Jiangsu Guoxin (SZ:002608)2022-11-21 06:24Group 1: Company Overview - Jiangsu Guoxin is primarily composed of two sectors: energy and finance, with a focus on traditional coal-fired power generation [2] - The company operates power plants mainly in Jiangsu and Shanxi provinces, with coal-fired plants located along the Jiangsu coastline and three coal plants in Shanxi [2] - The company aims to become a comprehensive energy service provider, enhancing traditional energy while actively participating in new energy projects and expanding energy storage initiatives [2] Group 2: New Energy Initiatives - Since the end of 2021, Jiangsu Guoxin has invested in new energy projects, which will help achieve carbon emission and carbon neutrality goals [2] - The company is exploring chemical energy storage and considering establishing carbon investment trusts to participate in the carbon market [3] Group 3: Coal and Electricity Pricing - The company anticipates that coal prices will stabilize in 2022, returning to a more reasonable range due to government efforts [3] - The long-term coal price for 2022 is yet to be finalized, pending guidance from the National Development and Reform Commission [3] - The long-term electricity price for 2022 is set at 0.466 yuan per kWh, approximately 20% higher than the benchmark coal-fired electricity price in Jiangsu [3] Group 4: Market Dynamics - The electricity market in Jiangsu is fully marketized for coal-fired generation, but residential and institutional electricity usage remains non-marketized [3] - All of the company's thermal power units have completed peak-shaving and frequency modulation upgrades, with varying costs depending on the depth of modifications and associated projects [4] Group 5: Auxiliary Services - To encourage thermal power companies to participate in peak-shaving and frequency modulation, the grid compensates based on participation depth, duration, and time slots [4] - The compensation costs for auxiliary services are shared among all regulated power generation companies, with thermal power units receiving higher compensation due to their significant participation [4]