Business Review

The Group is principally engaged in generation and sales of electricity in Mainland China, including investment, development, operation and management of coal-fired power, hydropower, wind power and photovoltaic power plants. Its businesses are located in the major power grid regions of China.

During the year under review, the power industry in the PRC experienced a complicated and changing market environment. In 2016, the national total electricity consumption rose by 5.0% as compared with the previous year. Although the growth rate increased significantly as compared with 2015, the national power generation installed capacity at the end of 2016 recorded a year-on-year increase of 8.2%, which was even higher than the growth rate of national total electricity consumption, indicating an oversupply of national power supply.