On May 27th, the power sector fluctuated and rose, with DHEP and GED both hitting the daily limit. Energy-saving wind power and Datang Power rose over 7%, while Beijing Energy and Guangxi Energy were among the top gainers. In terms of ETFs, the China Merchants Electric Utilities ETF (560480) continued to rise in the afternoon, increasing by 1.49% as of the time of publication.

The National Development and Reform Commission stated that during the 14th Five-Year Plan period, China's investment in new-type power grids is expected to exceed 5 trillion yuan, and the power grid is likely to enter an upgrading and construction boom cycle, which may lead to an upward channel for power stocks.

Against this backdrop, China has built the world's largest, safest, and most efficient interconnected power grid, supporting a total electricity consumption of over 10 trillion kilowatt-hours by 2025, ranking first in the world. However, as the demand for new energy access continues to rise, regional supply and demand imbalances worsen, and the complexity of grid operations increases, a spokesperson for the National Development and Reform Commission pointed out that there is an urgent need to build a new-type power grid that is safer, greener, and smarter.

To address these challenges, the construction of new-type power grids not only expands the channels for new energy consumption but also provides low-cost, high-reliability green electricity for emerging industries such as computing facilities and green hydrogen and ammonia, promoting energy transformation and industrial upgrading. Green electricity operators are expected to see a revaluation of their value. The State Grid Energy Research Institute stated that continuous investment in the construction of new-type power grids will strengthen the energy security barrier and support high-quality development.

At the same time, global investment in power grids has also entered a boom cycle. Europe has launched a €1.2 trillion grid plan, and the three major U.S. grids plan to invest $75 billion in upgrades. Guotai Junan believes that electrification, AI high loads, and extreme high temperatures are driving structural growth in electricity demand, making electricity the core carrier of new energy demand. Looking ahead, Morgan Stanley pointed out that factors such as AI data centers and electricity shortages will jointly drive the energy industry into a golden age.

Data shows that the China Merchants Electric Utilities ETF (560480) tracks the CSI All Share Electric Utilities Index (Index Code: H30199.CSI), with over 95% of its content in the power sector within the Shenwan secondary industry, covering leading power companies across various segments including thermal power, hydropower, wind power, nuclear power, and solar power, and including multiple leading power enterprises. Investors may consider using this ETF to strategically position themselves in the "computing and electricity synergy" sector and seize the opportunity for revaluation of energy infrastructure in the AI computing era