Chinese news outlets have reported that state-owned China Energy Engineering Group (CEEG) and the government of Hengyang County in China’s Hubei Province signed a major agreement to develop three wind farms, two agricultural PV projects, three floating PV power plants, and a pumped hydroelectric energy storage project. The signing ceremony was held on September 3. The three wind farms will be located in Jingtou Township, Jinxi Township, and Jiepai Township respectively. The two agricultural PV projects will be located in Taiyuan Township and Da’an Village respectively. The total installed capacity of all the projects under the agreement is set at 1.1GW, and the total investment is set around RMB 5.5 billion.
Once completed, these new energy projects will make full use of the renewable resources of the region to bring benefits such as the restoration of the local ecology and improvements in the local water resource management. They will create a win-win situation for environmental sustainability and economic growth.
The deal is part of CEEG’s efforts to simultaneously follow the policy directive of the Chinese government and implement its own strategic initiatives (e.g., the 1446 Strategy and the 2021 Work Conference). According to Chinese news outlets, CEEG plans to expand its presence in the new energy market over multiple phases as it builds up new developmental capabilities and accelerate the transformation of its business operations.
Hunan is one of several provinces and regions in China that experience frequent power shortages. To remedy the situation and reduce greenhouse gas emissions at the same time, the Chinese government is investing in local new energy projects and UHV transmission lines.