Guangxi Hezhou JunYi Hydropower Development Co.Ltd
Foshan HuaHeng Petrochemical Co.,Ltd.,invested in Junyi Hydropower Development Co.Ltd.projects,known asDali II and Dali III,which are located in Hezhou of Guangxi。
These projects are all high water run-off power stations,of which Dali II has an installed capacity of 7.5 MW and Dali III has an installed capacity of 3.75 MW.While the Dali II relies on its large dam and reservoir to supply water,the Dali III relies on a 170m long headrace tunnel which is supplied with water that is diverted by a much smaller dam,located 3km downstream of Dali II dam.
Hydropower offers advantages over other energy sources.The two hydropower plants eliminate the fuel/gas emissions from fossil fuel combustion (including pollutants found in the coal) meaning it is environmentally friendly.The hydropower plant is not only a cleaner source of energy than oil,but it is more cost effective as well.The hydropower plants offer higher efficiency(over 90 percent)compared to thermal power(35 percent)and gas（50 percent).Since hydropower is generally available as needed,the two power plants have the abilitiy to start and stop quickly,and instantaneous load acceptance make it suitable to meet peak demand and enhance system reliability and stability.There are also the additional benefits of irrigation,flood control,water supply,improved navigation,recreational areas,tourism,etc which have evolved due to the hydro schemes.
The total investment of the Dali projects was RMB 65 million.These projects achieved a stable production as they have been operational since 2004 and 2006.Dali III generated a total of 21.41 million kWh,and Dali II proved its power generation benefits by generating 130 million kWh of electricity.The management team is well established and the administrative cost is low,meaning long-term profit is stable.The rate of return on investments is approximately 15% and the projects bring another 20% of tax revenue to the local government.The present valuation of the assets is approximately RMB 130 million.
Foshan HuaHeng Petrochemical Co.,Ltd.,invested in Junyi Hydropower Development Co.Ltd.projects,known asDali II and Dali III,which are located in Hezhou of Guangxi。
These projects are all high water run-off power stations,of which Dali II has an installed capacity of 7.5 MW and Dali III has an installed capacity of 3.75 MW.While the Dali II relies on its large dam and reservoir to supply water,the Dali III relies on a 170m long headrace tunnel which is supplied with water that is diverted by a much smaller dam,located 3km downstream of Dali II dam.
Hydropower offers advantages over other energy sources.The two hydropower plants eliminate the fuel/gas emissions from fossil fuel combustion (including pollutants found in the coal) meaning it is environmentally friendly.The hydropower plant is not only a cleaner source of energy than oil,but it is more cost effective as well.The hydropower plants offer higher efficiency(over 90 percent)compared to thermal power(35 percent)and gas（50 percent).Since hydropower is generally available as needed,the two power plants have the abilitiy to start and stop quickly,and instantaneous load acceptance make it suitable to meet peak demand and enhance system reliability and stability.There are also the additional benefits of irrigation,flood control,water supply,improved navigation,recreational areas,tourism,etc which have evolved due to the hydro schemes.
The total investment of the Dali projects was RMB 65 million.These projects achieved a stable production as they have been operational since 2004 and 2006.Dali III generated a total of 21.41 million kWh,and Dali II proved its power generation benefits by generating 130 million kWh of electricity.The management team is well established and the administrative cost is low,meaning long-term profit is stable.The rate of return on investments is approximately 15% and the projects bring another 20% of tax revenue to the local government.The present valuation of the assets is approximately RMB 130 million.
