Distributed Solar Energy Applications in Commercial Buildings across China: Value
Comparison and Policy Implication
A thesis submitted in fulfilment of the requirements for the degree of Master of Applied
Science
Hongying Zhao
Bachelor of Applied Science (Construction Management) (Honours) RMIT University
School of Property Construction and Project Management
College of Design and Social Context
RMIT University
August 2019
I
Declaration
I certify that except where due acknowledgement has been made, the work is that of the author
alone; the work has not been submitted previously, in whole or in part, to qualify for any other
academic award; the content of the thesis is the result of work which has been carried out since the
official commencement date of the approved research program; any editorial work, paid or unpaid,
carried out by a third party is acknowledged; and, ethics procedures and guidelines have been
followed.
Hongying Zhao
August 2019
II
Acknowledgements
First of all, I would like to sincerely thank my supervisor Dr Rebecca Yang for her guidance and
support during my master study. She is always the one who inspires me the most on my academic
path.
I would like to thank my co-supervisor Dr Trivess Moore for his dedication, encouragement, and the
warmest support when I doubted myself.
I would like to give my appreciation to all the team members in my research group. Your kind help
and feedback for my presentations were important to my study.
Thanks to all my friends and colleagues during my two-year journey at RMIT University.
Finally, I would like to thank my parents for providing financial and mental support to help me
pursue my dream.
III
Table of Contents
Declaration ............................................................................................................................................... I
Acknowledgements ................................................................................................................................. II
List of Figures ......................................................................................................................................... VI
List of Tables ......................................................................................................................................... VII
Abstract ................................................................................................................................................... 1
Chapter 1 Introduction ........................................................................................................................... 3
1.1 Research background .................................................................................................................... 3
1.1.1 Energy consumption of buildings in urban areas of China .................................................... 4
1.1.2 PV applications in buildings in urban areas of China ............................................................. 5
1.1.3 Policy impacts on the PV’s economics in China ..................................................................... 8
1.2 Research questions ..................................................................................................................... 10
1.3 Research aim and objectives ...................................................................................................... 11
1.3.1 Specific objectives of this research ...................................................................................... 11
1.4 Research scope ........................................................................................................................... 11
1.5 Research significance .................................................................................................................. 11
1.6 Thesis outline .............................................................................................................................. 12
1.7 Summary ..................................................................................................................................... 13
Chapter 2 Literature review .................................................................................................................. 14
2.1 Introduction ................................................................................................................................ 14
2.2 PV cells, systems and applications in building ............................................................................ 14
2.2.1 PV cells ................................................................................................................................. 14
2.2.2 PV systems ........................................................................................................................... 15
2.2.3 PV applications in buildings ................................................................................................. 16
2.2.4 PV building applications in China ......................................................................................... 18
2.3 Government policies regarding solar PV power generation ....................................................... 21
2.3.1 Incentives in the global context ........................................................................................... 21
2.3.2 Incentives in China ............................................................................................................... 23
2.3.3 Electricity price policy in China ............................................................................................ 32
2.4 Geographic conditions in China .................................................................................................. 34
2.4.1 Geographic conditions in China and typical cities ............................................................... 34
2.4.2 Tariff policy and subsidy ...................................................................................................... 39
2.5 Summary ..................................................................................................................................... 42
Chapter 3 Research methods and process ........................................................................................... 43
3.1 Introduction ................................................................................................................................ 43
IV
3.2 Research process ........................................................................................................................ 43
3.3 Research methods ...................................................................................................................... 45
3.3.1 Literature review .................................................................................................................. 45
3.3.2 Case study ............................................................................................................................ 45
3.3.3 Economic analysis method ................................................................................................... 48
3.3.4 MATLAB programming ......................................................................................................... 50
3.4 Ethics considerations .................................................................................................................. 52
3.5 Summary ..................................................................................................................................... 52
Chapter 4 The impact of geographic location on financial suitability of different PV systems across
China ..................................................................................................................................................... 53
4.1 Introduction ................................................................................................................................ 53
4.2 Analysis process .......................................................................................................................... 53
4.2.1 Benefit analysis .................................................................................................................... 54
4.2.2 Cost-benefit analysis ............................................................................................................ 58
4.3 Results and discussion ................................................................................................................ 58
4.3.1 Economic assessment results .............................................................................................. 60
4.3.2 Discussions ........................................................................................................................... 65
4.4 Summary ..................................................................................................................................... 69
Chapter 5 The impact of national subsidy on financial suitability of different PV systems across China
.............................................................................................................................................................. 71
5.1 Introduction ................................................................................................................................ 71
5.2 Analysis process .......................................................................................................................... 71
5.3 Results and discussion ................................................................................................................ 78
5.3.1 Analysis of five scenarios ..................................................................................................... 79
5.3.2 Analysis based on the geographic location .......................................................................... 88
5.3.3 The impact of urban environment ....................................................................................... 98
5.4 Summary ................................................................................................................................... 102
Chapter 6 The impact of electricity price change on financial suitability of different PV systems across
China ................................................................................................................................................... 103
6.1 Introduction .............................................................................................................................. 103
6.2 Analysis process ........................................................................................................................ 103
6.3 Results and discussion .............................................................................................................. 104
6.3.1 Economic performance of 5 scenarios across the 12 cities ............................................... 106
6.3.2 Analysis of 5 scenarios across the 12 cities ........................................................................ 113
6.3.3 The impact of urban environment ..................................................................................... 123
6.4 Summary ................................................................................................................................... 127
Chapter 7 Conclusions ........................................................................................................................ 129
