From January 1st! Electricity Prices in Major Chemical Provinces Such As Shandong And Jiangsu Have Soared By 70%!

Recently, the Jiangsu Provincial Development and Reform Commission issued the “Notice of the Provincial Development and Reform Commission on Further Doing a Good Job in Deepening the Reform of the Coal-fired Power Generation Feed-in Tariff Market”, which adjusted the peak and valley periods of industrial power consumption and launched the summer and winter seasons. Peak electricity prices.

According to the document, starting from January 1, 2022, peak electricity prices for large industrial power consumption of 315 A kV and above will be implemented in the summer and winter seasons. From July to August each year, when the daily maximum temperature reaches or exceeds 35 degrees Celsius, the peak summer electricity price will be implemented from 10:00 to 11:00 and 14:00 to 15:00, and 17:00 to 18:00 will be adjusted to a flat level. Period, from December to January of the following year, when the daily minimum temperature reaches or falls below -3 degrees Celsius, the peak electricity price in winter will be implemented from 9:00 to 11:00 and 18:00 to 20:00. Peak electricity prices in the summer and winter seasons are unified based on the peak electricity price, with an increase of 20%.

It is reported that Jiangsu Province issued a notice of electricity price increase in October this year. According to the peak-valley time-of-use electricity price floating ratio table for industrial electricity in Jiangsu Province, peak-hour electricity price = market transaction electricity purchase price (or average on-grid electricity price for power purchase by grid companies) *(1+Floating ratio), the floating ratio of large industrial power consumption during peak hours is 71.96%, it can be seen that:
Large industrial peak electricity price = peak electricity price* (1+20%)

= Electricity purchase price in market transactions (or average on-grid electricity price for electricity purchase by grid companies)*(1+71.96%)*(1+20%)

=2.06*market transaction electricity purchase price (or average on-grid electricity price for electricity purchase by grid companies)

That is to say, the electricity price of large industries during peak hours is 2.06 times the market transaction price!

Starting from January 1, 2022, electricity prices in many regions will rise by up to 70%

Except for Jiangsu, a major chemical province that has raised electricity prices twice, several provinces, municipalities and regions have recently issued documents to increase peak and valley electricity prices in different proportions, and many policies have been implemented from January 1, 2022.

Gansu: 50% increase in electricity consumption during peak hours

Starting from January 1, 2022, for residents and agricultural production users in Gansu Province who implement the catalog sales electricity price, the electricity consumption standard during peak hours will be increased by 50% on the basis of the flat section standard, and the standard during the low period will be floated by 50% on the basis of the flat section standard.

Hainan: Strengthen the implementation of peak-valley time-of-use tariff mechanism

It is required to strengthen the implementation of the peak-valley time-of-use tariff mechanism, including expanding the scope of peak-valley time-of-use tariffs, canceling the peak-period planned electricity policy, improving the peak-valley time-of-use tariff policy for electric vehicle charging and replacement facilities, and establishing peak-valley time-of-use tariff dynamic adjustments Measures to improve the implementation of market-oriented power users. The adjusted peak-to-valley tariff policy will be implemented from January 1, 2022.

Jiangxi: 50% increase in peaks, 20% increase in peaks based on peaks

Electricity prices during peak hours will rise by 50%, during peak hours, electricity prices will rise by 20%, and trough electricity prices will fall by 50%. Market transaction electricity users fluctuate based on the current month's electricity purchase price (including electricity energy transaction price, transmission and distribution price). Government funds and additional, capacity (demand) electricity prices do not participate in the float. Industrial, commercial and other power users of 10 kV and above will be implemented from January 1, 2022. Starting from January 1, 2024, all industrial, commercial and other power users will implement time-of-use tariffs.

