Research On Investment Efficiency Evaluation And Promotion Strategy Of Thermal Power Enterprises

Under the help of the rising global climate problem,the escalation of energy geopolitics and the escalating energy crisis,expedite energy transformation has become a together strategic step all over the world.The Chinese government also made a commitment of "carbon peak and carbon neutral" in 2020,but for China,due to the resource endowment of "rich coal,poor oil and less gas",the power generation structure mainly burning coal,and in the short term,high-carbon thermal power generation will still dominate.Therefore,the lowcarbon energy transition is by no means a "one-size-fits-all" approach for the power industry.How to purely and highly change coal to electricity is the key.This requires thermal power enterprises to make appropriate decisions on transformation and upgrading,and accelerate the transformation into green and low-carbon comprehensive energy enterprises.However,in recent years,due to the continuous changes of economy,market,thermal power enterprises are squeezed out by multiple pressures,the profit space is greatly compressed,and the business situation is not optimistic.As efficient investment activities impact the achievement and longterm development of company,thermal power companies in the transition period need to be more guarded on decide to invest and improving investment efficiency.Consequently,it is of some research meaning to estimate the investment efficiency of thermal power companies and make corresponding improvement strategies.Based on the above background,This paper choose an old thermal power company located in Henan,a big coal province —— Henan Yuneng Holdings Co.,Ltd.(hereinafter referred to as: Yuneng Holding)as a case company,research can holding and thermal power enterprises under the external environment of investment and investment efficiency and promotion strategy.Firstly,the current investment status of thermal power enterprises and Yuneng Holding is analyzed;again,the investment efficiency evaluation system of thermal power enterprises is constructed,and the static and dynamic investment efficiency of Yuneng Holding and the industry are calculated and analyzed.Finally,combined with the above analysis conclusions,the possible problems in the investment and investment efficiency of Yuneng Holding are deeply explored,the causes are analyzed and the targeted investment efficiency improvement strategies are put forward,so as to offer reference for the company and the industry to promote the investment efficiency.Through the research,it is found that the assets of Yuneng holding are weak,the major shareholders are obvious,the external supervision and binding force are weak,management and technique is under-investment,and theirs improvement level became faint.In addition,the company’s repay on invested capital and equity are lower than the average level,and the main products income and total profit fluctuate greatly,which profitability is weak.According to the analysis of static investment efficiency,primarily due to the low level of pure technical efficiency,and the scale efficiency fall short of the effective level,the integral efficiency of Henan Energy holding is not ideal.In the analysis of dynamic investment efficiency evaluation,we concluded that the investment efficiency of the company during the research period showed a backward trend,and the transformation of pure technical efficiency decreased significantly,which is the major cause for the reduction of the integral efficiency vary.Therefore,this paper shows that Yuneng Holdings may have insufficient investment scale,unbalanced investment structure,low management level,lack of technological innovation,defective governance structure,lack of high-quality human resources,weak profitability,and inefficient cost control.In view of the above problems,this paper proposes to reasonably expand the investment scale,optimize the investment structure,improve the level of operation and management,enhance the ability of technological innovation,improve the corporate governance structure,strengthen the talent introduction and training,accelerate the industrial transformation and upgrading,and pay attention to the inventory cost control.At the same time,from the viewpoint of the government and the industry,in order to help thermal power enterprises to solve the investment and investment efficiency related problems.