March, 3-14,the fifth meeting of the Eleventh National People’s Congress and the fifth meeting of the Eleventh CPPCC National Committee were held in Beijing. Standing committee member of the CPPCC, and board chairman of Tongwei group Mr. Liu Hanyuan attended the Sessions and made proposals on issues of ‘further expanding domestic PV installed capacity and speeding up PV generation infrastructure construction in Western China’, and ‘vigorously developing non-governmental financial industry, and effectively relieving financing difficulties for private companies.’

Mr. Liu said, energy is the indispensable material basis for human survival and development. Energy development and utilization is an important indicator of economic development, as well as scientific and technological level of an era or a country. It also has a direct bearing on sustainable economic development and people’s living standard. During China’s rapid rise during three decades of reform and opening up, the fundamental solution to China’s energy security problem, along with clean energy search and development have become major issues facing sustainable development, as well as existence and survival of human beings. These issues have vital realistic significance and far-reaching strategic security significance, especially for fast-developing China with a rapid increase of energy consumption. China’s per capita hold of resources, however, is lower than the global average. it is necessary to further expand installed capacity, and promote PV generation infrastructure construction in Western China to fundamentally solve China’s energy consumption problem for its peaceful rising. Taking the lead in the new energy era, China needs to promote the industry’s development. This is not simply a matter concerning development of the trade or industry, but also the real benefit of Chinese People from solar energy – the most economical and eco-friendly sustainable energy. More importantly, developing PV industry can alleviate pressure on China’s resources, and it is the inevitable choice for China to ensure its energy security in the long run. Meanwhile, China’s vigorous development of PV industry can help itself establish a good image in environment protection, energy conservation and emission reduction in the world. This is not just an issue at energy security and economy level, but more importantly, at morality and sense of responsibility level. Furthermore, it is the necessary requirement of being a responsible global power. It is also the breakthrough point for China to re-model the world’s ethical standards and moral image during the process of the nation’s rise and development.

As for the current industry trend, Mr. Liu Hanyuan proposed to further make a detailed plan on on-grid tariff and release administrative approval restriction. Meanwhile, he suggested that PV industry related standards be made and improved. In addition, it is necessary to unveil Renewable Portfolio Standard and clearly stipulate quota proportion for grid enterprises at different places, so as to speed up the access of renewable energy power to electricity end market. He further suggested that the State establish financing support policy to encourage and guide the participation of financing capital market into PV industry development.

Mr. Liu suggested speeding up the mechanism creativity of non-government finance. May, 2010, the State Council issued the Several Opinions of the State Council on Encouraging, Supporting and Guiding the Development of Individual, Private and Other Non-public Sectors of the Economy.It is necessary to further enlarge the fields and scope of private investment, thoroughly implement a series of policies and measures, encourage and guide the entry of private capital into the industries and fields where such entry is not explicitly forbidden by a law or regulation. It is important to clearly define the scope of government investment. Government investment shall be mainly made in the economic and social fields which relate to the national security and where resources cannot be allocated effectively through market. We shall encourage and support the entry of private capital in the infrastructure, municipal works and other public service fields where market operations are practicable. We shall further adjust the layout and structure of the state-owned economy. The emphasis of investment of state-owned capital shall be placed on constantly strengthening and consolidating the key industries and crucial fields relating to the lifeline of the national economy. We shall create broader market space for private capital in the ordinary competitive fields. We shall actively boost reform in the fields of medicine, education and other social undertakings. We shall regard privately-run social undertakings as an important supplement to the development of public undertakings, and by making overall plans and rational layout, speed up the nurture and formation of a public service system with the government investment playing a dominant role and the private investment playing an ancillary role. 　We shall regulate the access threshold of investment and create a market environment of fair competition and equal access. The standards for market access and preferential and supportive policies shall be open and transparent. Various investors shall be treated equally. No extra conditions shall be set exclusively for the private capital.