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China has emerged as the largest smart grid market in the world in recent years, given that
the country is in the transition process of rebuilding its grid network to meet its power sector
requirement and plans. The market presents strong growth opportunities given the fact that
the State Grid Corp., the utility responsible for majority of the country grid network, plans to
invest more than US$ 200 Billion in upgradation of existing conventional grid infrastructure to
smart grid infrastructure in future. The Chinese government has looked ahead in terms of the
needs of the countrys grid development, especially the smart grid projects. Their support has
been in the form of favorable rules that understood the situation and paved the way for the
necessary changes and institutions.
Chinas smart grid strategic agenda helps it to encourage the use of renewable energy and
reduce the country's reliance on the polluting coal power generation. China aims to deliver
southwestern region, as well as wind and solar resources concentrated in the northwest. This
power from renewable sources. While this makes them self sufficient, it also brings the
chance to feed back excess power into the system and of regulating usage during situations of
low generation.
Given the fact that China is a major solar and hydropower generating nation and that its
installed wind power capacity is highest in the world, smart grid technology would help its
network to integrate the thermal and renewable energy supplies. This would make for a safe,
stable and efficient grid that could transmit renewable energy power. Chinas focus on
renewable energy makes smart grid development a top priority since the renewable energy
that it generates cannot be utilized in large scale without smooth grid transmission that
comes from using smart grids.
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Competitive Landscape
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