Regulation Performance Of China’s Power Industry Under Inclusive Growth

As a basis for economic and social development of the energy sector, the power industry has great significance on ensure the normal operation of economy and promote inclusive economic growth in China. In 20c80 s, governments have liberalized electricity industry regulation, which has brought out the Global Blackout in 2003. At the same time, the pursuit of economic efficiency of the extensive single electricity production causes serious environmental damage. Therefore, the electric power industry regulation is unshakable, but the way and method require a combination of dynamic changes as the times change. The inclusive growth means the more harmonious development between man and nature and the sustainable development between society and economy. The inclusive growth underlines share benefits of economic growth with all people. It is what which power industry regulation desires today. And the healthy and orderly development of the power industry, but also will promote China’s inclusive growth.China’s power industry regulation has changed as time since 1985.In those years, generated electrical energy has increase remarkably and supply capacity has upgraded peacefully. So it has made a series of remarkable results. But it is undeniable that the reform is not enough, and the problem is still outstanding. But the production and the system can not keep up with the increasing economy. Existing power production levels and the system can not meet the conditions for economic growth leap. Also, due to the development of economy and society, people have not treat economic growth as the only target any more.They pay more attention to the inclusive growth of human beings and nature.In order to find the problems of China’s power industry regulation, I choose total production, price, efficiency, environment and equity to evaluate the regulation performance combined with the technical and economic characteristics of the power industry and inclusive growth theory. It was found that although China’s power industry regulation has achieved some success, there are still existed some issues such as unreasonable regulation, unplaced content regulation, insufficient industry competition, asymmetric market information. In view of this situation, we can solve them in two ways. On the government side, firstly, we can establish an independent regulatory agencies, and define the specific functions and regulatory content clearly. Secondly we should sort some function which market can solve out to the marke. Thirdly, we should optimize power distribution. Secondly, we should improve the layout. Specifically we need optimize the development of coal, give priority to the development of hydropower, nuclear security. Fourthly, we need to create a unified national platform to balance power’s supply and demand in different region. Fifthly, we can establish market of electricity trading mechanism in order that prices can self-regulate and achieve a fair auction and healthy competition. Sixthly, we can build an independent research organization to provide professional information to the government and solve the problem of information asymmetry. Finally, we should also build a public information disclosure and supervision platform for consumer’s supervision.For the electricity enterprise, firstly we should actively implement energy saving green development of new initiatives to improve power supply quality and service, At the same time, we should improve the ability of independent innovation in the enterprise and establish a modern enterprise system in power enterprise.