China Huaneng Group, a state-owned power generator, has announced its plans to develop a massive hydro power station in Tibet, with a capacity of 2.6 gigawatts (GW). The subsidiary of China Huaneng Group filed the details with the Shanghai Stock Exchange on Tuesday.
This ambitious project is estimated to require an investment of around 58.4 billion yuan ($8.45 billion) and is expected to take approximately 11 years to complete, excluding preparatory work.
In April, the plan received approval from China's state planner, the National Development and Reform Commission. However, it still awaits final approval through a general meeting of shareholders, as stated in the filing.
China Huaneng Group is one of the country's prominent state-owned power generators, and by the end of 2022, its total installed capacity had reached approximately 127 GW. Renewable energy sources accounted for around 26% of this capacity.
It is worth noting that hydro power represented a mere 0.2% of the electricity sold by the group last year, with coal accounting for more than 85% of the total, according to calculations based on data from the group's 2022 annual report conducted by Reuters.
China has been actively pursuing a renewable energy agenda and aims to increase the share of renewables in its energy mix. The government has set a target for renewables to constitute more than 50% of the country's electricity generation capacity by 2025.
As the project progresses, China Huaneng Group's hydro power station in Tibet will play a significant role in advancing the country's renewable energy goals, contributing to a cleaner and more sustainable future for China's power sector.
