Guangdong Electricity Market Construction Blue Book Review

The Guangdong Electricity Market Construction Blue Book reviews the development history of the Guangdong electricity market, marking the tenth anniversary of the 'Four Revolutions, One Cooperation' energy security strategy and the first anniversary of the spot market's formal operation. Since the direct electricity purchase pilot in 2006, Guangdong has pioneered electricity reform, evolving from a price difference model to an absolute price model and from medium-long term trading to a comprehensive system including spot and ancillary services. The spot market, launched as a pilot in 2017, transitioned to formal operation in December 2023 after extensive trial runs. By end of 2024, it achieved over 36 months of uninterrupted operation, incorporating diverse entities like independent energy storage, pumped storage hydropower, and virtual power plants. The market has withstood challenges such as tight energy supply and extreme weather, optimizing resource allocation and providing valuable 'Guangdong Experience' for national reform. The Blue Book, compiled under guidance of provincial and national energy authorities, summarizes achievements, draws lessons from domestic and international practices, and outlines future development directions to further enhance market mechanisms and support the new power system.