Huaneng Group, China’s largest power producer, aims to add more clean energy capacity over the next five years and will boost the share of clean energy in its total power installed capacity to 25 percent in 2015, a company official said on Tuesday.
That target is 10 percentage points higher than the 2010 level, said the company’s chief economist Wu Dawei, speaking at a forum in Beijing.
By 2015, China’s non-fossil fuel installed capacity should account for 33 percent of total power installed capacity, added Wu.
Beijing has set a target to have non-fossil fuels account for 15 percent of the country’s primary energy consumption by 2020 and the country’s five major state-owned power companies are stepping up efforts to meet the goal.
China’s power demand is expected to grow at an average yearly rate of 8.5 percent in the 2011-2015 period, said Wu, a drop from the 11.1 percent yearly growth in 2006-2010.
Huaneng Group is the parent of listed Huaneng Power International Inc and Huaneng Renewables Corp, China’s No.3 wind company, which it hopes to list in a Hong Kong initial public offering.
In 2010, Huaneng Group earned a profit before tax of nearly 7.0 billion yuan ($1.07 billion), mostly from its hydro power, wind power and coal businesses.
But its coal-fired power plants are in the red because they cannot pass on soaring coal costs, which account for about three quarters of their production costs, as power tariffs are set by the state.
