On the afternoon of July 14, 2023, the China (Guangzhou) Commercial and Industrial Energy Storage Development Seminar and the JD Energy Distributed Energy Storage 2023 Ecological Partner Conference (South China Session) successfully came to a successful conclusion in Guangzhou. The event was co-hosted by the Guangdong Solar Energy Association, Xi'an JD Energy Co., Ltd., and the Guangzhou Institute of Energy Conversion, Chinese Academy of Sciences, with support from the Zhongguancun Energy Storage Industry Technology Alliance, PV Men, Solarbe Global.
The global energy revolution is gathering momentum, driving rapid advancements in China's energy storage industry. The introduction of the dual carbon policies has ignited enthusiasm within the upstream and downstream energy storage sectors, leading to fierce competition among numerous enterprises. Favorable policies and technological innovations have clarified and matured the profit model for the commercial and industrial energy storage market in the South China regions, accelerating industrial development. Against this backdrop, the conference themed "Trillion-Scale Energy Storage, Walking Together" aimed to establish a cooperative and win-win energy storage ecosystem and an industrial community with a shared future. Together with ecological partners, the conference sought to advance in the tide of energy storage development. On the conference day, leading experts and representatives from the energy storage sector delivered insightful speeches. Nearly 700 attendees and tens of thousands of industry practitioners witnessed this significant industry event both online and offline.
At the beginning, Hu Guangliang, President of the Guangdong Solar Energy Association, delivered an opening speech: "With the gradual widening of peak-to-off-peak price differences in electricity across the country, especially in Guangdong, where two charges and two discharges are feasible, commercial and industrial energy storage has become more economically viable and attractive for investment. In 2023, the guiding opinions on 'Promotion on the High-Quality Development of New Energy Storage Industry in Guangdong Province' clearly proposed that by 2025, the revenue of new energy storage industry in Guangdong should reach RMB 600 billion yuan, with an average annual growth rate of over 50%, and an installed capacity of 3 million kilowatts. By 2027, the revenue should reach RMB 1 trillion yuan, with an installed capacity of 4 million kilowatts. With favorable policy support and continuous technological innovation, the new energy storage industry is poised to enter a new phase of robust development."
Li Zhihu, Co-Founder of JD Energy, emphasized in his speech: "Commercial and industrial energy storage presents trillion-RMB-level market opportunities. JD Energy is committed to opening the door to this vast market, hoping to bring wealth to our ecological partners, extensive commercial and industrial users, and new energy investors. JD Energy is willing to go through thick and thin with everyone on the Starry Sky Plan ecological platform, forge ahead together, and create a brighter future."
During the keynote speech session, Zeng Jie from China Southern Power Grid Electric Technology Co., Ltd. provided a comprehensive analysis of energy storage technology applications and the distributed energy storage market: "The profit models of commercial and industrial energy storage primarily include peak-to-off-peak price difference arbitrage, electricity spot market transactions, auxiliary services, and cost savings of transformer replacements through dynamic capacity expansion. Currently, with widening peak-to-off-peak price differences and decreasing energy storage costs, the profitability of commercial and industrial energy storage is continuously increasing."
Lin Ruipeng from the Industrial Development Division of the Huangpu District Development and Reform Bureau offered a detailed policy interpretation of the "Measures to Promote the High-Quality Development of New Energy Storage Industry in Guangzhou Development District (Huangpu District)." Huangpu District focuses on establishing a highland for new energy storage industry development, formulating various incentive policies such as significant project introduction awards, high-quality project settlement awards, coordinated development awards, demonstration park operation subsidies, new product certification subsidies, and financial support. These policies provide a strong impetus for the rapid development of new energy storage.
Liu Yang from the Guangdong Grid Dispatching and Control Center highlighted in his keynote speech: "Guangdong leads the nation in electricity market construction, being one of the first pilot regions for spot markets. It also ranks first nationwide in market-based electricity transactions and boasts extensive experience in operating electricity spot markets." Currently, Guangdong has formed the country's most vibrant energy storage and frequency regulation market, which has maintained safe operations since its inception in 2018. Looking ahead, Guangdong will continue to adopt a market-oriented approach, fostering the development of energy storage towards higher quality, enhanced efficiency, and greater sustainability.
