Jing Guan Fa [2020] No. 27


To the Beijing Power Exchange Center, the North China Branch of State Grid Corporation of China, the State Grid Beijing Electric Power Company, the Capital Power Exchange Center, and all relevant electricity users and power sales companies in Beijing,

To implement the Opinions of the CPC Central Committee and the State Council on Further Deepening the Reform of the Power System (Zhong Fa [2015] No. 9) and the National Development and Reform Commission and the National Energy Administration's Notice on the Issuance of Basic Rules for Medium- and Long-term Electricity Transactions (Fa Gai Neng Yuan Gui [2020] No. 889), and to steadily promote the reform of Beijing's power system, the Municipal Commission of Urban Management, in conjunction with relevant departments, has revised the Implementation Rules of Beijing Municipality for Management of Access and Exit of Electricity Users (Jing Guan Fa [2018] No. 71), and compiled the Market Access Related Matters and Requirements for the Third Batch of Electricity Users in Beijing. The documents are hereby issued to you for your conscientious implementation.

Please be informed.    

Beijing Municipal Commission of Urban Management 

August 31, 2020

(Contact: Zhang Yujie, Electricity and Coal Division; Tel: 68515807)


Implementation Rules of Beijing Municipality for Management of 

Access and Exit of Electricity Users


Chapter I General Provisions

Article 1 These implementation rules have been formulated in accordance with the relevant state laws and regulations and relevant policy documents.

Article 2 These implementation rules shall apply to the management of access and exit of Beijing electricity users involved in market-based electricity transactions.

Article 3 Market access for electricity users shall be provided for in batches and phases according to the overall arrangement of Beijing's market-based electricity transactions.

Article 4 Electricity users shall participate in power market transactions by following the principles of "rationality, compliance, voluntariness, and self-discipline".

Article 5 Beijing Municipal Commission of Urban Management shall be responsible for the management of access and exit of electricity users in Beijing.

Chapter II Access and Exit

Article 6 Access conditions for electricity users:

(1) Legal enterprises possessing independent financial accounting and good credit capable of independently assuming civil liability. Enterprises under internal accounting control may participate in transactions with the authorization of their legal entities.

(2) In line with national and municipal industrial policies, unit energy consumption must meet standard environmental protection regulations and industry access conditions. Data centers shall fulfill project filing formalities with local industry authorities.

(3) In line with grid access specifications, technical requirements for grid security must be observed with relatively stable electricity load. A formal power supply agreement (contract) shall be concluded with power grid enterprises.

(4) Electricity users in possession of power plants shall bear government funds and surcharges, as well as policy cross-subsidies in accordance with state regulations.

(5) The appropriate metering capability or alternative technical means shall comply with the requirements of market measurement and settlement.

(6) Large industry or general industry and business tariffs, instead of tiered, differential, or punitive tariffs, shall be implemented.

Article 7 After entering the electricity market, enterprises consuming less than 5 million kWh in the previous year shall be represented by power sales companies to participate in market-based transactions. Enterprises consuming more than 5 million kWh and in the previous year can participate in market-based transactions directly or through power sales companies.

Article 8 An electricity user may commission only one power sales company to act as an agent in market transactions within a given contract period. A single electricity user may not employ multiple agencies.

Article 9 Electricity users that fail to comply with national or Beijing's industrial policies shall be temporarily barred from entering the market. If the products and processes of an electricity user are eliminated or restricted, the existing differential tariff policy shall be strictly implemented.

Article 10 Electricity users participating in market-based transactions (including wholesale and retail transactions), must purchase all their electricity through either wholesale or retail transactions. They may not participate in both wholesale and retail transactions. Electricity users purchasing electricity through market-based transactions shall not incur the directory tariff.

Article 11 Access application materials for electricity users include:

(1) The Beijing Electricity User Application Form.

(2) A Letter of Commitment from the Enterprise’s Legal Representative.

(3) A photocopy of the legal representative's ID.

(4) A photocopy of the business license.

(5) Enterprises under internal accounting control must submit a letter of authorization from the corresponding legal entity.

(6) Data centers must submit project filing documents with the local industry authorities.

Article 12 After market access notice is issued, electricity users applying to participate in market-based transactions must provide application information and upload access application materials to the Capital Electricity Transaction Platform (http://pmos.bj.sgcc.com.cn), and submit a paper copy of the materials bearing an official seal to the Capital Power Exchange Center. Electricity users shall be responsible for the authenticity, completeness, and compliance of the materials submitted. The Capital Power Exchange Center shall verify the completeness of the materials provided by electricity users and classify them. Users shall be informed via the system of materials that fail to meet the requirements.

Article 13 The Capital Power Exchange Center shall transfer electricity users' electricity-related information to the State Grid Beijing Electric Power Company. The latter shall check the results and feedback to the center.

Article 14 The Capital Power Exchange Center shall submit a list of electricity users meeting access conditions to Beijing Municipal Commission of Urban Management, which shall make a public announcement through the extranet of government affairs (http://csglw.beijing.gov.cn). Public notice shall extend over a period of five working days, after which access shall automatically take effect for electricity users if not challenged.

