New power system reform is about to come out

*** The State Council attaches great importance to the reform of the power system. The "Several Opinions on Further Deepening the Reform of the Electric Power System" will soon be introduced.

The power system reform focuses on solving five problems: First, it is necessary to restore the attributes of electric power products, form a mechanism for the market to determine the price of electricity, and use price signals to guide the efficient development and rational use of resources. The second is to build a power market system and promote the optimal allocation of power resources in a wider range. The third is to support the development of clean energy and promote the optimization of energy structure. The fourth is to gradually break the monopoly, orderly release competitive businesses, mobilize social investment, especially the enthusiasm of private capital, and promote the diversification of market players. Fifth, we must change government functions, further simplify administrative devolution, and strengthen power planning.

The specific reform measures include the establishment of a market-oriented trading system, differentiation of competition and monopolistic links, effective competition on the side of power generation and sale of electricity, and full play of the decisive role of market allocation of resources. The second is to straighten out the electricity price formation mechanism, gradually release the on-grid tariff and sales tariff, and separate the transmission and distribution prices from the sale price in the formation mechanism. The third is to promote the reform of the electricity supply and use plan, improve the public welfare regulation of the government, and improve the demand side management level. The fourth is to promote the development and utilization of new energy and renewable energy, and actively develop distributed energy. Fifth, optimize the layout of power supply and power grids, strengthen overall planning for power grids, improve power supervision measures and methods, and improve supervision methods.