With the progress of industrialization and urbanization in China,the consumption of energy has been increasing continuously.Coal-based energy structure has serious effects on environment and the health of residents,therefore the society and the community have paid more and more attention on the issue of clean substitution and energy transformation.Biomass energy is one of the most important clean energy,and biomass power generation is the most effective method of biomass usage.With a series of related policies,biomass power generation industry has entered a boasting period.However,it is facing with series of problems such as hard to get in grid and unreasonable electricity price.As price is of great importance to products,reasonable electricity price and its formation mechanism are crucial to the biomass power generation industry.In order to promote biomass power generation industry development rapidly,soundly and sustainably,the price formation mechanism of biomass power generation has been discussed in this paper.Firstly,this paper analyzes the types of the price formation mechanism of renewable energy,introduces the practical experiences of developed countries and development of China’s biomass power generation price formation mechanism.Secondly,in order to research the effect of price formation mechanism in China,the Cointegration theory and regression analysis have been chosen as the research method,and subsidies has been chosen as a breakthrough point.Then using the learning curve theory and levelized cost of energy(LCOE)model,this paper studies the levelized cost of energy in three typical provinces(Shandong,Jilin and Gansu),and then it has been studied that economic benefit analysis,cost change analysis and driving force analysis of cost reduction.Finally,according to the previous research,some policy suggestions have been put forward to improve the price formation mechanism of biomass power generation.The research results show that effective as the price formation mechanism is,it still needs to be improved.It is necessary to adhere to the feed-in tariff as main pricing policy,and making different pricing according to the principle of ’reasonable cost and reasonable profit’,which based on the generating cost in different provinces.Secondly,the competitive bidding system should be promoted as a useful supplement to the feed-in tariff system,because power price can be reduced effectively with the bidding system.Finally,the key factors affecting the cost of power generation such as fuel cost should be properly dealt with,so the government can actively guide the reduction of power generation cost and gradually establish the feed-in price escalation mechanism,therefore grid parity of biomass power generation can be reached as soon as possible. |