同时，能源集团换新售电公司也于日前成功通过江苏电力负荷管理中心、江苏省电力交易中心虚拟电厂 运营资质审核，标志着连云港市首家虚拟电厂注册入市。能源集团充分利用该资质，深入探索创新业务 模式，持续挖掘省内能源潜力，聚合分布式电源、用户侧储能、充换电设施、工商业可调节负荷等分散 资源，参与电力需求响应；以虚拟电厂的身份投身省级电力交易市场，全面提升能源服务、市场化运营 与智能管控能力。 本报讯(张思勉顾瑶)近日，连云港市能源集团在全国温室气体自愿减排交易系统(CCER)上完成全市首笔 碳汇市场化交易。该笔交易是能源集团践行"绿水青山就是金山银山"理念、温室气体自愿减排政策的重 要实践，标志着能源集团在"风光氢储汇"一体化产业布局道路上迈出了关键一步，碳汇业务将与风能、 光能、氢能、储能等业务板块相互协同、相互促进，助力连云港市形成完整的绿色能源产业链条。 ...

Financial Data and Key Metrics Changes - Adjusted earnings per share for Q2 2025 were $1.73, reflecting an 8% growth year over year when normalized for asset sales and retirements [10] - For 2025, adjusted EPS was $4.42, representing an increase of 48% on the same basis [10] - Adjusted EBITDA for Q2 was $900 million, while adjusted net income was $339 million [22] - Free cash flow before growth was $914 million for Q2 and $1.207 billion for 2025, exceeding the same periods in 2024 by $251 million [25][26] Business Line Data and Key Metrics Changes - Texas segment produced $512 million of adjusted EBITDA in Q2 2025, an improvement of over 1320% from the same period in 2024 [24] - East segment contributed adjusted EBITDA of $99 million in Q2 2025, driven by higher margins from the natural gas business [24] - Smart Home business achieved an adjusted EBITDA of $255 million in Q2 2025, with record customer retention at over 90% [25] Market Data and Key Metrics Changes - The company announced long-term retail power agreements with a data center operator for an initial 295 megawatts, with potential growth to one gigawatt [8][14] - The Texas residential virtual power plant (VPP) program exceeded expectations, increasing the 2025 target from 20 megawatts to 150 megawatts of curtailable capacity [20] Company Strategy and Development Direction - The company is focused on expanding its footprint in attractive power markets, including PJM and ERCOT, through acquisitions and strategic partnerships [11][12] - The T.H. Wharton project is on track for mid-2026 completion, supporting reliability and strengthening the Texas grid [17] - The company is actively working to expand its data center agreements and has over 4 gigawatts of joint development agreements and letters of intent across multiple sites [15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to deliver value to shareholders and reaffirmed full-year financial guidance across all key metrics [7][29] - The management highlighted the strong execution in each segment, driven by expanded margins and favorable weather [23] - The company is optimistic about the long-term demand for additionality in power supply, particularly for data centers [92] Other Important Information - The company closed the Rockland acquisition during the quarter, integrating Texas assets into its portfolio [11] - The Texas Senate Bill 6 was signed into law, providing new tools to support reliability and improve long-term planning in the ERCOT market [18] Q&A Session Summary Question: Can you talk about the structure of the 295 megawatts agreement? - Management views it as a C&I contract with premium margins, longer duration than average C&I contracts, and various mechanisms to protect margins [35] Question: What is the line of sight to convert the four gigawatts to actual ESAs? - Management is optimistic but does not want to predict specific timelines due to complexities involved [48] Question: How is the VPP opportunity shaping up? - Early results show strong uptake, but management is cautious about making long-term projections based on initial momentum [82] Question: What is the difference between the new contract and other C&I contracts? - The new contract offers a longer duration and premium pricing, providing assurance for customers [62] Question: What is the current outlook for power prices in Texas? - Management sees potential upward movement in power prices driven by large industrial loads and tight grid conditions [93]

Financial Data and Key Metrics Changes - Adjusted earnings per share (EPS) for Q2 2025 were $1.73, reflecting an 8% growth year over year when normalized for asset sales and retirements [8] - For 2025, adjusted EPS was $4.42, representing a 48% increase on the same basis [9] - Adjusted EBITDA for Q2 was $900 million, while adjusted net income was $339 million [21] - Free cash flow before growth was $914 million for Q2 2025, exceeding the same period in 2024 by $251 million [24] Business Line Data and Key Metrics Changes - The Texas segment produced $512 million of adjusted EBITDA in Q2 2025, an improvement of over 1320% from the same period in 2024 [23] - The East segment contributed adjusted EBITDA of $99 million in Q2 2025, driven by higher margins from the natural gas business [23] - The Smart Home business achieved an adjusted EBITDA of $255 million in Q2 2025, with record customer retention at over 90% [24] Market Data and Key Metrics Changes - The company announced long-term retail power agreements with a data center operator for an initial commitment of 295 megawatts, with potential growth to 1 gigawatt [7] - The Texas residential virtual power plant (VPP) program exceeded expectations, increasing the 2025 target from 20 megawatts to 150 megawatts of curtailable capacity [20] Company Strategy and Development Direction - The company is focused on expanding its footprint in attractive power markets, particularly through acquisitions and partnerships in the data center sector [11][12] - The T.H. Wharton project is on track for mid-2026 completion, supporting reliability and strengthening the Texas grid [17] - The company is actively working to expand its data center agreements and has over 4 gigawatts of joint development agreements and letters of intent across multiple sites [15] Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the company's ability to deliver strong results for the remainder of the year, citing exceptional first-half performance [27] - The management team highlighted the importance of disciplined execution and long-term value creation [20] - The company is optimistic about the demand for additionality in the market, particularly from data centers [90] Other Important Information - The company reaffirmed its full-year financial guidance across all key metrics and is trending at the high end of the ranges [6][25] - The acquisition of a 13-gigawatt natural gas generation portfolio is expected to enhance the company's ability to serve large loads and accelerate long-term earnings growth targets [11] Q&A Session Summary Question: Can you talk about the structure of the 295 megawatts agreement? - Management views it as a C&I contract with premium margins, longer duration than average C&I contracts, and various mechanisms to protect margins [32] Question: What is the outlook for converting the 4 gigawatts of LOIs to actual contracts? - Management is optimistic but does not want to predict specific timelines due to the complexities involved [47] Question: How is the Texas residential VPP performing? - The program is exceeding expectations, with adoption rates significantly higher than initial targets [20] Question: What is the margin structure for the new data center agreement? - The margin is well protected and structured to maintain levels as initially priced, though specific details are confidential [88] Question: How are power prices in Texas expected to trend? - There is an upward movement in off-peak prices driven by large industrial loads, with potential for further increases as load data becomes available [92]

Core Insights - The virtual power plant aggregation model is a crucial flexibility resource in new power systems with a high proportion of renewable energy, addressing frequency stability issues through market-based balancing management mechanisms [1][3] Group 1: Market Mechanisms - Germany's balancing market includes three product categories: Frequency Control Reserve (FCR), Automatic Frequency Restoration Reserve (aFRR), and Manual Frequency Restoration Reserve (mFRR), each corresponding to different frequency control services [1] - The balancing market structure in Germany provides stable revenue and flexible response value, allowing virtual power plants to secure predictable fixed income while reducing market risks [2] - The inclusion of aFRR and mFRR products allows resources to participate without needing equal upward and downward adjustment capabilities, broadening the range of eligible resources [2] Group 2: Virtual Power Plant Operations - In China, virtual power plants primarily generate revenue through participation in the electricity spot market, demand response, and auxiliary service markets, with increasing demand for flexible adjustment resources [3] - The operational model of virtual power plants in Germany leverages digital and intelligent technologies to coordinate distributed resources for market participation, enhancing trading efficiency [4] - Recommendations include establishing clear entry mechanisms for virtual power plants in auxiliary service markets and developing performance testing standards to ensure fair participation [3][4] Group 3: Cross-Regional Coordination - Germany's balancing market participates in European cooperation projects, allowing cross-border procurement of balancing resources, which is essential for integrating high proportions of renewable energy [5] - Suggestions for China include breaking down