Distributed photovoltaic power stations

 Photovoltaic power stations
Distributed photovoltaic power stations
SectorMost major industry classification systems use sources of revenue as their basis for classifying companies into specific sectors, subsectors and industries. In order to group like companies based on their sustainability-related risks and opportunities, SASB created the Sustainable Industry Classification System® (SICS®) and the classification of sectors, subsectors and industries in the SDG Investor Platform is based on SICS.
Renewable Resources and Alternative Energy
Alternative Energy
Business Model Description

Distributed photovoltaic power stations make use of distributed resources. The stations are located close to users, converting solar energy into electrical power with a small installed capacity. The major profit model is "self-generation of power for self-use and access of surplus electricity quantity to power grids". The income comes from the on-grid price, while the cost includes device expense, maintenance, depreciation, etc.

Expected Impact

Distributed PV systems can reutilize idle resources; corporate carbon emissions can be reduced, and the strain on power load can be relieved. Meanwhile, people can access cheap green electricity.

Indicative ReturnDescribes the rate of growth an investment is expected to generate within the IOA. The indicative return is identified for the IOA by establishing its Internal Rate of Return (IRR), Return of Investment (ROI) or Gross Profit Margin (GPM).
5% - 10% (in IRR)
Investment TimeframeDescribes the time period in which the IOA will pay-back the invested resources. The estimate is based on asset expected lifetime as the IOA will start generating accumulated positive cash-flows.
Medium Term (5–10 years)
Market SizeDescribes the value of potential addressable market of the IOA. The market size is identified for the IOA by establishing the value in USD, identifying the Compound Annual Growth Rate (CAGR) or providing a numeric unit critical to the IOA.
> 25% (CAGR)
Average Ticket Size (USD)Describes the USD amount for a typical investment required in the IOA.
> USD 10 million
Direct ImpactDescribes the primary SDG(s) the IOA addresses.
Affordable and Clean Energy (SDG 7)
Indirect ImpactDescribes the secondary SDG(s) the IOA addresses.
Climate Action (SDG 13)
Sector Sources
  • (1) State Council, 2021, Action Plan for Carbon Dioxide Peaking Before 2030 (2) IRENA, 2019, Renewable energy: a gender perspective. https://www.irena.org/publications/2019/Jan/Renewable-Energy-A-Gender-Perspective (3) CQVIP, Renewable energy power generation through solar photovoltaic-recyclable and clean energy (4) National Energy Administration, 2020, Guiding Opinions on Energy-related Work in 2021, http://www.nea.gov.cn/2021-04/22/c_139898478.htm (5) China Central Television Business Channel, https://mp.weixin.qq.com/s/2ORooQlg9MDlzsbHGH5xww (6) Solarbe Global, https://news.solarbe.com/202107/30/342436.html
IOA Sources
  • (7) Zhejiang Sunoren Solar Technology Co., Ltd., 2021, 2021 Third Quarter Results http://www.cninfo.com.cn/new/disclosure/detail?plate=sse&orgId=gfbj0833677&stockCode=603105&announcementId=1211371898& announcementTime=2021-10-26 (http://www.cninfo.com.cn/new/disclosure/detail?plate=sse&orgId=gfbj0833677&stockCode=603105&announcementId=1211371898& announcementTime=2021-10-26 ) Zhejiang Sunoren Solar Technology Co., Ltd., 2021, 2020 Annual Report http://www.cninfo.com.cn/new/disclosure/detail?plate=sse&orgId=gfbj0833677&stockCode=603105&announcementId=1209729457& announcementTime=2021-04-20 (http://www.cninfo.com.cn/new/disclosure/detail?plate=sse&orgId=gfbj0833677&stockCode=603105&announcementId=1209729457& announcementTime=2021-04-20 ) Zhejiang Sunoren Solar Technology Co., Ltd., 2021, 2021 Semi-Annual Report http://www.cninfo.com.cn/new/disclosure/detail?plate=sse&orgId=gfbj0833677&stockCode=603105&announcementId=1210826687& announcementTime=2021-08-24 (8) Xinjiang Water Conservancy and Hydropower Survey Design & Research Institute, 2020, A pilot study on the problems and solutions for the large-scale development of distributed photovoltaic projects, https://kns.cnki.net/kcms/detail/detail.aspx?dbcode=CJFD&dbname=CJFDLAST2020&filename=HNSL202004040&uniplatform=NZKPT&v=RlSuUeaBNRXsnR4fWNTScfNu3AW143Ci7KV5GB7o7WNrOX9LMNkXcM_ed5ZkD79x 9) School of Economics and Management, North China University of Technology, 2019, Risk Analysis of Distributed