Research On Benefit Analysis And Encouragement Policy Of Rural Photovoltaic Power Generation Project

China’s rural areas are haunted by energy plights such as energy shortage,deforestation, small coal mines and indoor air pollution. To explore the vast but photovoltaic-vacuum rual areas of photovoltaic power generation, is not only a perfect way to improve rural energy structure and ease energy shortage, but also a new opportunity to promote domestic demand of photovoltaic industry under circumstance of European and US’s market implementing “Dual” policy. However, the advantages of rural photovoltaic power promotion are unable to attract stakeholders in front of various difficulties such as high production cost, long payback period, and financial difficulties.This is an industry that needs gorvernment’s sopport, while the fact is, subsidy policies are still absent from hand.This paper studies photovoltaic power generation project related stakeholders’ benefits under different operation modes via technical and economic analysis. We evaluated influence of existing incentives and factors on stakeholders’ benefit through sensitivity analysis, in order to provide reference to encouragement policy establishment. Firstly, the methodology of photovoltaic power generation project’s cost, generationg capacity,revenue and profit, stakeholder’s economic and environemental benefit calculating model,and the sensitivity analysis model were given. Secondly, the benefit of stakeholders under 4 kinds of operation mode were calculated. The operation modes were“self-occupied, full power to grid”, “self-occupied, left power to grid”, “contract energy management, full power to grid”, “contract energy management, left power to grid”.Thirdly, empirical research of household and collective projects were analyzed. Lastly,this paper proposed policy strategies according to results of sensitivity analysis.The empirical results of household project showed that “left power to the grid” was better than “full power to the grid”. The economic benefit of collective PV project in the“self-occupied, left power to the grid” “contract energy management, left power to the grid” were small but the environmental benefits were significant. Stakeholders’ earnings sensitivity analysis implied that the focus of government policy. Specifically, when the government subsidy was amounted to 50% of the initial investment, the agreement price was higher than 0.6 yuan/kWh, the contract period was greater than 17 years, the loan interest rate was less than 3.78%, the proportion of loans of less than 22% or higher tariff of 1.6 yuan/kWh, the project internal rate of return would all be higher than the industry IRR. By this means, the rural photovoltaic project was investment valued.