This report (chinatimes.net.cn) reporter Li Jiajia and Li Weilai reported from Beijing

On June 25, the National Development and Reform Commission and the National Energy Administration jointly issued the "14th Five-Year Plan for the Construction of a New Energy System" (hereinafter referred to as "the Plan"), a heavyweight policy that catalyzed market sentiment, leading to a strong market in the new energy sector on the morning of June 26.

The power sector experienced a surge in limit-up stocks, with CECWPC (601016.SH), CHINA LONGYUAN (001289.SZ), and Jinfang Energy (001210.SZ) directly hitting the limit. Huadian Liaoning, Datang Power, and GCL-Poly Energy followed suit. Market funds showed a strong willingness to buy, with CHINA LONGYUAN hitting the limit within a minute of opening; CECWPC quickly surged to the limit with over 260,000 hands sealing the limit. The photovoltaic sector also strengthened, with companies like Dier Laser, TCL Zhonghuan, Shuangliang Energy, and Aotewi reaching their limits in the morning session.

Yang Delong, chief economist at Qianhai Kaiyuan, told the "Huaxia Times" reporter that the previously leading technology stocks showed a clear correction, while stocks in the photovoltaic and power sectors strengthened simultaneously, reflecting a market switch. Previously, market funds were concentrated in technology growth sectors, while traditional sectors like power and new energy continued to weaken; now, existing funds have begun to rotate between sectors, highlighting the characteristics of high-low switching. Sector rotation is a healthy adjustment that can drive multiple sectors to become active in turn.

Yang Delong pointed out that "HALO assets," which refer to heavy asset, low volatility industries such as non-ferrous metals, small metals, rare earths, power grid equipment, and wind-solar storage new energy, will not only not be replaced in the AI era but are also essential infrastructure in the AI era.

Clear Hard Indicators for Wind and Solar Development

As a medium- to long-term energy transition program document, this "Plan" clarifies a series of quantitative constraint targets. By 2030, China will have initially established a clean, low-carbon, safe, and efficient new energy system. The comprehensive energy production capacity will reach 5.8 billion tons of standard coal, the complementarity and resilience of the power system will be comprehensively improved, and energy imports will be diversified and controllable; coal and oil consumption will peak, and the proportion of non-fossil energy consumption will reach 25%.

The wind and solar sectors are ushering in a certain incremental space. The "Plan" also proposes that by 2030, the installed capacity of wind and solar power will exceed 50%, becoming the main body of power installation, and the proportion of non-fossil energy generation will reach 50%, becoming the main body of electricity generation. Additionally, the market and pricing mechanisms suitable for the new energy system will be accelerated to improve, and a nationwide unified electricity market system will be basically established.

The "Plan" also emphasizes the construction of an advanced and adaptable new energy infrastructure system. It insists on the coexistence of centralized and distributed generation, as well as power and non-power, strengthens the complementary development of various types of new energy, intensive and composite utilization of space, and integrated operation, promotes large-scale and stable development of onshore wind and photovoltaic power, advances offshore wind power into deep waters, and scales up solar thermal power and ocean energy development. A comprehensive evaluation index system for new energy consumption will be established, aiming for a 30% share of new energy generation by 2030 For a long time, the insufficient integration and supporting power grid have been the core pain points restricting the large-scale development of wind and solar energy. This time, the "Planning" requires accelerating the construction of a new type of power grid. It mentions strengthening the interconnection of power grids between regions such as Central China-Southern China, Central China-Eastern China, Northern China-Eastern China, and Central China-Northwest, enhancing the complementary capacity by about 40 million kilowatts. In addition, it promotes the transformation of the distribution network into an efficient allocation platform for source-grid-load-storage resources, striving to achieve a capacity to accommodate 900 million kilowatts of distributed renewable energy access by 2030.

Lin Boqiang, director of the China Energy Policy Research Institute at Xiamen University, told reporters from the "Huaxia Times" that the core issue in building a new power system lies in energy storage. The key approach at present is to expand the scale of the energy storage industry through multiple measures and reduce energy storage costs. China's wind and solar industry chain has sufficient capacity and a broad market demand. As long as wind and solar energy storage has economic competitiveness, the entire development chain can be completed. Energy storage can enhance the market competitiveness of wind and solar power generation and is also key to ensuring the stable operation of the power grid.

Multiple New Energy Stocks Rise

The core rising targets in this round of market are concentrated in the wind and solar sectors. From the business perspective of these companies, CHINA LONGYUAN is affiliated with the State Energy Group and successfully listed on the Hong Kong main board in 2009, being hailed as "China's first new energy stock." It officially listed on the A-share market in 2022 and has completely divested from thermal power. By the end of 2025, the company's controlled installed capacity will be 45,994.29 megawatts, with wind power installed capacity of 32,147.37 megawatts and solar installed capacity of 13,840.82 megawatts.