Photovoltaic Power Generation Investment in China, https://kns.cnki.net/kcms/detail/detail.aspx?dbcode=CJFD&dbname=CJFDLAST2019&filename= TYNZ201910001&uniplatform=NZKPT&v=A-DWY8lxtSMV5SzaJgTvv7I-qKGtcwzWMBeu_GJur4yX3z8qdDKjbxXc12_ZWQym (10) Jinko Power Technology Co., Ltd., 2021, 2020 Annual Report, http://www.cninfo.com.cn/new/disclosure/detail?plate=sse&orgId=9900038390&stockCode=601778&announcementId=1209842601& announcementTime=2021-04-28 (11) Jiangsu Linyang Energy Co., Ltd., 2021, 2020 Annual Report, http://www.cninfo.com.cn/new/disclosure/detail?plate=sse&orgId=9900021223&stockCode=601222&announcementId=1209771602& announcementTime=2021-04-23 (12) Huatai Securities, 2022, Distributed PV: The Next Blue Ocean Market, http://finance.sina.com.cn/stock/stockzmt/2022-02-16/doc-ikyamrna0999864.shtml (13) Zhejiang Sunoren Solar Technology Co., Ltd., 2018, IPO Prospectus, http://www.cninfo.com.cn/new/disclosure/detail?plate=sse&orgId=gfbj0833677&stockCode=603105&announcementId=1205093117& announcementTime=2018-06-26 (14) Jinko Power Technology Co., Ltd., 2021, Memorandum for Convertible Bonds, http://www.cninfo.com.cn/new/disclosure/detail?plate=sse&orgId=9900038390&stockCode=601778&announcementId=1209740579& announcementTime=2021-04-21 Jinko Power Technology Co., Ltd., 2021, Announcement on the Signing of Cooperation Framework Agreement between the Parent Company and its Wholly-owned Subsidiary, http://www.cninfo.com.cn/new/disclosure/detail?plate=sse&orgId=9900038390&stockCode=601778& announcementId=1211586593&announcementTime=2021-11-16 (15) National Energy Administration, 2021, The Request for the Pilot Program of Rooftop Distributed Photovoltaic Development at the County Level (City, District), http://www.chic.org.cn/home/index/detail?id=1100 National Energy Administration, 2021, Notice on Announcing the List of the Counties (City, District) for the Pilot Program of Rooftop Distributed Photovoltaic Development, http://zfxxgk.nea.gov.cn/2021-09/08/c_1310186582.htm (16) General Office of the State Council, 2014, Program of Action for the Energy Development Strategy (2014-2020), http://www.gov.cn/xinwen/2014-11/19/content_2780748.htm (17) Xinhua News Agency, The Outline for the 14th Five-Year Plan for Economic and Social Development and Long-Range Objectives through the Year 2035, http://www.gov.cn/xinwen/2021-03/13/content_5592681.htm (18) National Development and Reform Commission, 2021, Notice on Issuing the 14th Five Year Plan for Circular Economy Development, http://www.gov.cn/zhengce/zhengceku/2021-07/07/content_5623077.htm (19) National Development and Reform Commission, 2021, Notice on Encouraging the Intensified Financial Support to Promote the Sound and Orderly Development of Wind Power and Photovoltaic Power Industries, https://www.ndrc.gov.cn/xxgk/zcfb/tz/202103/t20210312_1269410.html?code=&state=123 (20) National Energy Administration, 2020 "the Energy Law of the People's Republic of China (Exposure Draft), http://www.nea.gov.cn/2020-04/10/c_138963212.htm (21) Ministry of Industry and Information Technology, 2021, Standard Conditions for the Photovoltaic Manufacturing Industry (2021), https://www.miit.gov.cn/jgsj/dzs/wjfb/art/2021/art_f4ad5ce6359a457395cfe931c69bd777.html (22) China Development Bank, 2021, Work Plan to Support Energy Sector to Achieve the Strategic Goal of Carbon Peaking and Carbon Neutrality, http://www.cdb.com.cn/xwzx/zcfb/202112/t20211214_9457.html (23) Shannxi Provincial Development and Reform Commission, 2021, Notice on the Pilot Programs of Rooftop Distributed Photovoltaic at County Level (City, District), http://sndrc.shaanxi.gov.cn/fgwj/2021nwj/euIJBj.htm Jiangxi Provincial Development and Reform Commission, 2021, Notice on the Pilot Programs of Household Distributed Photovoltaic, https://guangfu.bjx.com.cn/news/20210615/1158077.shtml (24) National Development and Reform Commission, 2021 Renewable Energy On-grid Power Price Policy, http://www.gov.cn/zhengce/zhengceku/2021-06/11/content_5617297.htm(http://www.gov.cn/zhengce/zhengceku/2021-06/11/content_5617297.htm) (25) Nationwide Energy Information Platform, 2022, The inflection point for distributed PV industry growth rate has arrived, https://baijiahao.baidu.com/s?id=1721117172902098482&wfr=spider&for=pc (26) Financing the Sustainable Development Goals - The Contributions of the Multilateral Development Banks, https://www.isdb.org/sites/default/files/media/documents/2022-02/MDBs%20Report%20on%20SDGs_vf.pdf