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Top Ten Outlooks for the Power Equipment Industry in 2015

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Energy structure adjustment is a major strategy and direction that China will continue to promote at an accelerated pace for a long time in the future. Along this main line, many investment opportunities will surely emerge, such as ultra-high voltage, new energy, and energy conservation and environmental protection. The 2015 Top 10 Predictions for the power equipment and new energy industry will also closely align with this main line. Prediction One: The first year of concentrated solar power, with industry policies to be rolled out successively. Concentrated solar power addresses energy storage, supporting the need for large-scale construction of new energy power stations in the northwest. Among the new energy sub-sectors next year, we are optimistic about concentrated solar power, which is expected to bring sector-wide opportunities.


Prediction Two: Expectations for the continuous start of ultra-high voltage construction are realized, and the complementarity of AC and DC gains recognition. The reality of energy development, combining the continuous increase in the proportion of new energy with large-scale long-distance transmission, determines the continuous promotion of ultra-high voltage construction.


Prediction Three: Energy storage will receive policy support and is expected to become a hotspot. In the future, with the increase of new energy grid connection in China, the development of new energy on the distribution side, and the increase in distributed microgrid applications, the rapid development of China's power energy storage industry will inevitably be driven.


Prediction Four: Distributed photovoltaics require new business models for promotion. Since the development of distributed generation in the central and eastern regions of China in the future to meet the needs of the national energy structure adjustment strategy is the general trend, distributed generation in China is expected to receive further policy support and derive new business models to drive it in 2015.


Prediction Five: The promotion of the 'Belt and Road' initiative becomes the breakthrough for power equipment to go global in large quantities. Considering that the power grid construction in developing countries along the Silk Road is relatively backward, coupled with the backward technology, limited supply capacity, and high import dependence of local equipment enterprises in these countries, this brings considerable business opportunities to Chinese power equipment enterprises with obvious leading advantages in technology.


Prediction Six: Industrial 4.0 will drive the industrial control and variable frequency industry to further extend into the fields of industrial automation and robotics.


With the rise of the Industrial 4.0 concept, low-voltage variable frequency drive manufacturers are expected to extend into the robotics and industrial automation fields, thereby increasing the industry growth rate.