Recent China protectionist actions:
(1) China’s world-leading solar panel manufacturing industry sells 95% of its production to the U.S. but required 80% of the materials for its first solar power plant to be made in China.
(2) 25 of 25 recent wind turbine contracts were awarded to China’s 7 domestic suppliers while bids from 6 multinationals were disqualified on technicalities such as insufficient data details.
(3) Turbines smaller than 1,000 megawatts were recently banned, eliminating the European turbines that had been successfully competing against Chinese manufacturers.
(4) China’s Renewable Electricity Standard (RES) calls for a specificed capacity, not a specified amount of electricity, inclining New Energy developers in China to inexpensive and unreliable (often domestically-manufactured) equipment with the same capacity rating as higher quality (often imported) equipment that would generate electricity at its rated capacity.
(5) Financing is much more difficult for foreign wind project developers because laws make it harder for them to borrow Chinese capital or sell carbon credits.

These measures only add to the basic fact of a very low-valued yuan that gives Chinese exports what some consider an unfair price advantage.

As a result of such policies, China’s manufacturers are expected to take 10-to-20% of the domestic New Energy supply market away from international companies this year. That would give them 75% of a market they only had 25% of 4 years ago.

Yep, it’s another China wind story. Sorry. But when the biggest booster in the U.S. can’t get financing for a transmission system to deliver the power from a 4,000-megawatt installation he’s putting up the money to build (T. BOone Pickens in Texas), and UK utilities have to struggle to complete financing for a 1,000-megawatt offshore installation right next to one of the world’s biggest electricity consuming cities (the London Array), and the Chinese government is meanwhile building 10,000-to-20,000-megawatt installations a half-dozen at a time, somebody’s likely to take notice.

And that’s just the tip of the iceberg. As reported here frequently, China is moving in solar and biomass and the other New Energies.

One of the things China seems to be bringing to the table is protectionist international trade policies. China is following practices exercised by Japan and South Korea to protect their car industries from U.S. imports by calling its New Energy industries “strategic” and keeping potential international competitors at a disadvantage.

Protectionism was at the heart of the diplomatic exchanges conducted by U.S. Department of Energy (DOE) Secretary Steven Chu and U.S. Department of Commerce (Commerce) Secretary Gary Locke, both Chinese-Americans, while visiting China to hold more widely reported talks on climate change and further U.S.-China cooperation on Energy Efficie

In the world, there are over half of the populations living without 24/7 power and the investment to achieve 24/7 power is in the trillions to achieve. China, India and most 3rd world countries only dream of what we take for granted in USA and Europe with 24/7 power.

How many Chinese will buy a refrigerator in the coming decade??? How many Indians dream of having air conditioning in the coming decade?? How many in Nigeria (with oil revenues) want 24/7 power??? My research (reading Chinese websites says Nigeria is going to have power plants built inside Nigeria paid for with oil money) says APWR is going to land a power plant project inside China and this contract will be announced before year end!

Nigeria needs $85bn (£42.7bn) of investment in its power infrastructure in order to produce electricity 24 hours a day, experts say.

The sum is 17 times the amount the government announced it would spend on the power sector, and four and a half times the country’s oil savings.

Most of Nigeria’s 140m residents live without reliable power.

The sum was given by a panel of experts appointed by President Umaru Yar’Adua after nine months research.

Their final report has not been released to the public.

NIGERIA ELECTRICITY FACTS
Currently generates 1,800MW
Nigeria wants to generate 6,000MW by 2009
In 12 years it wants to be able to generate 20,000MW
Would need 100,000MW to become an industrialised economy, according to the ex-president
Six power stations begun under the last administration have not been completed
$16bn (£8bn) has so far been spent on the power sector since 1999

Nigeria power shortage to persist

But the panel’s chairman Rilwanu Lukman told journalists the power generation in the country had dropped to 1,800 megawatts (MW), from a capacity of 3,500MW

MY RESEARCH says “”"SINOPEC”" will partner for the oil and partnership with Shenyang Power Alliance for the nat gas contract.

Why has the USA decided to let China kick their butts again in producing clean green electric power??? Why has the USA decided to give up and quit and the game has not even begun as of yet?? Why did China fund their green power stimulus plan to the tune of 440 BILLION and the USA adds a meager 40 billion in green power to its own stimulus plan???

How can China produce a megawatt of wind power for 1.5 million per megawatt when the USA and European prices are closer to 2 million per megawatt?? Again, the realities of what are going to play out are enormous and the benefits of those that invest accordingly are going to be stupendous given the Chinese stimulus plans and the money behond China and the plans for over 150GW’s of Wind Power by 2020.

Sinovel, Goldwind, and Dongfang control around 60% of all China wind power revenues as we type. AMSC is going to benefit accordingly since Sinovel is around 60% of AMSC revenues so AMSC is almost a LOCK to benefit down the road. However, new entrants inside China are going to make a splash if they can produce and deliver what they have planned. APWR has a completed wind turbine plant finished but has yet to deliver what they promise inside the wind production guidelines of what they have promised. If APWR can deliver as promised, APWR is going to soar.