inter-provincial barriers to allow surplus resources to participate in markets in resource-scarce areas, enhancing overall grid safety and economic efficiency [5] Group 4: Resource Aggregation and Flexibility - The common business model of German virtual power plants aggregates distributed renewable energy, flexible units, storage, and loads to create a larger scale for market participation [6] - In contrast, China's virtual power plant concept emphasizes load control, which limits resource expansion and introduces uncertainty in adjustment capabilities [6] - Recommendations include incorporating highly flexible new resources and exploring diverse system balancing products to enhance the effectiveness of resource integration and control [6]

Summary of Virtual Power Plant Conference Industry Overview - The conference focused on the **virtual power plant (VPP)** industry, which integrates distributed energy resources to participate in demand response, ancillary services, and the electricity spot market, aiming for grid balance and maximized revenue [1][2]. Key Points and Arguments Business Model and Profitability - The VPP's business model supports grid balance, traditionally managed by thermal power plants. With increasing renewable energy capacity, the demand for balancing capabilities has risen. VPPs provide flexible and economical balancing by integrating distributed energy resources [2]. - VPPs engage in demand response by reducing user electricity consumption during supply shortages, receiving compensation for this service. They also participate in ancillary services and the spot market to maximize revenue through real-time trading [2][4]. Market Dynamics - The electricity spot market has normalized demand response, allowing companies to continuously engage in energy trading and earn profits. Key provinces like **Shandong, Shanxi, and Guangdong** have established policies that enable VPPs to leverage their advantages [4]. - Real-time prices in the spot market reflect supply-demand balance, allowing companies to adjust their electricity usage strategies accordingly. The comparison of baseline and real-time loads provides reliable data for optimizing operational strategies [4]. Ancillary Services - Ancillary services, including ramping and frequency regulation, are crucial for addressing fluctuations in renewable energy generation. These services provide additional revenue streams for VPPs [8]. - Ramping services require quick response resources, while frequency regulation involves complex calculations that affect settlement prices based on performance coefficients [8]. Differences Between VPPs and Retail Electricity Companies - VPPs focus on optimizing energy usage through demand response and ancillary services, while retail electricity companies primarily assist consumers in purchasing energy at lower costs [9]. Industry Chain Composition - The VPP industry chain consists of three parts: - **Downstream**: National grid as the main entity for electricity transactions. - **Midstream**: Aggregation platforms or companies that integrate resources. - **Upstream**: Energy storage, distributed photovoltaics, and adjustable loads [11]. Role of Adjustable Loads - Adjustable loads are pivotal for VPP development, allowing entities like bus stations and high-energy-consuming industries to profit by adjusting their electricity usage [12][14]. Technological Requirements - Key technological requirements for VPPs include high-quality load forecasting and aggregation capabilities. Accurate predictions are essential for participating in the day-ahead market and ensuring compliance with performance standards [15][16]. Additional Important Insights Future Trends - The future of VPPs includes stricter compliance assessments and more detailed trading varieties. The construction of VPPs in Germany serves as a reference model for China [24]. - The development of VPPs globally shows significant differences, with Europe and the U.S. having more mature systems compared to China's early-stage market [25][26]. Challenges in China - China's VPP development faces challenges such as limited profitability for retail electricity companies and the need for technological upgrades in high-capacity enterprises to support frequent operations [27][29]. Policy Impact - The spot market and related policies are crucial for advancing VPPs in China, with increasing provincial participation and clear timelines set by regulatory documents [28]. This summary encapsulates the essential aspects of the virtual power plant industry as discussed in the conference, highlighting its business model, market dynamics, technological needs, and future directions.

