Market review: from March 7 to March 12, the power sector (882528. WI) fell 4.51%, the CSI 300 index fell 4.22%, and the power sector lagged behind the CSI 300 index by 0.28 percentage points. Since the beginning of 2022, the power sector has fallen by 8.04%, the Shanghai and Shenzhen 300 index has fallen by 12.83% over the same period, and the power sector has outperformed the market by 4.79 percentage points since the beginning of the year. In terms of molecular sectors, the thermal power, hydropower and gas sectors (CITIC index) rose and fell by – 3.81%, – 5.22% and – 8.34% respectively from March 7 to March 12
Qinhuangdao coal price remained unchanged month on month, with a year-on-year increase of 62.77%
On March 11, the market price of 5500 kcal thermal coal in Qinhuangdao was 940 yuan / ton, which remained unchanged month on month, with a year-on-year increase of 62.77%; On March 9, the comprehensive average price of 5500 kcal of Bohai Rim thermal coal index was 738 yuan / ton, a month on month decrease of 0.27% and a year-on-year increase of 27.24%. In terms of futures, the thermal coal contract delivered by Zhengzhou Commodity Exchange in May 2022 was quoted at 818 yuan / ton on March 11, with a discount of 122 yuan / ton compared with the spot price.
QinGang inventory rose 1.62% month on month, down 15.6% year-on-year
In terms of coal inventory, as of March 12, QinGang’s inventory was 5.03 million tons, an increase of 80000 tons month on month, an increase of 1.62%, a year-on-year decrease of 930000 tons, a decrease of 15.6%. The inventory of Guangzhou Port Company Limited(601228) 3 on March 11 was 2.04 million tons, with a month on month decrease of 128000 tons, a decrease of 5.9%, and a year-on-year decrease of 886000 tons, a decrease of 30.26%.
Weekly views and investment suggestions
Recently, he Lifeng, director of the national development and Reform Commission, mentioned in his speech that a large-scale wind power photovoltaic base of 450 million KW will be planned and built in deserts, Gobi and deserts, which is the largest plan in China’s history. In the future, China’s large base will consider ecological protection and green and harmonious development at the same time. In the future, wind and light projects that take into account biodiversity, such as photovoltaic desertification control and photothermal projects, are expected to be released continuously. For coal-fired power, he Lifeng stressed that coal-fired power enterprises should adhere to the principle of building first and then breaking down, build ultra supercritical generator units, and orderly transform old units with a power supply coal consumption of more than 300g / kWh. We believe that China’s coal dominated energy structure has gradually become an important consensus in the process of orderly promoting the dual carbon goal. In addition, according to the data of the national energy administration, in 2021, China’s grid connected photovoltaic power generation capacity increased by 54.88gw, including 25.6gw of centralized photovoltaic power stations and 29.3gw of distributed photovoltaic power stations. In 2021, the grid connected capacity of distributed photovoltaic will exceed that of centralized photovoltaic for the first time. We believe that the installation speed of distributed photovoltaic will advance steadily, which will become one of the main forms of renewable energy installation growth in densely populated areas such as the East and the middle, and play an important supporting role in the renewable energy installation of regional green power enterprises. In terms of electricity, we are still optimistic about the targets of thermal power transformation and new energy operation, including Shanghai Electric Power Co.Ltd(600021) , Huaneng Power International Inc(600011) , Jilin Electric Power Co.Ltd(000875) , Fujian Funeng Co.Ltd(600483) , China Resources Power and China National Nuclear Power Co.Ltd(601985) . Pure new energy operation company suggests paying attention to Zhongmin Energy Co.Ltd(600163) . In addition, we also recommend Suwen Electric Energy Technology Co.Ltd(300982) , an enterprise integrating operation and maintenance of intelligent power distribution projects, and we suggest paying attention to wubai power station, which is expected to inject China Yangtze Power Co.Ltd(600900) , a hydropower leader to improve the company’s profitability, and Huaneng Lancang River Hydropower Inc(600025) , which benefits from the continuous improvement of market electricity price in the province.
