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Favorable Billing System for Residential Clean Energy Heating
2017/11/25
To promote clean heating in the northern area, the National Development and Reform Commission has drafted an utility cost supporting system for ‘Coal-to-Electricity’ and ‘Coal-to -Gas’ retrofits. The first stage of the system will be implemented for the price of residential electricity, followed by gas rates for clean heating.
 
For areas suitable for Coal-to-Electricity retrofits, the government plans to adopt a Time of Use (TOU) tariff, which applies different prices for electricity at different times of the day, on the grid side, levelling the peak and off-peak electricity us-age in the heating season. Electric heating and heat pump heating are included in this tariff system. Renewable energy consumption, cross-border direct electricity transactions, and market-oriented bidding procurement are encouraged to reduce the cost of heating electricity. Thermal storage or heating during off-peak periods can benefit from an electricity tariff that is 50% lower than the average rate.
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