Jiangsu New Electric 2 ¡Á 1000mw Unit Construction Project Feasibility Study

Jiangsu Province, as one of the most developed provinces in China, has been predicted that there will be a great gap in its electric power distribution during the Twelfth Five-year Plan period due to the speedy growth of the power consumption load. Under this circumstance, it is proposed that Xinhai Power Generation Company Ltd dismantle the small generator units in the old plant and set up two new 1000 MW units to ease the pressure of power shortage in the province in the next five-year plan period. While an early research and demonstration on the feasibility of this project is underway, the author of this paper is also carrying on his own research combined with his working experience so as to promote a more rational decision making and guarantee the investment effectivenessOn the basis of the electric power policy of "encouraging the big plants instead of the small ones" and the requirement of emission reduction and energy saving in China, this paper employs the common methods of feasibility study to explore the investment environment, market demands, location conditions, technology solutions, resources, environmental and social effection of this project in terms of the overall development plan in Jiangsu and the particular one in Lianyuangang City as well as all the factors in the company.. Then it continues with the investment estimation and the financial analysis on the project, followed by its risk identification and the overall risk evaluation.At the end, the paper draws a conclusion on the overall evaluation: it is necessary to establish the project because the commissioning of it will be able to partly solve the problem of the installed capacity deficiency of the electric networks in Jiangsu during the Twelfth Five-year Plan period and to relieve, to a certain degree, the province of the pressure from the electricity consumption and the environment protection, it is feasible to carry out the project for the ideal location of the new plant, the satisfying environment, and the advanced technology solutions, the guaranteed coal supply and transportation and the clear capital raising channels; and it is practical to build up the project for the investment estimation and the financial analysis show that the unit investment is as low as the profits are high and it can save the precious land and make good use of the former public facilities as well as the human resources by setting it up on the original plant.