profit of RMB 4.553 billion, a year-on-year increase of 8.93%; and obtained net profit attributable to the parent company of RMB 3.280 billion, a year-on-year increase of 1.29%.

During the reporting period, PowerChina's overseas business secured new contract value equivalent to RMB 24.934 billion and achieved main business income of RMB 22.688 billion.

## Liquidating PV Assets, Tilting towards Large-Scale Coal-Fired Power, High-Quality Hydropower and Wind Power

On August 25, Guodian Power released its semi-annual report, stating that by the end of June, the company's installed power generation capacity had reached 41.5895 million kilowatts, of which the installed capacity of clean and renewable energy was 12.042 million kilowatts. However, the installed capacity of photovoltaic (PV) power was only 211,000 kilowatts, accounting for a mere 0.5% of the total installed capacity.

Since 2012, Guodian Power has been divesting several coal mines and coal companies. In May this year, 5 PV power stations of Guodian Power located in Inner Mongolia, Zhejiang and other provinces/autonomous regions were announced to be acquired by United PV, with an installed capacity of 210MW, which was almost equivalent to the scale of PV power stations held by Guodian Power.

## Goldwind Science & Technology Releases H1 2015 Performance: Net Profit of RMB 1.245 Billion

Recently, Goldwind Science & Technology released its H1 2015 performance report, showing that it achieved an operating income of RMB 9.43 billion, a net profit attributable to shareholders of listed companies of RMB 1.245 billion, and basic earnings per share of RMB 0.46, representing year-on-year increases of 110.90%, 276.62%, and 276.69% respectively.

According to data from the Chinese Wind Energy Association, in H1 2015, Goldwind Science & Technology's newly added installed capacity reached 2.082 million kilowatts, a year-on-year increase of over 90%. Its international business achieved sales revenue exceeding RMB 1.143 billion, a year-on-year increase of 82.31%, accounting for 12.2% of the total revenue.

## Wolong Electric Cable Releases Announcement: RMB 400 Million Invested in 49.5MW Wind Power Project

On August 27, the board of directors of Wolong Electric Cable reviewed and approved the "Proposal on the Investment in Wind Power Project by Xilinguole League Rongfeng Wind Power Co., Ltd., a Controlled Subsidiary". It agreed that Xilinguole League Rongfeng Wind Power Co., Ltd. – a controlled subsidiary of Qingdao Wolong Xinyuan Wind Power Generation Co., Ltd. (a wholly-owned subsidiary of Wolong Electric Cable) – would invest in the Rongfeng Abaga Banner Huitengliang 49.5MW Wind Farm Project, with a total investment not exceeding RMB 401.0564 million.

## Hunan Changgao's H1 2015 Performance: Operating Income Down 7.82%

In H1 2015, Hunan Changgao achieved an operating income of RMB 191.4143 million, a year-on-year decrease of 7.82%; realized operating profit of RMB 35.9249 million, a year-on-year decrease of 22.32%; and obtained net profit (attributable to owners of the parent company) of RMB 33.1741 million, a year-on-year decrease of 27.76%.

## Shanxi Zhangze Power Invests in Establishing an Electricity Sales Company

On the 28th, Shanxi Zhangze Power released three announcements, involving investments in establishing an electricity sales company and two new energy companies respectively.

The tentative name of the electricity sales company is "Shanxi Zhangze Power Electricity Sales Co., Ltd.", which will be responsible for the company's electricity sales business and power distribution network investment, with a registered capital of RMB 200 million.

In addition, it will contribute RMB 5.1 million to cooperate with Shanxi Guoyuan New Energy Co., Ltd. to jointly establish Zhangdian Guoyuan Siziwang Banner New Energy Co., Ltd. in Siziwang Banner, Ulanqab City, Inner Mongolia; and contribute RMB 8.5 million to cooperate with Xinjiang Weize Comprehensive Energy Development Co., Ltd. to jointly establish Zhangdian Weize Mulei New Energy Co., Ltd. in Mulei County, Changji Prefecture, Xinjiang.

## GCL-Poly Energy's H1 2015 Net Profit Exceeds HKD 800 Million

On the evening of August 30, GCL-Poly Energy released its semi-annual performance, announcing an operating income of HKD 17.939 billion and a profit of HKD 826 million.

The announcement showed that in H1, GCL-Poly Energy produced 36,768 metric tons of polysilicon, a year-on-year increase of 13.7%. Apart from internal sales for wafer production, the external sales volume reached 7,005 metric tons. The wafer output was 7,102 megawatts and the sales volume was 7,061 megawatts, representing year-on-year increases of 17.5% and 19.8% respectively.

