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PowerChina eyes bigger global footprint

By Zheng Xin | China Daily USA | Updated: 2018-03-16 11:04
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Power Construction Corp of China, the biggest hydropower designer and builder in the country, has vowed to work more closely with countries and regions participating in the Belt and Road Initiative through further investment in the energy sector and contribute to the overall progress of local economies.

The company, also known as PowerChina, envisages more than 1,400 projects in 57 countries and regions involved in the initiative, with contracts valued at more than $600 billion. The 350 projects under construction have total contract value of about 300 billion yuan ($47 billion).

PowerChina makes more than 50 percent of its gross profits from its international business.

In addition to water conservancy and hydropower construction, in which the company has 50 percent of global market share, it is also expanding to new energy infrastructure, EPC (engineering, procurement and construction) projects and investment in minerals.

"PowerChina will continue to provide the best power solutions to the world," said Yan Zhiyong, chairman of the company.

"In our overseas projects, we offer not only technologies and experience, but also lessons we've learned."

According to Yan, the company not only wants to reap immediate revenue overseas, but also to provide the most affordable and sustainable energy to emerging markets.

China's biggest international EPC wind power project, the Adama II in Addis Ababa, Ethiopia, for example, contains 102 turbines with a capacity of 1.5 megawatts each for a total installed capacity of 153 mW.

The project meets more than 20 percent of the Ethiopian capital's power demand, and is the second-largest wind power project on the African continent.

The wind power project has won strong support from the Ethiopian government and local residents; and the Ethiopian president praised the role played by the project in easing the power shortage in the country.

A thorough study before construction is needed to make sure the company provides power solution services for the whole country's energy supply instead of a single project, Yan said.

The company has been providing free power planning in regions and countries participating in the Belt and Road Initiative for the past few years, as well as free training and disaster relief.

According to Yan, PowerChina has its own unique advantages and capabilities in understanding water and electricity, project designing and construction, investment and operations.

"Currently, we primarily invest in electricity, but in the future we will put more investment in new energy generation," he said.

"We also operate highways and are in real estate, and that's why we have stronger capabilities compared with ordinary construction companies and can better adapt to the needs of the modern market," he said.

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