Shanxi: The peak rises by 60%, and the peak rises by 20% on the basis of the peak

According to the peak-to-valley difference rate of the power system in Shanxi Province, new energy consumption and system adjustment capacity, the peak-to-valley price difference is adjusted to 3.6:1, which means that the electricity price during peak hours will rise by 60% on the basis of electricity prices during normal times, and electricity prices during low times will be during normal times. The segment electricity price base floats by 55%, and the peak-hour electricity price rises by 20% on the basis of the peak-hour electricity price. The peak electricity price policy is implemented for large industrial power users in winter and summer each year. Among them, the winter is January and December 17:00-20:00; the summer July and August 18:00-20:00 are peak periods. Electricity prices will rise by 20% on the basis of peak-hour electricity prices, and will be implemented from January 1, 2022.

Yunnan: Floats by 50% during peak hours, and peaks by 20% on the basis of peaks

It will be implemented from January 1, 2022 to ensure that the time-of-use electricity price policy is fully implemented before June 30, 2022. The peak-to-valley price difference of time-of-use electricity is maintained at the current 1.5:0.5. Among them, users who purchase electricity on behalf of power grid companies are based on the power purchase price of power grid companies. Float down by 50%; market transaction electricity is based on the current month's electricity energy transaction price. The peak period electricity price rises by 50%, and the valley period electricity price falls by 50%. Government funds and additional and basic electricity charges do not participate in the float.

The peak electricity price will be implemented for 2 hours every January, May, November, and December every day from 10:30-11:30, 18:00-19:00, and the electricity price level will rise on the basis of the peak electricity price of this month. 20%. The scope of implementation of peak electricity prices is consistent with the scope of implementation of peak-valley time-of-use electricity prices.

Shandong: 50% above the peak and 70% above the peak

Starting from January 1, 2022, the industrial and commercial electricity prices in Shandong Province have fluctuated between 50% and 170% of the benchmark price. Among them: peak hours: upward 50%; peak hours: upward 70%; trough hours: downward 50%. All on-site adjustments should be completed before March 31, 2022.

From power cuts to guaranteed supply and price increases, the test of chemical companies continues

Speaking of the issue of electricity use, I believe that everyone still has fresh memories of my country's dual control of energy consumption and coal and other primary energy sources at the end of the third quarter of last year. The production suspension and restriction caused by power outages has a huge impact. Unseen phenomena such as "opening three and stopping four", "opening six and stopping one" have repeatedly appeared.

Since then, 26 provinces, cities and regions across the country have successively raised electricity prices, up to a maximum of 80%. The maximum peak-to-valley price difference between 14 provinces and cities including Beijing, Tianjin and Guangdong has exceeded 0.7 yuan/kWh. In addition to changes in the peak-to-valley price range, the peak and peak periods of the electricity price range in many provinces have also generally risen.

For a long time, China's "market coal, planned electricity" pattern has made the coal power game always exist. Under the pressure of the "dual carbon" target, the rise in coal prices this year has made this contradiction more prominent. The shortage of coal drove the rise in electricity prices, but the steady supply of coal did not bring about the much-anticipated drop in electricity prices. Looking at the current global crisis of coal, natural gas, oil and other energy sources, as well as the 800% surge in natural gas in Europe, and the high volatility of crude oil, the crisis of primary energy has not been resolved, and the tension of secondary energy such as electricity will not be "eradicated" in the short term.

Although many people regard "dual control of energy consumption" as a year-end test, the date of "dual control and dual limit" required in most notices has stopped at the end of December, but it does not mean that the global epidemic is severe and the energy crisis is The situation will suddenly improve in 2022. From power cuts to guaranteed supply and price increases, I don't know whether the chemical industry, as a high-energy-consuming industry, should be fortunate to have no worries about electricity, or should it be helpless by high prices.

It is not difficult to see that the regions where electricity prices have risen since January 1, 2022 include Jiangsu, Shandong, Shaanxi, Shanxi, Yunnan and other regions, and most of them are important cities in the chemical industry. For fine chemical, coal chemical, phosphorous chemical and other subdivisions Of tens of thousands of chemical companies will have a direct impact.

Just kicking off in 2022, the rise in electricity prices has already hit the spotlight. For chemical companies, it is undoubtedly a blow. On the one hand, power shortages and price increases will increase business operating costs and decrease operating rates. On the other hand, the simultaneous increase of electricity prices in many major chemical provinces will also affect the operating rate, market inventory, purchase and sales of multiple sub-industrial chains.