Empirical Analysis Of China Green Power Investment Performance

In recent years, the scale of power investment is growing fast as the elelctricity demand is increasing continually in China. But the differences in investment performance of different power projects are great. Now China pays high attention to developing green power and supports green power on policy. The power enterprises are increasing green power investment gradually. This paper analyzes the investment performance from the following three levels:the investment performance of power industry in China, the comparison of investment performance between green power and thermal power, the comparison of green power investment performance between China and the USA. First, we chose panel data fixed effect model as the empirical analysis method for performance. We used a fixed effect model to research the investment performance of30power listed companies in China, from2007to2011. It is found that power generation project investment has weak positive effect on increasing company value and thermal power generation project investment has obvious negative effect on increasing company value. Second, two similar fixed effect models were built to analyze the15power listed companies in China and the USA from2007to2011, respectively. The results reveal that non-hydroelectric renewable energy power and nuclear project investments have obvious negative effects on increasing company value in China, which are greatly different from the USA. The effect on increasing company value of hydroelectric power project investment in China is better than the USA, but the effect is also negative. At last, we analyzed the influencing factors causing the differences of green power investment performance between China and the USA. We hope this paper can supply reference and help China green power developing better.