Simplification of power generation license applications

On April 9, the National Energy Administration issued the “Circular on Clearly Explaining Matters Concerning Power Business License Management” (hereinafter referred to as the “Notice”), which included matters relating to the simplification of the application for licenses for power generation-related power businesses; and improvement of the power business for transmission and power supply. Licensing; strengthen the management of electricity business licenses and promote the three major categories of prevention and control of air pollution in the power industry, including the exemption of licenses and applications for power generation services, and the conditions for applying for power supply services. At the same time, power companies are required to engage in transnational (domestic) power trading business. , Submit the filing materials to the dispatched agency within 60 days from the date of release of the notice.

I. Simplification of matters related to the application for power generation permit for power generation

(i) Exemption from power business licenses for the following power generation businesses:

1. Decentralized power generation projects clearly identified by the competent authority of energy in the form of record (approval);

2. Small hydropower stations with a single station installed capacity of 1MW (excluding);

3. New energy power generation projects such as solar energy, wind energy, biomass energy, ocean energy and geothermal energy with an installed capacity of 6MW (excluding);

4. Projects with installed capacity of 6MW (excluding) of waste heat and pressure resources under integrated utilization;

5. Non-fossil fuel direct combustion self-provisioned power stations dispatched by prefecture (city) level and below dispatching agencies.

Related companies, units or individuals (hereinafter referred to as project operating entities) do not require a power generation business license for the above-mentioned power generation business. When the project operating entity deals with grid-connected operations with grid companies, it no longer requires the provision of a power generation business license or other certification.

After the power-generating project that is exempted from permission is connected to the grid, the power grid company shall, as required, submit an exemption from the power generation project to the agency dispatched by the National Energy Administration (hereinafter referred to as the dispatched office).

The dispatched agencies shall make overall plans for the submission of exempted project information and other information submissions, avoid enterprises from submitting duplicates, and submit power generation project information exempted from power business licenses to the National Energy Administration Power Business Qualification Management Center as required.

When the dispatched agency implements the exemption implementation work, it must do a good job of connecting with the permitting work and supervise the implementation of the exemption of the power generation project. It should be corrected if it is found that it has not been implemented in accordance with the regulations, and will be dealt with in accordance with the law.

(B) Simplify the application requirements for the license of some power generation businesses

Except for the exemption of permits under this notice, companies that operate the following power generation businesses will simplify the application requirements for power generation business licenses.

1. The total installed capacity of 6MW (excluding) the following small hydropower;

2. New energy generation such as solar energy, wind energy, biomass energy, ocean energy, geothermal energy;

3. Comprehensive utilization of waste heat and pressure resources for power generation.

The specific simplified content is as follows:

1. In terms of financial information. If you have established for more than two years, you are no longer required to provide annual financial reports and financial status audit reports for the last two years. The company can provide financial statements for the last two years. If the company is established for less than two years, it will no longer require financial reports since the establishment of the company. Capital verification report, financial status audit report, the company can provide financial statement since its establishment.

2. The person in charge of corporate security, the person in charge of production operations, the person in charge of technology, and the person in charge of finance shall allow one person to hold two or more positions.

II. Improve the issuance of power business licenses for transmission and power supply

(I) Adjustment of application conditions for power supply power business licenses

According to the State Council's “Decision on Canceling and Decentralizing 50 Items of Administrative Approval, etc.” (Guo Fa (2013) No. 27), the “supplying business area with the approval of the relevant authorities” in the conditions for applying for the power supply business license shall be adjusted to "A division agreement or opinion that has a bilateral agreement reached by the power supply business area."

(II) Doing a good job in the record management of transnational (domestic) power trading business

1. Transnational (domestic) power trading business belongs to transmission and power supply business. Power companies engaged in transnational (domestic) power trading operations should apply to the dispatched agencies for filing. The dispatched agency marked its business status on the copy of the power business license obtained by the power company.

2. The power companies that sign contracts for the sale of electricity with the foreign country (foreign countries) are responsible for filing applications.

3. When power companies apply for transnational (domestic) power business filing, the following materials shall be submitted:

(1) The basic situation of transnational (domestic) power business;

(2) Approval documents issued by the relevant authorities for transnational (domestic) power business;

(3) Purchase and sale of electricity contracts and dispatch agreements with foreign countries;

(4) When entrusting other domestic enterprises to participate in transnational (domestic) power business activities, they shall also provide commissioned matters and the basic conditions of the entrusted company, as well as commission contracts and agreements;

(5) Other materials required by the National Energy Administration and the dispatched agencies.

Third, strengthen the power business license management, and promote the prevention and control of air pollution in the power industry

(I) Conscientiously implemented the “Notice of the State Council on Printing and Distributing Atmosphere Pollution Prevention and Control Action Plan” (Guo Fa (2013) No. 37), and the dispatched institutions failed to meet the requirements for installation of desulfurization, denitrification, dust removal, and other environmental protection facilities or environmental protection facilities not in accordance with regulations. The coal-fired power generation enterprises will not be issued power business licenses according to law.

(2) According to the unified deployment of the National Energy Administration, the market withdrawal of small thermal power generators should be done in an orderly manner. According to the shutdown plan and time schedule of small thermal power units around the country, the dispatched agency shall cancel the power generation business license of the power generation units according to the procedures for reaching the time limit for shutting down, and shall not continue the grid-connected operation.

(III) To strengthen the continuous supervision of the operation of environmental protection facilities and pollutant emissions of certified coal-fired power plants.

1. The dispatched agencies shall further establish and improve the communication and coordination mechanisms with the environmental protection agencies. The power generation enterprises that have obtained the power business license but the environmental protection facilities are not properly put into operation or the discharge of pollutants are not up to standard shall be dealt with in coordination with relevant departments.

2. For generator sets that are included in the desulfurization, denitrification, and dust-removal plans, the dispatched agency should mark the time limit for modification in its permit, and urge the enterprise to complete the transformation within the prescribed time limit. Units that have not completed their transformations on time shall notify the dispatching organization to adjust their ranking on the power generation ranking table.

3. As environmental protection issues are ordered to be shut down by relevant departments, the dispatched agency shall revoke its power business license in accordance with the law, and expressly shall not continue to generate electricity on the grid.

4. The dispatched agencies should focus on strengthening the follow-up and supervision of the transformation and discharge of environmental protection facilities for coal-fired power plants in key regions such as Beijing-Tianjin-Hebei, Yangtze River Delta, and Pearl River Delta, and strictly deal with the enterprises that violate the licensing system.

This notice will be implemented as of the date of issue and will be valid for 5 years. Before the issuance of this notice, if the power management license management document is inconsistent with this Notice, it shall be implemented in accordance with this Notice.