Key recommendations: Miracle Automation Engineering Co.Ltd(002009) , Beijing Geoenviron Engineering & Technology Inc(603588) , Shandong Intco Recycling Resources Co.Ltd(688087) , Dynagreen Environmental Protection Group Co.Ltd(601330) , China water, Suzhou Shijing Environmental Technology Co.Ltd(301030) , Henan Bccy Environmental Energy Co.Ltd(300614) , Yutong Heavy Industries Co.Ltd(600817) , Everbright environment, Grandblue Environment Co.Ltd(600323) , Jiangxi Hongcheng Environment Co.Ltd(600461) , country garden services, Fujian Longma Environmental Sanitation Equipment Co.Ltd(603686) , China Resourcesand Environment Co.Ltd(600217)
Suggestions: Zhejiang Weiming Environment Protection Co.Ltd(603568) , Chongqing Sanfeng Environment Group Corp.Ltd(601827) , green city service, China Tianying Inc(000035) , conch Entrepreneurship
Gansu Province actively cultivates the hydrogen energy industry, and the hydrogen production capacity of renewable energy in the province during the “14th five year plan” has reached about 200000 tons / year. 1) Accelerate the pilot of hydrogen production from electrolytic water; 2) Orderly promote the infrastructure construction of hydrogen production industry, and plan a “five in one” hydrogen energy industrial park for hydrogen production, hydrogen storage, hydrogen transportation, hydrogen refueling station and hydrogen fuel cell; 3) Demonstration and promotion of green hydrogen metallurgy and green hydrogen chemical projects, and green hydrogen substitution in energy and chemical bases; 4) Explore the commercial application scenarios of carbon capture and storage technology. During the 14th Five Year Plan period, the hydrogen production capacity of renewable energy in the province reached about 200000 tons / year.
Implementation plan for establishing and improving the green low-carbon circular development economic system in Heilongjiang Province: 1) by 2025, the proportion of green industry will be significantly increased, and the production system, circulation system and consumption system of green low-carbon circular development will initially take shape; 2) Energy consumption per unit of GDP decreased by 15%, carbon dioxide emissions per unit of GDP decreased by 16%, the proportion of non fossil energy consumption increased to about 15%, and the installed capacity of non fossil energy accounted for more than 50%; 3) By 2035, the scale of green industry will reach a new level, green production and lifestyle will be widely formed, and carbon emissions will decline steadily after reaching the peak.
Benchmarking the EU to see the development of China’s carbon market: the two core mechanisms are taking shape, the carbon price is rising for a long time, and CCER is bullish for a short time. To resume the EU carbon market, the total amount control and MSR mechanism are the key to carbon price balance. The development of China’s carbon market is similar to that of the EU. It already has the prototype of total amount control market regulation mechanism. At present, the transaction scale and covering industries have large room to improve, the carbon price is far lower than overseas, the double carbon target time is tight, the task is heavy, the total amount tightening drives the long-term upward trend of carbon price, and the carbon market releases the demand of CCER, Previously, the recorded emission reduction of CCER in China totaled more than 50 million tons, which lasted for 4 years. We expect to basically perform the contract, and the approval policy is expected to restart. We expect the supply scarcity price of CCER to rise in the near future.
Carbon neutralization investment framework and environmental protection industry mapping: build an investment framework from front-end energy substitution, middle-end energy conservation and emission reduction and back-end recycling, and provide effective institutional support for carbon trading. From the perspective of environmental protection, 1) energy substitution: adjust the front-end energy structure, and pay attention to the substitution demand for sanitation new energy equipment and renewable energy (waste incineration, etc.). 2) Energy conservation and emission reduction: promote industrial transformation in the middle end and pay attention to energy conservation management & Application of emission reduction equipment. 3) Recycling: promote the recycling of renewable resources such as waste classification, waste household appliances / cars and hazardous waste recycling. 4) Environmental consultation: the improvement of environmental management promotes the expansion of the demand for environmental consultation. 5) Carbon trading: encourage the development of CCER projects such as renewable energy (waste incineration / biomass utilization), methane utilization (sewage treatment / biogas utilization), forestry carbon sequestration, etc.
Focus on clean energy, circular economy and methane emission reduction under the China US cooperation framework and the deployment of double carbon action. 1) Deepen clean energy: [photovoltaic treatment] the prosperity of photovoltaic is upward, and the demand for process pollution treatment equipment is released: it is recommended to pay attention to Suzhou Shijing Environmental Technology Co.Ltd(301030) ; [sanitation electrification] sanitation new energy helps to reach the peak of carbon, and Yutong’s share increases & profit leading verification advantage: it is recommended to pay attention to Yutong Heavy Industries Co.Ltd(600817) ; [waste incineration] the leader of waste incineration is always strong, the cash flow & profit is improved, the value is revalued, and Everbright environment is recommended; Excellent integration ability helps share expansion, and the cost reduction and efficiency increase expansion of large solid waste comprehensive industrial park can be expected: key recommendations: Grandblue Environment Co.Ltd(600323) ; It is recommended to pay attention to Zhejiang Weiming Environment Protection Co.Ltd(603568) , Dynagreen Environmental Protection Group Co.Ltd(601330) , Chongqing Sanfeng Environment Group Corp.Ltd(601827) . 2) Circular economy development: [hazardous waste recycling] recycling high-quality tob track, copying Yuhong’s advantages and recycling the leader of recycling, with emphasis on Beijing Geoenviron Engineering & Technology Inc(603588) ; [battery regeneration] power battery regeneration welcomes the long cycle and high boom, and the leading players in the automotive aftermarket actively layout and enter the site, with emphasis on Miracle Automation Engineering Co.Ltd(002009) ; [recycled plastics] it is the leader in the scarcity of recycled plastics, the whole industrial chain & global layout, technical advantages, and explore the blue ocean of plastic recycling, with emphasis on Shandong Intco Recycling Resources Co.Ltd(688087) ; It is suggested to pay attention to conch cement kiln for collaborative disposal of solid and hazardous wastes; 3) Increase the target of methane carbon reduction: [methane utilization] landfill gas is mainly composed of methane. The company is the leader of landfill gas power generation. The installed capacity will account for 20% in 2020. The profit elasticity of carbon emission reduction is large, and Henan Bccy Environmental Energy Co.Ltd(300614) is mainly recommended; Pioneer in biogas production and utilization of organic waste, with emphasis on Welle Environmental Group Co.Ltd(300190) . [water revaluation] high dividend & accelerated growth, revaluation of the value of comprehensive public utility platform, with emphasis on Jiangxi Hongcheng Environment Co.Ltd(600461) ; It is suggested to pay attention to China’s water affairs.
Latest research: Dynagreen Environmental Protection Group Co.Ltd(601330) depth: steady growth of pure operating assets, debt reduction and profit increase & double increase in volume and efficiency Suzhou Shijing Environmental Technology Co.Ltd(301030) ; Hydrogen energy series research 1 – Analysis of hydrogen energy industry chain; Comments on biomass subsidy funds: the Ministry of Finance issued the renewable energy subsidy of State Grid in 2021, photovoltaic Expansion & waste incineration, focusing on carbon emission reduction and residents’ payment
Risk tip: the policy promotion is less than expected, the interest rate is higher than expected, and the financial expenditure is lower than expected.
