Currently, a new round of energy transformation is booming worldwide, and the global energy landscape is undergoing significant and profound changes. The focus of this round of global energy transformation is new energy, and the direction of the transformation is to promote the strategic transformation of energy development mode, adjust the energy structure, improve energy efficiency levels, and implement energy substitution. In recent years, China has rapidly developed in areas such as new energy grid connection, intelligent distribution and utilization, electric vehicles, and implementation of energy substitution, with its overall technical level continuously improving. This has promoted the innovative development of the power grid and achieved remarkable achievements that have attracted worldwide attention.

First, promote the large-scale application of new energy. Accelerating the development of new energy and gradually reducing reliance on fossil energy is an inevitable choice for humanity to address the increasingly prominent energy crisis and environmental crisis and achieve sustainable development.

In 2015, China witnessed a double record increase in the installed capacity of wind power and solar power generation. The installed capacity of wind power continued to rank first in the world for four consecutive years, and the installed capacity of solar power surpassed that of Germany for the first time, ranking first globally. This played a significant role in optimizing the energy structure and promoting the green development transformation, marking a new milestone in China's new energy development history.

As of June this year, the grid-connected capacity of wind power in China has reached 137 million kilowatts, and the grid-connected capacity of solar power has reached 63.04 million kilowatts. It is estimated that by 2020, the grid-connected capacity of wind power in China will reach 250 million kilowatts, and the grid-connected capacity of solar power will reach 150 million kilowatts.

Second, build an intelligent distribution network that can meet the diverse needs of users. Open and interactive, proactive self-healing intelligent distribution is an important part of the construction of the intelligent grid, and it is an important platform for achieving reliable power supply for users, optimizing the allocation of energy resources, enabling two-way interaction between users, and innovating service models.

In recent years, China has continuously increased investment in distribution network construction, established a technical standard system, accelerated the integration and application of information technology, and achieved remarkable results in the construction of intelligent distribution networks. The power supply capacity has significantly improved, and the power supply quality has continued to rise. In key urban areas such as Beijing, Shanghai and Shenzhen, the average outage time for users due to faults is less than 5 minutes, and the power supply reliability rate is at the forefront of the international level.

During the "13th Five-Year Plan" period, China's distribution network construction plan involves an investment of 1.7 trillion yuan. It is expected that by 2020, the power supply reliability rate in major central cities across the country will reach 99.99%, with the average annual power outage time for users not exceeding 1 hour. In other urban areas, the power supply reliability rate will reach 99.88%, with the average annual power outage time for users not exceeding 10 hours, ensuring the rapid development of regional economies.

Thirdly, promoting the rapid development of electric vehicles. In recent years, the Chinese government has attached great importance to the development of electric vehicles and charging infrastructure. Power grid enterprises have also actively carried out the construction of charging facilities and the formulation of standards, continuously improving the operation level of charging facilities.

By the end of 2015, a total of 3,600 charging and swapping stations had been built across the country, along with 49,000 public charging points. Nearly 400 fast-charging stations have been constructed on 8 expressways including Beijing-Shanghai, Beijing-Hong Kong and Beijing-Guangdong. This has formed the world's largest public fast-charging network for electric vehicles, achieving the development from points to areas and from cities to intercity regions. It is expected that by 2020, 12,000 centralized charging and swapping stations and 4.8 million scattered charging points will be built, thus meeting the charging needs of 5 million new energy vehicles.

Fourth, we will vigorously promote the substitution of electricity. The increasing proportion of electricity in end-use energy consumption is an important trend in global energy development. With significant breakthroughs in new materials, energy storage, and batteries, in the future, except for a few fields, most end-use energy consumption can be replaced by electricity.