SPIC and State Grid Jointly Establish RMB 8 Billion Energy Company

On December 11, China Power Investment Corporation (SPIC) and State Grid Corporation of China joined forces through State Grid Integrated Energy Service Group Co., Ltd., a wholly owned subsidiary of State Grid, to jointly invest in the establishment of SPIC Biomass Energy Co., Ltd.

The newly established company has a registered capital of RMB 8 billion, marking a substantive step forward in the deep strategic collaboration between the two central state-owned enterprises in the fields of biomass energy and integrated new energy services.

In terms of shareholding structure, the two parties have demonstrated a clear strategic division of roles:

• SPIC acts as the controlling shareholder, holding 70% of the equity;
• State Grid Integrated Energy Service Group holds the remaining 30% stake.

Although the company bears the name “Biomass Energy,” its business scope reveals a broader energy ecosystem strategy.

Its business portfolio includes:

• Core operations: power generation, power transmission, power supply and distribution, as well as gas operation;
• Technical services: solar power technology services, wind power technology services, energy storage technology services, and heat production and supply;

Industrial chain extension: biomass fuel processing, sales of biomass pellet fuels, and research and development of emerging energy technologies.

Overall, the establishment of SPIC Biomass Energy Co., Ltd. reflects an expanded strategic vision that goes well beyond biomass power generation, signaling the two groups’ ambition to build an integrated, multi-energy service platform.

Source：EnergyTrend