Core Insights - Jiangsu Electric Power Company has significantly increased its green electricity trading, with a year-on-year doubling of inter-provincial green electricity purchases, totaling 180 billion kilowatt-hours, ranking first in East China [1] - The green certificate trading reached 2 million, placing Jiangsu among the top in the State Grid, with a green electricity environmental premium of 1-2 cents per kilowatt-hour, notably higher than the national average [1] - The establishment of a new power system is being driven by market mechanisms, which are crucial for efficient resource allocation and industry growth [1] Market Mechanism Importance - The market mechanism is essential for guiding diverse participants in system optimization, releasing time and space price signals, and providing precise guidance for investment and consumption [1] - In Jiangsu, inter-provincial market purchases account for 26.6%, with over 140,000 medium- and long-term market users, resulting in cost savings of 23.6 billion [1] Progress in Market Development - Jiangsu's electricity spot market has undergone seven trial settlements, showing good initial results and continuous improvement [2] - Future efforts should focus on clarifying the functional positioning of various markets and enhancing resource allocation efficiency through integrated design [2] Capacity Market and System Support - The capacity market is identified as a key element in supporting the new power system, with recommendations for a capacity compensation mechanism to guide resource investment and promote cost recovery for energy storage [2] - Establishing a three-dimensional value system encompassing energy, safety, and green aspects is crucial for internalizing external costs [2] Future Directions - Jiangsu aims to lead national market construction by exploring new high-quality development paths for the new power system under the guidance of market mechanisms [2] - Continued reforms and improvements in market mechanisms are expected to contribute significantly to the construction of the new power system and elevate the electricity sector in China [2]