Study On The Optimization Of Agro-Forestry Biomass Power Generation Subsidy Policy

With the rapid development of China's economy,energy security,environmental pollution and rural revitalization have become important issues restricting the construction of beautiful China and sustainable economic development.The report of the 19th National Congress of the CPC pointed out that it is necessary to promote the energy production and consumption revolution and build a clean,low-carbon,safe and efficient energy system as an important part of accelerating the reform of the ecological civilization system.Agricultural and forestry biomass energy,a kind of renewable energy,has comparative advantages and great potential.Using agricultural and forestry biomass energy has the characteristics of low carbon,sulfur and nitrogen compared with traditional energy and the advantage of less site constraints compared with wind energy,solar energy,tidal energy and other power generation methods.At the same time,the characteristics of reducing straw burning in open air and distributing development by utilization of agricultural and forestry biomass energy are important ways to solve the problems of agriculture,countryside and fanners and realize the strategy of rural revitalization.Biomass energy,especially the fastest growing biomass power generation,has carried out many demonstration projects,which of them have been commercialized.However,compared with other power generation industries,biomass power generation starts late in China and faces various difficulties.Many biomass power plants only barely maintain breakeven or even sustain losses,and could not compete with the traditional power market which has mature market mechanism.Therefore,exploring the environmental externalities of biomass power generation is inseparable from the support of government subsidy policies.Is the current subsidy policy effective in promoting industrial development?How is the environmental value of biomass power generation measured?Does the subsidy policy need to be optimized?All of the above problems are key issues to be solved in the optimization of biomass power generation subsidy policy.The main purpose of this study is to reveal the cost-value characteristics of biomass power generation,to explore and analyze the mechanism of subsidy policy and to optimize the path selection.Specifically,this paper sorts out the existing policies in the field of biomass power generation,analyzes the impact of these policies on the industry,and clarifies the economic and environmental cost value characteristics of the industry using the life cycle method.Based on the above research,this paper tries to construct the subsidy policy optimization model of various chain stages of biomass power generation industry considering multi-party objectives under different subsidy combination scenarios,and establishes the subsidy policy model of different development stages under industry changes,aiming at providing some references for the formulation and optimization of subsidy policy for China's biomass power generation industry.The main conclusions of this paper are as follows:(1)The necessity of subsidy policy for biomass power generation is proved from the theoretical and empirical perspectives.(2)By using of the policy text tool,this paper sorts out the current policy of biomass power generation.It is found that the comprehensive application of various policies is conducive to the construction of a more perfect policy system for biomass power generation.However,there were still many structural deficiencies,such as the difficulty implementation of subsidy policies,unbalanced distribution in the chain,lacking of policies at different stages of development,and so on.(3)From the economic point of view,the cost value of biomass power generation is discussed.It is certified that the cost of biomass power generation mainly concentrates on the raw material acquisition,and the economic income and cost cannot be balanced which lead to the poor economic benefits.(4)The cost value of biomass power generation is explored from an environmental perspective.Life cycle assessment method is applied to compare biomass power generation with coal-fired power generation projects and testify that carbon emission reduction effect is the most obvious,followed by solid emissions.In short,the industry has a high value of electricity emission reduction and resource conservation.(5)In this paper,three types of subsidy in different links of the industry chain are discussed quantitatively by using multi-objective nonlinear programming model.Comparing of three scenarios,it is proved that the situation of coordinating raw material subsidies,feed-in tariff and connection fee is a more reasonable plan,which can achieve environmental benefits and economic benefits with lower subsidy costs.Reasonable subsidy structure and subsidy method can achieve a win-win situation between the economy and the environment under the existing technical level and resource conditions.(6)Optimization of long term dynamic subsidy policy is analyzed.This paper constructs a subsidy calculation model for different stages of industrial development using the IRR method,calculates the amount of reasonable subsidies for the project during the incubation period and the maturity period,and discusses the unit subsidy quota and total subsidy under different utilization hours of power generation and cogeneration condition.(7)The above models are proved to be feasible by two practical cases,which provide reference for the application of the policy models in more regions.Finally,based on the above analysis,the proposals for optimizing the subsidy policy of biomass power generation in China are put forward.