Article 15 Electricity users may not, in principle, withdraw from the electricity market on their own after having entered it. Normal exit procedures can be carried out at the Capital Power Exchange Center under one of the following circumstances:

(1) Electricity users declare bankruptcy and stop consuming power.

(2) The original electricity users are unable to continue to participate in market transactions for reasons independent of themselves, such as major adjustments to national policies or the rules of the electricity market.

(3) Electricity users' physical attributes fail to meet market access conditions in Beijing due to grid restructuring.

National policies on electricity consumption are implemented after the above-mentioned electricity users have completed the normal exit procedures.

Article 16 In principle, the original legal entity and its legal representative shall not be allowed to choose market-based transactions for a period of three years for electricity users that withdraw from the market without valid reasons.

Article 17 If electricity users withdraw from the market without justifiable reasons, the power grid companies providing transmission and distribution services for them shall assume the responsibility of guaranteed minimum power supply. The guaranteed price for transactions between grid companies and electricity users shall be 1.2-2 times the government-approved directory tariff on top of the transmission and distribution tariff paid by the electricity users.

Article 18 If an electricity user that has completed market registration and has carried out trading fails to sign a new transaction contract after the expiration of the original contract but continues to consume electricity, it shall no longer be settled according to the government directory tariff, but according to the guaranteed price. If an electricity user completes market registration but does not conduct transactions, the government directory tariff shall be applied.

Chapter III Market Registration, Change and Cancellation

Article 19 After completing access procedures, electricity users must carry out market registration and other related procedures at the Capital Power Exchange Center.

Article 20 In the case of adjustments to national policies or significant changes in transaction rules, the Capital Power Exchange Center may organize the re-registration of registered electricity users.

Article 21 If an electricity user's registration information changes, the user must promptly submit an application for change on the Capital Electricity Transaction Platform. In the case of a significant change to the electricity user's electricity consumption category, or information relating to legal entity, legal representative, or major shareholders of the company, the commitment must be renewed. The Capital Power Exchange Center shall publicize the information in its altered form on the information release website for a period of five working days. The center shall then release the new information to all market players if not challenged during the publicity period.

Article 22 In the case of an electricity user's making changes to electricity consumption business activity, such as merging, canceling, transferring, changing name (changing customer name), or changing voltage or class, the user must visit the Capital Power Exchange Center to register information changes in a timely manner after the actual business change has been completed by State Grid Beijing Electric Power Company.

Article 23 If an electricity user withdraws from electricity market transactions, the user must submit a cancellation application to the Capital Power Exchange Center in a timely manner. The user must complete or assign all signed transaction contracts before withdrawing. After the Capital Power Exchange Center has confirmed the application, it shall publish relevant information on the extranet of government affairs of Beijing Municipal Commission of Urban Management and the Capital Electricity Transaction Platform for five days. The center shall then complete the cancellation procedures for the user if not challenged during the publicity period and report the relevant information to the commission.

Chapter IV Supervision and Administration

Article 24 Beijing Municipal Commission of Urban Management and related departments shall supervise the access, registration, transaction, change, exit and other aspects of electricity users' participation in electricity market transactions.

Article 25 In the case of violations of electricity market order, such as market manipulation or illegal deals, the Capital Power Exchange Center shall report the violations to Beijing Municipal Commission of Urban Management and North China Energy Regulatory Bureau, exposing such cases of misconduct within the market.

Article 26 For any violation of electricity users against relevant laws, regulations and trading rules, or in the case of a breach of trust, falsification, etc., Beijing Municipal Commission of Urban Management and North China Energy Regulatory Bureau shall organize investigation and confirmation according to their functions. If the case turns out to be true, the electricity user shall be included for demerit records and be subject to joint penalty measures, such as warnings or restrictions on transactions. If the circumstances of the electricity user's violation are particularly serious or the user refuses to rectify the situation, the user shall be forced out of the market and included in the blacklist of enterprises in breach of trust.

Chapter V Supplementary Provisions

Article 27 The right to interpret these implementation rules shall reside with Beijing Municipal Commission of Urban Management.

Article 28 Matters not covered by these implementation rules shall be carried out in accordance with the Basic Rules for Medium- and Long-term Electricity Transactions (Fa Gai Neng Yuan Gui [2020] No. 889) and other relevant provisions.

Article 29 These implementation rules shall enter into force on the date of promulgation, and shall be adjusted according to the relevant policies of national power system reform and the promotion of electricity distribution reform in due course. The former Implementation Rules of Beijing Municipality for the Management of Access and Exit of Electricity Users (Jing Guan Fa [2018] No. 71) shall be repealed simultaneously.


Annexes:

1. Beijing Electricity User Application Form (omitted)

2. Letter of Commitment from the Enterprise's Legal Representative (omitted)

3. Legal Entity Authorization Letter (enterprises under internal accounting control) (omitted)