State Grid Corporation of China

With the approval of the State Council, the State Grid Corporation of China (SG) was established on the basis of a sum of enterprises and institutions formerly owned by the State Power Corporation of China. Its main duties and responsibilities are: to manage and operate the state-owned power grid assets and the related businesses entrusted by the State, to invest in, construct and run the trans-regional transmission and substation and interconnection system, to manage and operate the transmission and substation assets of trans-regional interconnection, to be responsible for the construction of transmission and substation project of the Three Gorges, and to be responsible for the dispatching and trading between regional power networks.

Now SG possesses five large power networks _Northeast, Northwest, North China, East China and Central China and three independent provincial (regional) power grids. 500 kV backbone frames have been formed in the trans-provincial grids and Shandong Power Grid, except the 330 kV grids frame in the Northwest of China. These grids cover most urban and rural areas in China except those located in Guangdong, Guangxi, Yunnan, Guizhou, Hainan and Taiwan, providing consumers of power with excellent electric energy and reliable services. At present, SG possesses 160,000 km transmission lines at 220 kV and above, among which 30,000 km at 500 kV, 10,000 km at 330 kV, 12,000 km at 220 kV, with a total substation capacity up to 430 GVA at 220 kV and above. Now, SG is positively working on the program of “transmission from west to east, supply between north and south, nationwide interconnection”. The short-term goal of SG is to take the Three Gorges Power Plant as the hub, with multipoint interconnection of north and south grids, close connection of longitudinal channels, high operation flexibility and prevention of blackouts in large areas extends the grid in four directions of east, west, north and south, so as to form the three major power supplying routes of north, middle and south.

Currently, there are 728 thousand employees totally working for SG, among which 552 thousand employees (71.1%of the total) are engaged in the field of industry, 157 thousand employees (21.6%of the total) are engaged in the field of architecture and 14.6 thousand employees (2%of the total) are working in the research and design institutes.

China Southern Power Grid Corporation Ltd.

With the approval of the State Council, China Southern Power Grid Corporation Ltd. (CSG) is a co-funded and established corporation by the investment subjects on the basis of the former Guangdong Provincial Power Group Corporation, the former SP’s affiliated Southern Company, Yunnan Provincial Power Group Corporation Ltd, Guizhou Provincial Power Corporation as well as Hainan Provincial Power Corporation. The investment subject was authorized by Guangdong provincial government, the former SP and Hainan provincial government. CSG is administered by the central government, with independent budgetary status. The total assets of the new power grid operator surpass 203.8 billion yuan (US$24.10 billion) and its registered capital is 60 billion yuan (US$7.23 billion). Its main responsibilities are: to operate and manage power grid according to the law, ensure reliable power supply, plan the development of regional power grid, foster regional power market, manage power dispatching and trading center, and carry out power dispatching according to power grid operation laws and the market regulations.

CSG is one of the regional power grids with the largest installed capacity in China, also a power grid with abundant developmental potential. It covers Guangdong, Guangxi, Yunnan, Guizhou and Hainan five provinces (regions), linking with Hong Kong and Macao. There are hydropower, coal-fired power, nuclear power, pumped storage, oil-fired power, gas-fired power, wind power etc. various power sources in the grid. As of the end of 2002, the total installed generating capacity amounted to 63,880 MW (not including Hong Kong and Macao), the length of 500 kV transmission lines totaled 7985 km with substation capacity of 32,400 MVA; the length of 220 kV transmission lines totaled 22,677 km, with substation capacity of 67,680 MVA. In 2002, the unified dispatched peak load of whole grid amounted to 34,200 MW.

CSG will play a positive role in implementation of marker project of large scale development in the west regions_“sending power from west to east” strategy and in the realization of “east-west win-win” target. By the end of 2002, CSG had accumulatively sent electricity of 52.3 TWh and 24.2 TWh from the western regions to Guangdong and Guangxi respectively, sent out electricity of 23.4 TWh from Yunnan and Guizhou power grids. Now, Guangdong Province and the western provinces (region) have signed the frame agreement on enlarging the scale of “sending power from west to east” in the Tenth Five-year Plan and after years.