## National Development and Reform Commission (NDRC): National Power Generation and Consumption Growth Rate Rebounds Significantly in August

According to the express data from the State Grid, from August 1 to 28, the national power generation and consumption reached 463.349 billion kilowatt-hours, a year-on-year increase of 2.97%. The growth rate rebounded by 6.54 percentage points compared with the same period last year and 4.97 percentage points compared with that in July.

By ten-day periods:

- In the first and middle ten days of August, the national power generation and consumption growth rates were 1.89% and 5.78% respectively;

- From August 21 to 28 (the last ten days), the growth rate was 0.95%.

By region (first and middle ten days):

- North China, East China, Central China, Northwest China, and South China all maintained positive growth. Their average daily power consumption increased by 1.39%, 6.87%, 6.56%, 3.55%, and 0.37% year-on-year respectively;

- Northeast China still saw a year-on-year decrease of 1.15%.

East China and Central China contributed 81.3% to the national growth of power generation and consumption, jointly driving up the national growth rate by 2.86 percentage points.

Judging from the current power operation trend, it is expected that the national power generation and consumption will increase by about 3% year-on-year in August, and is expected to continue growing in September.

 

## Approval of Jineng Group Changzhi Xinlong Low-Calorific-Value Coal-Fired Power Project

On August 26, the Shanxi Provincial Development and Reform Commission approved the 1×350MW low-calorific-value coal-fired power project (expansion project) of Changzhi Xinlong under Jineng Group Co., Ltd. via Document Jin Fagai Nengyuan Fa [2015] No. 642.

The project will construct one 350MW supercritical air-cooled generating unit fueled by low-calorific-value coal, with a supporting circulating fluidized bed boiler. Meanwhile, desulfurization, denitrification, and high-efficiency dust removal devices will be built simultaneously. The total investment of the project is RMB 1.59 billion.

## Hebei Provincial Department of Ecology and Environment to Approve Daming County Caogen New Energy Biomass (2×12MW) Cogeneration Project

The project site is located 370 meters south of Gaozhai Village, Pushang Township, Daming County. The project will newly construct:

- 2 biomass-fired combined grate boilers with a capacity of 75 tons per hour;

- 2 12MW extraction-condensing steam turbine generator units;

- Supporting public and auxiliary facilities including an advanced reclaimed water treatment system, a chemical water station, cooling towers, and silos;

- Environmental protection facilities such as a flue gas purification system and a temporary hazardous waste storage room.

The total investment of the project is RMB 300 million, of which RMB 50.6 million is allocated to environmental protection.

## Approval of Shenhua Guohua Qingyuan Power Generation Project with an Investment of Approximately RMB 9 Billion

Recently, the Shenhua Guohua Qingyuan Power Generation Project obtained approval from the Guangdong Provincial Development and Reform Commission (Approval Document No.: Yue Fagai Nengdian Han [2015] No. 3482).

The project will construct 2×1000MW ultra-supercritical coal-fired generating units. The power plant will adopt a secondary closed-circulation system with natural draft cooling towers, and its water source will be surface water from the Beijiang River. All the ash and slag discharged from the plant will be comprehensively utilized. The dynamic total investment of the project is approximately RMB 8.918 billion.

## Accelerated Construction and Renovation of Distribution Networks: Cumulative Investment to Exceed RMB 2 Trillion by 2020

The National Energy Administration recently released the *Action Plan for Distribution Network Construction and Renovation (2015-2020)*. The Plan clearly states that:

- From 2015 to 2020, the investment in distribution network construction and renovation will be no less than RMB 2 trillion, including no less than RMB 300 billion in 2015 and a cumulative investment of no less than RMB 1.7 trillion during the "13th Five-Year Plan" period (2016-2020).

It is estimated that by 2020:

- The transformer capacity of the high-voltage distribution network will reach 2.1 billion kVA, and the line length will reach 1.01 million kilometers, which are 1.5 times and 1.4 times that of 2014 respectively;

- The capacity of medium-voltage public distribution transformers will reach 1.15 billion kVA, and the line length will reach 4.04 million kilometers, which are 1.4 times and 1.3 times that of 2014 respectively;

- The reliability rate of urban power supply will reach 99.99% in five years.

## Iranian Vice President Salehi: To Expand Nuclear Power Cooperation with China

On August 28, Ali Akbar Salehi, Iranian Vice President and Head of the Atomic Energy Organization of Iran, concluded his three-day official visit to China. During the visit, Salehi held talks with Wang Yi, Chinese Foreign Minister, and Xu Dazhe, Director of the China Atomic Energy Authority, respectively.

