Rainer Baake, State Secretary in the Federal Ministry for Economic Affairs and Energy, met with Mr Hu Zucai, Vice Chairman of the National Development and Reform Commission (NDRC) of the People's Republic of China, in Berlin today. During their meeting, they discussed the in both China and Germany and possibilities for closer cooperation between the two countries in this area. In view of the ongoing electricity market reform in China, the talks focused on issues relating to the electricity market design.
State Secretary Baake said: "Germany and China are both pioneers as regards the expansion of the use of . They aim to establish a secure, affordable and environmentally friendly energy supply. Therefore we have been working together since 2007 in the context of the Sino-German energy partnership and we have regularly shared our experience on the energy transition. China has clear, ambitious targets for better integrating renewable energies in its electricity system; it is currently reforming its electricity market. I am pleased about China's interest in the reform that Germany adopted last year, and I encourage China to consistently continue on the path that the country has embarked on."
China is currently undertaking a comprehensive electricity market reform. This electricity market reform aims to establish an efficient, competition-based market model and a market-based electricity price-setting mechanism. To reach this aim, China intends to gradually establish an electricity market for wholesale trade in electricity, to open electricity sales to competition, to introduce grid fees and to prevent the curtailment of renewable energy.