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  • Analysis of subsidy policy change and influence of waste incineration power generation project

    The treatment methods of MSW include landfill, incineration, composting, pyrolysis and comprehensive treatment. In recent years, incineration power generation has a higher and higher proportion in the total domestic garbage disposal in our country. Incineration power generation has become a mainstream harmless disposal method. In the development of the household waste incineration power generation industry, the country's preferential policies in taxation and financial subsidies have played an important role in promoting the development of the industry. However, with the rapid development of the renewable energy industry as a whole, the additional income of renewable energy price as the central subsidy fund source of household waste incineration power generation is far from meeting the needs of renewable energy power generation subsidy, leading to a series of problems such as the continuous increase of subsidy fund gap. Since 2020, the state has issued a series of documents to adjust the power generation subsidy policy. These policy adjustments are expected to have a profound impact on the development of the household waste incineration power generation industry.

    Details of the competitive online mechanism have been released, the gradual withdrawal of central subsidies has been further clarified, and green certificate trading revenue is expected to become a new source of returns for waste incineration power generation projects. The new household waste incineration power generation project is faced with many uncertainties. How to comprehensively consider the changes in subsidy policies and industries, and design reasonable risk allocation schemes and transaction structures to ensure the smooth operation of the project during a long cooperation period is worth in-depth thinking and active exploration by all project participants.

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