Salehi stated that the main task of this visit to China was to discuss with the Chinese side the cooperation in building two 100MW nuclear reactors and the transformation of the Arak heavy-water reactor. For its part, China expressed its intention to increase investment in Iran, including in the oil and gas sector and the industrial sector.

## Japanese Government Plans to Reject Multiple Coal-Fired Power Plant Construction Plans Amid Environmental Concerns

According to Japanese media reports, Japan’s Ministry of the Environment will propose to the Ministry of Economy, Trade and Industry that the construction plans of large-scale coal-fired power plants in Sodegaura City, Chiba Prefecture – initiated by Kyushu Electric Power, Tokyo Gas, and Idemitsu Kosan – should not be approved at this stage.

The Ministry of the Environment is concerned that the construction of these power plants as planned may prevent Japan from meeting its greenhouse gas emission reduction targets, and it emphasized that the formulation of specific emission reduction rules for the entire industry is essential.

## Vietnam to Build Its First Solar Power Plant, Expected to Be Put into Use in 2016

According to a report on the website of the Vietnamese newspaper *Nhan Dan* (People), the groundbreaking ceremony for Vietnam’s first solar power plant project was held recently (local time).

Invested and constructed by Tianxin Construction and Investment Co., Ltd. under Vietnam’s Tianxin Group, this is Vietnam’s first solar energy development and investment project. The plant will adopt solar photovoltaic technology from Thailand and is expected to undergo trial operation in early [month, original text missing] and be put into formal use after acceptance.

(Note: The original text lacks specific information on the plant’s installed capacity, land area, and the exact month of trial operation, so the translation retains the ambiguity of the source text.)

 

## Wang Xiankui, Secretary of the CPC Heilongjiang Provincial Committee, Meets with Zhang Yuzhuo, Chairman of Shenhua Group

On the afternoon of August 25, Wang Xiankui, Secretary of the CPC Heilongjiang Provincial Committee, met with Zhang Yuzhuo, Chairman of Shenhua Group, and his entourage in Shuangyashan City. The two sides had in-depth exchanges on the construction of the Shenhua Guoneng Baoqing Coal-Electric-Chemical Project.

Wang Xiankui stated that he hoped Shenhua Group would deepen strategic cooperation with Heilongjiang Province, build a model project featuring energy conservation, environmental protection, sound ecology, and advanced management, promote efficient and clean conversion and comprehensive utilization of coal resources, shift from "transporting coal outward" to "transmitting electricity outward", extend the industrial chain, enhance the value chain, and facilitate mutually beneficial and win-win development.

Zhang Yuzhuo responded that Shenhua Group would focus on the clean conversion and utilization of coal, strengthen cooperation with Heilongjiang, and build the Baoqing Coal-Electric-Chemical Project into a demonstration project.

The Shenhua Guoneng Baoqing Coal-Electric-Chemical Project is located in Baoqing County, Shuangyashan City, Heilongjiang Province, and obtained approval in February this year. With a planned total investment of RMB 40.6 billion, the project will be constructed in two phases. Among them, the first phase has a total investment of RMB 10 billion, covering the construction of an open-pit coal mine with an annual output of 11 million tons, a 2×600MW pithead power plant, a 6-million-ton lignite drying and upgrading project, and a project producing 200,000 tons of humic acid lignite wax series products.

## Chen Feihu of Guodian Group Meets with Delegation from the Democratic Party of Socialists of Montenegro

On August 27, Chen Feihu, General Manager of Guodian Group, met at the group's headquarters with a delegation from the Democratic Party of Socialists of Montenegro (DPS), led by Tarzan Milosevic, Chief of Staff and Member of Parliament of the DPS.

Chen Feihu said that Guodian Group is willing to take the "Belt and Road Initiative" as an opportunity to deepen strategic cooperation with the Republic of Montenegro in the energy sector. Tarzan Milosevic pointed out that Montenegro has great potential for energy development and expressed hope that Guodian Group would give full play to its advantages and invest in Montenegro.

## Yan Zhiyong of Power Construction Corporation of China (PowerChina) Pays a Visit to Tang Liangzhi, Mayor of Chengdu

On August 27, Yan Zhiyong, Chairman of Power Construction Corporation of China, paid a visit to Tang Liangzhi, Mayor of Chengdu, in Chengdu (abbreviated as "Rong" in Chinese).

Yan Zhiyong expressed his willingness to participate more deeply in Chengdu's infrastructure construction, subway, and rail transit projects. He also proposed that both sides should leverage their respective advantages, strengthen strategic communication and integration in the implementation of the national "Belt and Road Initiative", and explore new models of cooperation. Tang Liangzhi welcomed capable central enterprises like PowerChina to participate in Chengdu's economic and social development.