Core Viewpoint - The Shandong provincial government is implementing "Eight Major Actions" to promote high-level consumption of renewable energy, with a focus on collaboration among sources, networks, loads, and storage [1]. Group 1: Investment and Infrastructure - The company aims to increase investment to strengthen the foundation for renewable energy consumption by accelerating the construction of various voltage level power grid projects, including the Yanwei UHV and 500 kV highland and Bohai projects [3]. - A systematic transmission pattern of "East Electricity West Send" and "North Electricity South Send" will be established to enhance resource allocation and adaptability of the Shandong power grid, ensuring smooth grid connection and reliable delivery of renewable energy projects by 2025 [3]. Group 2: Optimization of Resource Utilization - The company is enhancing scheduling capabilities to ensure optimal utilization of various consumption resources, continuing the "Qingfeng Wanyang" initiative to support early grid connection and effectiveness of energy storage and flexible thermal power projects [3]. - The development of an AI-based intelligent scheduling system is underway to improve the control level of the grid in response to a high proportion of renewable energy [3]. Group 3: Innovation and Market Development - The company has established the first provincial-level virtual power plant service center in the country to support the large-scale development of virtual power plants, aiming to exceed 1 million kilowatts of regulation capacity within the year [4]. - Efforts are being made to deepen the inter-provincial electricity spot market construction to maximize the sale of surplus renewable energy between provinces, thereby expanding consumption pathways [4]. Group 4: Commitment to Policy Implementation - The company is committed to implementing the provincial government's decisions and fully executing the tasks of promoting high-level renewable energy consumption, coordinating projects, policies, and market measures to contribute to the construction of a green, low-carbon, and high-quality development zone in Shandong [4].

Group 1: Real Estate - The new phase of real estate has begun, but a policy push is needed to stabilize housing prices, with a critical window expected around April-May 2025 for potential policy measures [1] - Anticipated policies include lowering housing financing costs, meeting improvement housing demands, increasing land reserves, and enhancing liquidity support for real estate companies [1] - Long-term bottoming of housing prices is expected, favoring developers and service platforms that excel in construction, asset management, and service provision [1] Group 2: Consumer Sector - 2025 may mark a turning point as internal demand becomes a focus due to ongoing external pressures, with fiscal policies aimed at boosting consumption becoming clearer [2] - Three main trends in the consumer sector are identified: rational consumption, emotional spending for satisfaction, and new consumption opportunities driven by technological advancements [2] - The consumer sector is expected to stabilize, with Q2 2025 likely being a bottoming point for many industries, suggesting a shift towards a balanced investment strategy [2] Group 3: Financial Products - New regulations for bank distribution of financial products are set to enhance professionalism and protect investor interests, potentially leading to a reshuffling in the industry [5] - Stricter standards for private fund access will benefit top-tier managers, while public fund managers face challenges due to increased competition [5] Group 4: Infrastructure and Urban Renewal - The central government is expected to support urban renewal initiatives, which will stimulate investment and consumption, creating new opportunities for sustainable growth [10] - The focus on urban renewal is anticipated to generate physical work and expand spending in leisure and entertainment, contributing to stable internal demand [10] Group 5: Environmental and Energy Sector - The development of virtual power plants is expected to accelerate, with significant capacity growth projected by 2027 and 2030, benefiting from the rise of renewable energy [11] - The industry is likely to overcome current barriers in technology standards and market mechanisms, paving the way for rapid growth [11] Group 6: Manufacturing Sector - The manufacturing sector faces challenges from U.S. tariffs but has significant potential for growth in non-U.S. export markets and domestic demand [14] - Companies with strong competitive advantages and those benefiting from internal circulation are recommended for investment [14] Group 7: Corporate Behavior - A surge in share buybacks and increases in corporate holdings is observed, with total planned amounts exceeding 73 billion [12] - The support from state-owned enterprises for buybacks indicates a positive outlook for market management and potential future increases in corporate actions [12]