I. Analysis of the development of municipal solid waste incineration industry. 

China's waste incineration power generation industry started in the late 1980s and 1990s, through the introduction of foreign advanced incineration equipment and technology, digestion, absorption and optimization. 

The landmark event was in 1985, when the Qingshui River in Shenzhen introduced Japanese equipment and summed up the experience of Japanese furnace type for expansion and transformation. 

At present, the mainstream processes of garbage disposal in China include landfill (56%) and incineration (38%). With the expansion and slow down of landfill process, it is only a matter of time before landfill capacity shrinks. 

The scale of landfill capacity during the 13th five-year Plan period will be 5 per cent lower than the same period last year: according to the 13th five-year Plan, the landfill capacity will be about 477100 tons per day by 2020, down 5 per cent from 501500 tons per day at the end of 2015. 

In 2017, the number of landfills in urban areas of China was 645, showing a year-on-year decline for the first time. 

In the future, with the increasing difficulty of site selection and the consumptive occupation of land by landfill disposal, the trend of capacity contraction is more certain, which will make room for the expansion of incineration process. 

Landfills will be phased out 32900 tons a year: according to the 13th five-year Plan, it is expected to implement 803 landfill closure projects with a capacity of 163100 tons per day; reviewing the 12th five-year Plan, there are 802 landfill closure projects with a capacity of 165500 tons per day. 

Therefore, from 2010 to 2020, landfills in China maintain the law of eliminating the production capacity of 32900 tons per day.

Recently, the National Development and Reform Commission and the National Energy Administration jointly issued the Guiding Opinions on Strengthening and Standardizing the Supervision and Management of Self owned Coal Fired Power Plants. 

This document is one of the supporting documents for implementing the reform of the power system. 

The Opinion provides several guiding opinions on the standardized development of coal-fired self owned power plants from the aspects of planning and construction, 

operation management, responsibility and obligations, energy conservation and emission reduction, market trading, 

supervision and management, etc. It has a positive guiding role in promoting the healthy and orderly development of coal-fired self owned power plants.

Self owned power plants have played a positive role, but there are also many problems

Preliminary statistics show that in 2014, the installed capacity of self owned power plants in China exceeded 110 million kilowatts, accounting for about 8% of the total installed capacity of power generation in the country that year. 

Self owned power plants are mainly concentrated in high energy industries such as steel, electrolytic aluminum,

 petrochemicals, and cement, mainly distributed in resource rich areas and some economically developed areas. The main types of units are coal-fired units, 

with coal-fired self owned units accounting for over 70%.

Self owned power plants have played a positive role in many aspects: firstly, 

they have reduced the production costs of enterprises, improved their competitiveness, 

promoted the transformation of resource advantages and the development of characteristic industries in resource rich areas; Secondly, 

the comprehensive utilization efficiency of resources has been improved. Some self owned power plants utilize resources such as coal gangue, waste heat, 

and residual pressure to generate electricity, effectively saving resources; The third is to assume the responsibility of local heating and heating. 

Some enterprises have their own power plants that not only meet the production needs of enterprises,

but also use surplus heat energy to provide heating to surrounding residents and other enterprises, which to some extent promotes local economic and social development.

However, there are also many problems in the construction and operation of self owned power plants, such as: multiple government departments are involved in the approval process, 

and the phenomenon of building before approval and not complying with the approval process is relatively serious; 

The energy consumption indicators and emission levels are generally high, with a significant gap compared to public units;

 Low level of operational management and poor operational reliability; The enthusiasm for participating in power grid peak shaving is not high, and the social responsibility is not enough.

Xinhua Beijing, December 2 (Reporter Chen Weiwei) 2, the State Council executive meeting decided to comprehensively implement ultra-low emissions and energy-saving transformation of coal-fired power plants, and significantly reduce coal consumption and pollution emissions for power generation. 

This is an important measure for China to improve the clean and efficient utilization of coal power and reduce pollutant emissions from the source. 

Coal is the main energy source in China. 

As of 2014, coal still accounted for more than 60% of China's primary energy consumption. 

The impact of coal-based energy structure on the environment can not be underestimated. 

According to the Action Plan for Clean and efficient Utilization of Coal in the Industrial sector released at the beginning of this year, 70 percent of the country's smoke and dust emissions, 85 percent of sulfur dioxide emissions and 67 percent of nitrogen oxide emissions come from coal-based fossil energy combustion. 

Coal for power generation accounts for about half of China's coal consumption. 

According to the development plan, China will strive to increase the proportion of thermal coal in coal consumption to more than 60% by 2020. 

Under the background that the coal-based energy structure is difficult to change in the short term and the proportion of thermal coal continues to increase, it is of obvious significance to make coal-fired power plants cleaner and more efficient. 

The executive meeting of the State Council proposed the comprehensive implementation of ultra-low emission and energy-saving transformation of coal-fired units, and defined the "roadmap" of the transformation from the two aspects of "energy saving" and "emission reduction". 

In terms of energy conservation, the meeting made it clear that by 2020, the average coal consumption of all active power plants will be less than 310 grams per kilowatt-hour, and that the average coal consumption of new power plants will be less than 300 grams, and that the eastern and central regions will meet the standards ahead of 2017 and 2018 if they are resolutely eliminated and shut down if they do not meet the requirements of relevant mandatory standards. 

To reduce the coal consumption of power supply needs to break through multiple technical problems, and people in the thermal power industry often use "grinding one gram in ten years" to describe its difficulty. 