Relevant staff from CHINA LONGYUAN revealed to reporters from the "Huaxia Times" that by 2035, China's wind and solar installed capacity is expected to reach 3.6 billion kilowatts, currently about 1.9 billion kilowatts, equivalent to an average annual new energy installed capacity of nearly 200 million kilowatts, indicating ample market space. The company plans to start construction and production in 2026 with a scale of 4.5 million kilowatts, with wind power projects accounting for over 90%.

CEC WPC focuses on the wind power generation field and is one of the largest wind power developers in the Zhangbei Bashang and Hexi Corridor regions of Hebei and Gansu. By the end of 2025, the company's operational installed capacity will reach 6.14216 million kilowatts, achieving an on-grid electricity generation of 11.913 billion kilowatt-hours, with an average utilization hour of 2,035 hours.

TCL Zhonghuan is a leading integrated photovoltaic enterprise, primarily engaged in silicon wafers, modules, power stations, and semiconductor materials. Shuangliang Energy was established in 1995 and listed in 2003. The company's main business products include energy-saving and water-saving products, new energy equipment, and photovoltaic products, covering downstream sectors such as new energy generation, steel, coal chemical, and thermal power.

In the past two years, the supply-demand contradiction in photovoltaics has been prominent, and both companies have seen a decline in performance. In 2025, TCL Zhonghuan achieved an operating income of 29.05 billion yuan, a year-on-year increase of 2.22%; the net profit attributable to shareholders of the listed company was -9.264 billion yuan, a year-on-year reduction in losses of 5.65%. Shuangliang Energy's performance is also under pressure, with revenue shrinking to 7.565 billion yuan and a net profit attributable to the parent of -1.116 billion yuan Electricity Demand Continues to Surge

On June 26, leading companies in the photovoltaic equipment sector saw a surge in stock prices, with Dier Laser rising by 9.54%, Aotwei increasing by 6.3%, and Maiwei Co. and Jingsheng Electromechanical rising by 4.98% and 3.35%, respectively. In recent years, the photovoltaic industry has been in a downward cycle, and photovoltaic equipment manufacturers have been struggling with a significant reduction in order volumes.

Behind the soaring stock prices, in addition to strong top-level policies boosting market confidence, it is also closely related to the rapid growth of renewable energy development and electricity demand in our country in recent years.

On June 25, the National Energy Administration released significant data, indicating that China's installed power generation capacity has surpassed 4 billion kilowatts, marking a milestone in the construction of our country's energy powerhouse. Among them, the installed capacity for solar power generation reached 1.26 billion kilowatts, a year-on-year increase of 16.3%; wind power installed capacity reached 660 million kilowatts, a year-on-year increase of 17.0%.

Looking back at the history of domestic power construction, in 1978, the national installed power generation capacity was only over 57 million kilowatts. It crossed 1 billion kilowatts in 2011 and 2 billion kilowatts in 2019, and is expected to soar to 3 billion kilowatts by 2024. In just two years, it has reached a new level, surpassing 4 billion kilowatts, with the expansion speed of new energy installations continuing to accelerate. By 2025, China's wind and solar power generation will both exceed 1 trillion kilowatt-hours, with 1 out of every 3 kilowatt-hours coming from renewable energy. By May 2026, the proportion of coal power in China will drop to 32%, while the proportion of renewable energy installations will reach as high as 61%.

The growth in electricity consumption is also showing strong resilience. By 2025, the total electricity consumption of society is expected to reach 10,368.2 billion kilowatt-hours, a year-on-year increase of 5.0%. The electricity consumption growth rates for the charging and swapping service industry and the information transmission, software, and information technology service industry reached 48.8% and 17.0%, respectively.

Currently, the explosive growth of artificial intelligence, along with big data centers, AI computing centers, and cloud computing servers operating at high loads throughout the year, has led to high energy consumption of computing power devices, further driving a surge in electricity consumption in our country. A relevant staff member from Longyuan Power stated that while the electricity consumption increase from AI is significant, it still accounts for a relatively small proportion of overall social electricity consumption.

Peng Peng, Secretary-General of the China New Energy Power Investment and Financing Alliance, told a reporter from the Huaxia Times that during the "15th Five-Year Plan" period, the proportion of green electricity in the power system will continue to increase, which can be clearly seen from various policy documents recently issued. In addition, the current focus of policy efforts is to increase the proportion of green electricity consumption in non-electric fields. Simply put, it is about utilizing green electricity on-site to convert it into green thermal energy, such as green steam and green hydrogen products. This pathway significantly contributes to promoting the early peak of oil consumption in our country. Currently, a considerable portion of oil is used as chemical raw materials, and vigorously developing green chemicals can effectively reduce the industry's dependence on oil raw materials