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Energy Insider: Wind and Solar Generation Breaks Record, Hybrid Energy Storage Station Opens

Published: May. 27, 2025  6:55 p.m.  GMT+8
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The Baochi Energy Storage Station was put into operation in Yunnan province on May 25. Photo: Southern Power Grid
The Baochi Energy Storage Station was put into operation in Yunnan province on May 25. Photo: Southern Power Grid

In this week’s Caixin energy wrap, we analyze China’s biggest climate and energy news on policy, industry, projects and more:

• Wind and solar break output record

• Hybrid energy station begins operation

• Beijing pushes green manufacturing

• Off-grid wind farm supports industry

In focus: Wind and solar generation sets new record

What’s new: The electricity generated by China’s wind and solar farms reached a record 26% of the country’s overall generation in April, the first time the two renewables have topped a quarter of the total, according to Ember, a U.K.-based think tank.

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  • In April, wind and solar supplied a record 26% of China’s electricity, with fossil-fuel power dropping by 72 TWh from January to April year-on-year.
  • China launched a $64 million hybrid lithium-sodium battery energy storage station and opened Inner Mongolia’s first off-grid wind farm serving an industrial park.
  • The government approved a plan to promote green manufacturing from 2024–2027, aiming to boost innovation and low-carbon industrial processes.
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Summary:

1. The latest developments in China's energy and climate landscape are highlighted this week, focusing on breakthroughs in wind and solar power generation, advances in battery storage technology, new policies for green manufacturing, and notable regional projects, particularly in developing standalone renewable grids[para. 1].

2. In April, for the first time, wind and solar power contributed a record 26% to China’s total electricity generation, surpassing a quarter of the national output, as reported by the UK-based think tank Ember[para. 2]. Specifically, wind power accounted for 13.6% and solar power for 12.4% of the total, both reaching historic highs. The share of solar generation has risen sharply, tripling from just 4.1% in April 2020[para. 2]. Over the period from January to April, electricity output from fossil-fuel plants decreased by 72 terawatt-hours compared with the same time frame the previous year[para. 3]. While this signals great momentum for renewables, China faces significant technical hurdles, particularly the integration of variable solar and wind power into the grid, which requires upgrades in power market design, improving energy efficiency, and advancements in supporting technologies, such as storage and smart grids[para. 4][para. 5].

3. In energy storage, China Southern Power Grid Co. Ltd. has inaugurated a $64 million hybrid energy station in Yunnan province, comprising both lithium-ion and sodium-ion batteries[para. 6]. The Baochi plant, covering an area equal to five soccer fields, draws from over 30 wind and solar farms and can store up to 580 gigawatt-hours per year, which equates to the annual consumption of 270,000 Chinese households[para. 7][para. 8]. The integration of sodium-ion batteries is significant, with prospects for replication in other renewable-rich provinces, such as Gansu, Xinjiang, and Ningxia[para. 9]. China had previously opened its first major sodium-ion energy storage station in Guangxi in May 2023[para. 10].

4. At the policy level, the central government has launched a comprehensive plan to promote green manufacturing from 2024 through 2027[para. 11]. An executive meeting chaired by Premier Li Qiang mandated stronger innovation, adoption of low-carbon technologies, upgrades in production across traditional industries, and advances in recycling and resource efficiency in new sectors[para. 12][para. 13][para. 14]. China aims to use these measures not just to comply with climate goals but to transition its economic model from rapid to high-quality growth and to maintain global industrial competitiveness[para. 15][para. 16].

5. Regionally, Inner Mongolia has begun operating its first off-grid wind farm, a 300-megawatt facility with 48 turbines and an integrated storage system, directly supplying the Etuoke Economic Development Zone in Ordos[para. 17][para. 18][para. 19]. This initiative helps reduce carbon emissions for local industry and exemplifies how standalone, renewable-powered grids could reshape the power market in China[para. 20][para. 21]. Standalone grids may decrease energy costs and utilize more of China’s growing renewable output[para. 22]. Yet, policymakers are concerned about potential risks, such as destabilizing the national power system and cost shifts that might disadvantage smaller industrial users if large companies move to independent grids[para. 23][para. 24][para. 25].

In summary, China is making significant advances in renewable energy output, storage technologies, green industrial policies, and innovative grid solutions. These developments underscore both the opportunities and the challenges involved in achieving a greener, more sustainable energy future[para. 1][para. 2][para. 3][para. 4][para. 5][para. 6][para. 7][para. 8][para. 9][para. 10][para. 11][para. 12][para. 13][para. 14][para. 15][para. 16][para. 17][para. 18][para. 19][para. 20][para. 21][para. 22][para. 23][para. 24][para. 25].

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Who’s Who
China Southern Power Grid Co. Ltd.
China Southern Power Grid Co. Ltd. is one of China’s two main power grid operators. Recently, it launched a $64 million hybrid energy storage station in Yunnan province using both lithium-ion and sodium-ion batteries. The Baochi plant, which sources power from over 30 wind and solar farms, is designed to help the grid absorb and release 580 gigawatt-hours of electricity annually, supporting the integration of more renewable energy into the power system.
China Three Gorges Corp.
China Three Gorges Corp. is the developer of Inner Mongolia’s first off-grid wind farm. This 300-megawatt wind project, which began operating on May 23, supplies renewable electricity directly to an industrial park in the Etuoke Economic Development Zone, utilizing 48 wind turbines and an energy storage system. The initiative aims to help reduce the carbon emissions of industrial subsidiaries in the area.
Inner Mongolia Erdos Electric Power & Metallurgy Co. Ltd.
Inner Mongolia Erdos Electric Power & Metallurgy Co. Ltd. is a company with subsidiaries located in the Etuoke Economic Development Zone, Inner Mongolia. These subsidiaries are now receiving renewable electricity from Inner Mongolia's first off-grid wind farm, which helps reduce their products’ carbon emissions, as noted by Han Junfeng, the group’s party general-secretary.
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What Happened When
April 2020:
Share of solar power in China was 4.1% of the country's electricity generation.
May 2024:
China commissioned its first major energy storage station powered by sodium-ion batteries in the Guangxi Zhuang autonomous region.
April 2025:
Electricity generated by China’s wind and solar farms reached a record 26% of the country's overall generation, with wind at 13.6% and solar at 12.4%.
May 22, 2025:
Ember released its analysis highlighting the April 2025 renewable energy records in China.
May 23, 2025:
An executive meeting of China’s cabinet, presided over by Premier Li Qiang, passed a plan to promote green manufacturing from 2025 through 2027.
May 23, 2025:
The Inner Mongolia autonomous region launched its first off-grid wind farm, a 300 MW facility connected to the standalone grid of the Etuoke Economic Development Zone.
May 25, 2025:
The Baochi lithium-sodium hybrid energy storage station in Yunnan province, operated by China Southern Power Grid, began operation.
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