The standard coal consumption for power supply of power plants of 6000 kilowatts and above nationwide was 318g / kWh in 2014, according to the China Federation of Power and Power. 

In the future, there is still room for the reduction of power supply coal consumption by raising the threshold of unit access, reforming existing units, eliminating backward units, and continuing to promote technological research. 

In terms of emission reduction, the meeting put forward the transformation route of ultra-low emissions. 

According to industry experts, ultra-low emission is through technical means to make the atmospheric pollutant emission concentration of coal-fired power generation units meet the emission standards of natural gas turbine units. 

The Action Plan for Energy Saving, Emission reduction and Transformation of Coal Power (2014-2020) issued last year clearly defines the emission limits of gas turbine units: under the condition of 6% benchmark oxygen content, the emission concentrations of soot, sulfur dioxide and nitrogen oxides are no more than 10 mg / m3, 35 mg / m3 and 50 mg / m3, respectively. 

The economic benefit of ultra-low emission transformation of coal-fired power generation is obvious. 

Zhang Yuzhuo, academician of the Chinese Academy of Engineering, said at the International Energy Reform Forum held a few days ago that at present, the online electricity price for coal-fired power generation is 0.3 yuan / kWh, which is far lower than the 0.8 yuan / kWh price for natural gas power generation. 

After the ultra-low emission transformation, power generation from coal can achieve the same emission or even lower, and the cost is only half of that of natural gas power generation. 

According to relevant estimates, after the completion of the transformation of coal-fired units, about 100 million tons of raw coal can be saved every year, carbon dioxide emissions can be reduced by 180 million tons, and the total emission of major pollutants in the power industry can be reduced by about 60 percent. 

At present, some places and power enterprises have carried out ultra-low emission transformation and exploration. 

The reporter learned that Shanxi Province proposed that by the end of 2017, the emission standards of major pollutants from conventional coal-fired generating units with a unit capacity of 300000 kilowatts or more should meet or be better than those of gas-fired generating units, and formulated a three-year promotion plan and an annual action plan. 

However, the early investment of ultra-low emission transformation is large, and enterprises are facing the cost pressure of transformation. 

The executive meeting of the State Council proposed that we should increase policy incentives for ultra-low emissions and energy-saving transformation, invest mainly in enterprises, give policy support to the central and local governments, and increase financing support such as preferential credit and bond issuance.

In order to openly and transparently implement the coal-electricity price linkage and promote the coordinated development of the coal-power industry, recently, with the approval of the State Council, the National Development and Reform Commission issued the Circular on improving the Coal-electricity Price Linkage Mechanism (hereinafter referred to as the "Circular"). The improved coal-electricity price linkage mechanism will be implemented from January 1, 2016. 

The notice makes it clear that the electricity price adjustment of the coal-electricity price linkage mechanism is based on China's power coal price index. the linkage mechanism takes one year as a cycle, is uniformly deployed and launched by the National Development and Reform Commission, and is organized and implemented in provinces (autonomous regions and municipalities). 

The implementation time of feed-in electricity price and sales electricity price adjusted according to the linkage mechanism is January 1 every year. 

In September 2015, the National Development and Reform Commission Price Monitoring Center and Qinhuangdao Coal Exchange Market and other institutions have established and published China's thermal coal price index on a monthly basis. 

The price index of power coal in China is mainly based on the factory price of power generation enterprises monitored by each province, and absorbs the influential market monitoring data such as the price index of thermal coal around the Bohai Sea, which represents 5000 kcal of power coal. 

According to the notice, the average thermal coal price in 2014 is the benchmark coal price, and in principle the feed-in electricity price corresponding to the 2014 thermal coal price is taken as the benchmark electricity price. 

In the future, the price linkage of coal and electricity will be implemented each time, and the coal price and feed-in price will be compared with the benchmark coal price and the benchmark electricity price respectively. 

The notice stipulates that coal and electricity prices are linked in an interval, with 30 yuan per ton as the starting point and 150 yuan per ton as the fuse point compared with the benchmark coal price during the cycle. 

When the fluctuation of coal price does not exceed 30 yuan per ton, the cost change shall be absorbed by the power generation enterprises without starting the linkage mechanism, and the part of coal price fluctuation exceeding 150 yuan per ton will not be linked. 

When the coal price fluctuates between 30 yuan and 150 yuan per ton, we will implement the step-by-step regression linkage, that is, the greater the range of coal price fluctuation, the smaller the proportional coefficient of the linkage. 

The "notice" announced to the public the formula for calculating the linkage mechanism. 

After the adjustment of the feed-in electricity price, the sales electricity price shall be adjusted according to the formula. 

Among them, the price of industrial and commercial electricity is adjusted accordingly, and the adjustment level is determined according to factors such as the electricity consumption of coal-fired units, the power supply of other power sources, the amount of electricity purchased outside the country, and the electricity price for energy conservation and environmental protection. 

The price of electricity for residents' daily life and agricultural production remained relatively stable. 

The "notice" also stressed that while improving the linkage mechanism of coal and electricity prices, we should persist in promoting the market-oriented reform of electricity prices, speed up the construction of the electricity market, and gradually liberalize electricity prices in competitive links. 

The electricity price participating in the transaction in the electricity market shall be determined by both parties through independent consultation. 

The open and transparent implementation of the coal-electricity price linkage mechanism will help to reasonably guide social expectations and promote the stability of the coal-power market.