APWR guidelines for end of year are 30 units shipped and produced which would add 90 million to 2009 revenues which is a non event given the low margins of wind power. However, if APWR comes close to delivering 150 wind turbines in 2010 and then delivers on 300 wind turbines in 2011, you are talking 1.2 BILLION in revenues just from wind turbines in 2011……take the 120 million NET INCOME in 2011 and you are looking at a P/E that only growth investors drool over……..

ALOT must happen to meet these aggressive guidelines and projections for 2011 but China is doing wind vs talking wind like USA……..GE partnering with APWR tells the story of why GE partnered with APWR for China………..if one adds 900 Gearboxes in 2011, and the revenues from GE and the wind turbines, the amount of revenues one is talking could approach 2 billion in 2012……..10% margins of 2 billion is 200 million PROFITS……..you do the math of 34 million shares into 200 million……….now, I am SURE there will be some dilution into 2012 to expand but who really cares when you are printing profits and GROWTH like this scenario??????

China understands and is going to fund their dreams of a cleaner world…….
Once one understands that the Peoples Republic of China, ie the Communist Party of China is an investor into APWR and Shenyang Power Alliance, one can connect the dots on who is going to win some future wind projects……..
China has announced its plans to construct a number of 10 GW wind power bases, in a bid to further boost the development of the country’s renewable energy industry.

Zhang Guobao, administrator of the Chinese National Energy Administration, said: “China has worked out the strategy of building large (wind power) bases and integrating them into the mainstream power grid in order to speed up the pace of wind power development in the country.” Vigorously developing renewable energy, including wind power, forms part of the country’s ongoing strategy to contribute to the global campaign for combating climate change.

Currently, the world’s installed capacity of wind power has reached 120 GW, and wind power is becoming an increasing part of the world’s energy structure. Although a developing country, China places special emphasis on increasing its use of renewable energy such as wind power. By the end of 2008, the country’s installed capacity of wind power had hit over 10 GW. The Chinese government also passed the Renewable Energy Law to provide strong legal support to the development of renewable energy in the country.

As part of the estimation in Medium and Long-Term Development Plan for Renewable Energy in China, issued by National Development and Reform Commission, the total exploitable potential wind power resources in the country could reach over 1,000 GW, of which onshore wind power resources would provide about 300 GW with offshore wind power resources around 700GW.
Sinovel is the first company in China that has the capacity to build MW-level wind turbines. In a bid to enhance its R&D capacity, sharpen its competitive edge in domestic and international markets and accelerate its sustainable development, the company has now set up a R&D center, employing some 200 veteran technology staff members in dedicated wind turbine research. Sinovel Wind Ltd has sign joint design and development contracts with Austria Windtec Co. It has also signed certification contracts with the Germanisher Lloyd Group.

Iowa understands the need for transmission lines and so does Mid American Energy……what is wrong with rest of USA??

The report, “Global Potential for Wind-Generated Electricity,” was published last week in the Proceedings for the National Academy of Sciences. It said – based on studies of wind patterns taken in west Texas, southern Minnesota and central Montana – that Great Plains states from Texas to the Dakotas have the potential to supply up to 16 times the normal electricity consumption in the United States.

Iowa is part of that bloc. It already is the second-largest wind generator in the nation, with 2,800 megawatts of capacity. Only Texas has more.

Montana, North Dakota and South Dakota are the leaders in wind potential with Wyoming, Nebraska, Kansas and New Mexico close behind.

Texas has the greatest wind potential. It also has by far the greatest population of the wind-rich states and thus is not a good candidate for export of wind energy to other regions.

The report stated the problem that state and federal energy policymakers already worry over: The need for expanded transmission capacities to move wind-generated electricity from the population-sparse Great Plains eastward to Chicago and on to the Eastern seaboard.

Several entities, including ITC Holdings of Michigan and MidAmerican Energy of Des Moines, are putting together transmission line proposals that would move wind energy from the Dakotas through Iowa and Minnesota across the Mississippi River eastward. Such lines, which have been likened to the interstate highway system or the 19th-century transcontinental railroad, would cost up to $12 billion.

Eastern states lack the wind capabilities present in the Great Plains. However, it is unclear how willing their utility customers would be to pay for transmission lines running 1,000 miles or more to bring them wind electricity.

1) Build the massive infrastructure needed to “modernize and provide for” the population in all regions.

2) “Enable/Create a Sustainable Economy” through the economic strategy of having Chinese build and provide, and buy and use, Chinese goods and services.

“Protectionsim” is a fundamental element of this as that is how they can employ millions of “marginal” Chinese and transfor them to gainfully employed Chinese buying the goods, and using the services that they are producing and providing. This is the key – as opposed to the USA, which is a consumer of the goods of the world – China’s aim is to have their population be the producers and the users/consumers of their own services and goods. The Chinese have “read the tea leaves” of the western nations, and seen that these economies have an Achilles heal – that being, the economic base of jobs is undermined when a nation’s goods/services are “bought” from outside the nation.

I have marveled at the ability of the Chinese to navigate from a society of political tyranny to a society of opportunity. Tyranny is still in place – but the tyranny is not so rooted in imperialism, but rather in what is likely viewed as “societal necessity. And while we (westerners) can find many examples of “poor form” on the part of the Chinese government, in the big picture, the “progress” of the nation as a whole is stunning, and masterfully orchestrated.