Huang Jianyi, from China Energy Engineering Group Guangdong Electric Power Design Institute, delivered a speech titled "Technology Development Paths and Case Studies in the Energy Storage Industry," providing a comprehensive overview of the development background, current state, and unique characteristics of energy storage. Furthermore, she categorized and summarized energy storage technology pathways, integration methods, and their respective advantages, highlighting the flexibility and economic efficiency of distributed energy storage on the basis of illustrative case studies.
Zhang Yi, Deputy General Manager of JD Energy, introduced JD Energy's distributed energy storage solutions and product roadmap. JD Energy promotes All-in-One distributed modular products for user-side applications, integrating long-life battery cells and high-efficiency BMS in outdoor energy storage cabinets known as eBlock. These cabinets can be connected on the AC side in parallel for block-style expansion, enabling elastic scaling. This year, the primary focus is promoting the eBlock-200 product for commercial and industrial users. With two charges and two discharges per day, it achieves a conversion efficiency of over 90%. The 380V system can be directly connected to the user's park network, making it the optimal choice for user-side energy storage.
Moreover, Ma Jinpeng, Deputy General Manager of Sales at JD Energy, elaborated on JD Energy's ecological partner policies, emphasizing three core elements: "product strength," "service strength," and "pricing strength." In terms of product, JD Energy's product and solution design focuses on safety and economy, and prioritizes customer value. As to service, JD Energy provides full life cycle support to customers with one-stop and meticulous service. In terms of price, JD Energy relies on more advantageous cost control and more competitive prices to achieve a win-win situation with customers.
Following the keynote speeches, the event culminated in a signing ceremony. Twenty enterprise representatives took the stage to sign contracts, expressing their willingness to become ecological partners with JD Energy and pursue mutually beneficial collaborations.
Additionally, as a representative of JD Energy's ecological partners, Wang Jingdong, General Manager of Yiwu JD Energy Technology Co., Ltd. shared his insights based on real-world projects and earnings. He stated that in April 2022, Yiwu JD Energy invested over RMB 1.2 million yuan to establish the first distributed energy storage station in Zhejiang Province, featuring an installed capacity of 344 kW/688 kWh. The project employed a distributed energy block solution comprising 4 eBlock-172 smart energy cabinets, one combiner box, and one fire protection cabinet. Roughly 14 months post-commissioning, the project is currently generating peak shaving and valley filling revenue of RMB 420,000 yuan, with expectations of recovering the investment within three and a half years, fully aligning with investment return projections.
The final roundtable discussion, moderated by Chen Jiongcong, Deputy Director and Researcher of the Microgrid Laboratory at the Guangzhou Institute of Energy Conversion, Chinese Academy of Sciences, gathered esteemed guests such as Dong Minghua, General Manager of Guangzhou Dianke Energy Technology Co., Ltd., Zeng Jie, Deputy General Manager of the New Energy Business Division at China Southern Power Grid Electric Technology Co., Ltd., Lin Yuming, Deputy General Manager of Guangdong New Sea Horse Electric Power Design Co., Ltd. and Member of the Energy Supply and Green Consumption Committee of the China Energy Research Society, Sun Yunlin, Managing Director of Yongguang New Energy Co., Ltd., and Jiang Yiming, Head of Energy Storage Business at Huaxia Financial Leasing Co., Ltd. Together, they delved into the opportunities and challenges faced by commercial and industrial energy storage. During the discussion, guests expressed optimism about the future of commercial and industrial energy storage despite policy durability and stability risks as well as the lack of standards and regulations. They appealed to seize the moment and act swiftly, decisively, and effectively, emphasizing that the next 3-5 years will be a golden era for developing commercial and industrial energy storage.
Let's join hands in the trillion-yuan energy storage market! The JD Energy Distributed Energy Storage 2023 Ecological Partner Conference (South China Session) shed light on the promising future of commercial and industrial energy storage through insightful sharing. Amidst new opportunities and challenges, JD Energy eagerly anticipates collaborating with its ecological partners, forging ahead, and staying abreast of the times!
