Hogan Lovell OffshoreBook 2023 230809 OnlinePDF - Flipbook - Page 60
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(d) the Grid Company evaluates the research report and issues a written reply
with its opinion on the grid connection;
and
(e) in accordance with the opinion issued by
the Grid Company, the developer carries
out the preliminary activities for the grid
connection, such as obtaining the review
and approval of the supporting transmission engineering works.
5.3 Responsibility for the cost
of the grid connection system
Pursuant to the Renewable Energy Law
and the Notice on Reducing the Burden of
the Renewable Energy Enterprises (Reducing Burden Notice), Grid Companies are
responsible for financing the construction
of the transmission facilities for connecting
renewable energy power plants (including
offshore wind power plants) to the grid. The
Reducing Burden Notice required Grid Companies to purchase from the developers, by
the end of 2018, any transmission facilities
whose construction had been financed by
the developers.
Grid Companies can factor such construction and acquisition costs into the electricity
transmission costs that the Grid Companies
charge to the end users of the electricity
supplied by the Grid Companies. To the
extent the price charged by the Grid Companies to the end users is not sufficient to
cover such costs, the Grid Companies may
apply to receive a subsidy from the Renewable Energy Development Fund equal to such
shortfall.
China
5.4 Consequences of delays
and disruptions of the grid
connection system
The Grid Opening Measures require the Grid
Companies to provide grid connection services in a fair and non-discriminatory manner,
prohibiting the Grid Companies from:
(a) refusing the applications of grid connection or delaying the grid connection
without legitimate reasons;
(b) refusing to provide the necessary information for the grid connection to the
developer;
(c) for power generation facilities constructed in compliance with national requirements, in addition to the necessary technical requirements to ensure the safe
operation of power grid and equipment,
imposing grid connection requirements
higher than the national and industry
technical standards and specifications;
and
(d) charging unreasonable service fees in
violation of regulations. The Grid Opening Measures additionally provide that
if the Grid Companies fail to provide grid
connection services as required, the NEA
and its local counterparts shall order the
Grid Companies to take corrective actions within a time limit; if they refuse to
take corrective actions, an administrative
fine from RMB 100,000 to RMB 1,000,000
shall be imposed and penalties might
be imposed on the directly in-charge
person and other directly responsible
persons.
