A new report from Zpryme says the State Grid Corporation of China (SGCC) expects to invest more than $400 billion in power grid construction over the next five years. Approximately $100 billion of that funding will be directed towards Smart Grid technologies and more than $60 billion will be spent on developing a transmission network across China.
Zpryme director of research, Jason S. Rodriguez, says, “With a population that dwarfs all global economies, the demand for smart meters could eclipse 300 million by 2015. In addition, with the Chinese government vying for inclusion from domestic players, companies outside of its borders will have to seek strategic partnerships to sink their teeth into the electricity demand pie; for example, just this week, Echelon announced a new partnership with Holley Metering of China.”
Key findings from the CHINA: State Grid of China Profile report includes SGCC has set a target to have 300 million smart meters installed by 2015; to date 36 million smart meters have been installed; in 2011, SGCC had 286 million customers and renewable capacity of 40.0 GW; at the end of 2011, SGCC had 238 Smart Grid pilots, projects, and demonstrations in operation; and by 2015, SGCC plans to have an EV charging network across their entire service area.
The State Grid Corporation of China supplies power to 88 percent of China and serves an area populated by over one billion people. The enormity of the state-owned transmission company, combined with streamlined regulatory processes designed to promote rapid construction without the obstacles typically found in developed countries are among the key reasons that China is the largest, most important market for Smart Grid development in the world.
Zpryme-powered Smart Grid Insight Practice (link) helps organizations entering the Chinese marketplace understand their business environment. For more information, visit www.zpryme.com.
CHINA: State Grid of China Profile can be downloaded at www.smartgridresearch.org.