5 years, 250 vessels! State Power Investment Corporation and Gree Group join forces to build a new energy vessel R&D center

Joining forces with Gree Group, a new energy company under the State Power Investment Corporation, a state-owned power enterprise, will build an electric vessel base in Zhuhai, aiming to sell 250 new energy vessels within the next five years.

On April 12, Zhuhai High-tech Zone, Gree Group, and a subsidiary of the State Power Investment Group signed a project investment cooperation agreement, promoting the establishment of two projects: the Ronghe Yuangchu South China Smart Manufacturing Base (hereinafter referred to as the Ronghe Yuangchu Project) and the Qihang New Energy Vessel Electrification R&D Center (hereinafter referred to as the Qihang Vessel Project) in the G-Creation 5.0 Industrial New Space in the High-tech Zone, empowering Zhuhai to seize the commanding heights of the new energy industry.

Huang Zhihao, Deputy Secretary of the Zhuhai Municipal Party Committee and Mayor; Wen Hua, Member of the Party Leadership Group and Secretary-General of the Municipal Government; Liu Gaolu, Director of the Municipal Investment Promotion Agency; and others witnessed the signing ceremony. Han Zhiwei, Party Secretary and Chairman of SPIC Capital Holding Co., Ltd.; Zhang Weidong, Party Committee Member and Vice General Manager of SPIC Capital Holding Co., Ltd.; Cai Ning, General Manager of China Power Investment Ronghe Leasing Co., Ltd. and China Power Investment Ronghe New Energy Technology Co., Ltd.; Zhang Tao, Party Secretary and Vice General Manager of China Power Investment Ronghe Leasing Co., Ltd. and China Power Investment Ronghe New Energy Technology Co., Ltd.; Kang Hong, Party Secretary and Chairman of Gree Group; Xue Fei, Member of the Party Working Committee and Deputy Director of the Management Committee of the High-tech Zone; Chen En, Vice President of Gree Group; and others attended the signing ceremony.

As a super-large state-owned key backbone enterprise directly managed by the central government, State Power Investment Corporation shoulders the important mission of safeguarding national energy security. It is the world's largest photovoltaic power generation enterprise, new energy power generation enterprise, clean energy power generation enterprise, and national new energy chain-leading enterprise. According to the agreement, Gree Group will participate in the mixed-ownership reform of two new energy enterprises under State Power Investment Corporation: Shanghai Ronghe Yuangchu Energy Co., Ltd. and Shanghai Qiyuan Xindongli Technology Co., Ltd., working together to promote the improvement of the efficiency of state-owned capital allocation and operation.

▲Qiyuan Xindongli battery swap heavy truck project

It is understood that Qiyuan Xindongli is a "unicorn" mixed-ownership reform enterprise that State Power Investment Corporation has focused on developing and in which the team holds shares. It focuses on comprehensive smart energy services in the field of "green electric transportation." Its core battery swap patent technology has been deployed in over 100 heavy truck charging and swapping stations in 31 provinces, municipalities, and autonomous regions across the country, making it a leading domestic brand for large-scale battery swap services. The company's independently researched battery swap system and key technologies for station-network interaction have been approved for the "Strategic Priority Technology Innovation Cooperation Project" by the Ministry of Science and Technology.

As a comprehensive service provider for zero-carbon green energy transportation, guided by its corporate mission of "Making Transportation Greener and Life Better," Qiyuan Xindongli actively promotes battery swap heavy trucks and electric engineering machinery, builds battery swap service networks, provides full lifecycle management of power batteries, intelligent digital operation management, and customized financial services, striving to use green energy to help enterprises pave the way for the future.

In December 2023, Gree Group's Gree Jintou invested in Qiyuan Xindongli's Series B financing and actively promoted the visit of the main leaders of State Power Investment Ronghe to Zhuhai. Highly recognizing Zhuhai's unique shipping resources and accumulated new energy industry, in December 2023, Qiyuan Xindongli, together with China Power Investment Ronghe New Energy Technology Co., Ltd. and Shanghai Ronghe Dianke Leasing Co., Ltd., jointly initiated the establishment of Zhuhai Qihang New Energy Technology Co., Ltd. in Zhuhai High-tech Zone, and plans to lease 1,588 square meters of office space in the E area of G-Creation • Xingu, mainly engaged in the sales of new (integrated general contracting) electric vessels, the transformation of old vessels, the integration and sales of power systems, and the integrated construction and after-sales market services of shore-based electric vessel charging equipment.

▲Qihang Vessel Project Case

Qihang New Energy Company will establish its management headquarters and a vessel electrification R&D center (i.e., the Qihang Vessel Project) in Zhuhai. The company is currently in the early stages of preparation and establishment, and is expected to commence operations in June this year. It plans to sell 250 new energy vessels within five years, with an estimated revenue of 2.5 billion yuan and tax revenue of 125 million yuan.

In addition to the Qihang Vessel Project, Gree Group and State Power Investment Corporation will also cooperate to build the Ronghe Yuangchu South China Smart Manufacturing Base in Zhuhai High-tech Zone. It is understood that Ronghe Yuangchu, as the industry's first energy storage system integrator to propose intelligent operation and managed operation, mainly engages in the research and development, production, and manufacturing of large-scale energy storage system integrated products, green electric transportation vehicle energy products, and energy digital products. It also invests in, develops, and operates energy storage power stations, providing value-added services for the entire lifecycle of energy storage assets.

▲Ronghe Yuangchu energy storage battery cabin

In January 2024, Gree Group's Gree Jintou, together with China Merchants Venture Capital and China Merchants Leasing under China Merchants Group, jointly led the Series A financing of Ronghe Yuangchu. Through "investment to attract investment," it promoted Ronghe Yuangchu to establish a holding subsidiary, Zhuhai Ronghe Yuangchu Energy Co., Ltd., in Zhuhai High-tech Zone, and plans to lease approximately 10,000 square meters of factory buildings in areas B and C of G-Creation • Xingu for investment in the construction of the first phase of the Ronghe Yuangchu South China Smart Manufacturing Base. This project plans to configure an annual production capacity of 2GWh energy storage PACK production line, with an annual integration capacity of 5GWh, producing industrial and civil energy storage products suitable for various scenarios such as thermal power joint frequency regulation, new energy power generation supporting energy storage, user-side energy storage, and independent shared energy storage, as well as green electric transportation vehicle, vessel, and agricultural machinery oil-to-electricity energy products.

Through this signing, State Power Investment Corporation and Gree Group will give full play to their respective resource advantages, innovatively promoting a deep integration model of "new energy + green finance," providing long-term and low-cost funds for green and low-carbon projects to meet the needs of long-term development, low leverage ratios, supplementary capital, mergers and acquisitions, and mixed-ownership reform. After the mixed-ownership reform investment, both parties will promote the landing of the Ronghe Yuangchu Project and the Qihang Vessel Project in Zhuhai High-tech Zone, helping green and low-carbon enterprises to achieve sustained development and the dual-carbon goals.

Next, Gree Group will give full play to its advantages as a comprehensive industrial operator, actively coordinating resources from all parties to escort the key projects to achieve production and efficiency. At the same time, it will use "investment attraction + chain-type investment promotion" to help Zhuhai improve its new energy storage industry layout, adding new strength to Zhuhai's rapid development of a trillion-level modern industrial system.