The Regulation Economics Analyses Of Optimizing Chinese Power Mix Structure

Electric power has great impact on the healthy running of the whole economy, as it is the vitals of the national economy. The sustainable of Chinese electric power production has been focused again in recent years for the tension of electric power supply. The structure of power energy source is one of the essential factors for the sustainable generating electricity, but now Chinese electric power production depends too much on fossil-fired power, too less on Hydroelectricity and nuclear energy. From 1985 to 2004, the yearly average proportion of fossil-fired power is about 81.4 percent, the highest proportion of nuclear energy is 2.3 percent which has been dropped behind for a long time, the Hydroelectricity developed fast even though that was far from its potential, and the new energy was lagged too because it was limited by the technology and equipment. This kind of power mix not only was unsustainable but also made seriously environment pollution, so we should realize the optimizing of the power mix. Now, relative regulation policy hasn't given proper answer to power investment system. And what's more, the price system of power still didn't employ the function on adjust power mix, though price of power affects the construction of power source deeply. To realize the sustainable supply of power, we should continue to research the regulation reform on this industry in order to optimizing the power mix. This thesis will anatomize the character of power mix structure in existence which makes against the sustainable production of power and give policy advice to settle the Market Failure problem after the power production side come in market.The preface of this thesis sets forth the significance of this subject and correlative literature summarize. The second chapter of this thesis expatiates on current changed circs of power production as well as the circs after the reform and Open Out, and forecasts the demand trend of power before the year of 2020 and 2050. The third chapter of this thesis analyses the limitation of Chinese power sources, manly targeted on fossil-fired power, Hydroelectricity and nuclear energy. The fourth chapter of this thesis compares the power source of China and other countries in order to use for reference, and definitize the direction of power mix optimizing. In the last chapter, the thesis discusses the policy used to optimizing Chinese power mix structure.