On March 8, 2022, according to the announcement of Conch Cement’s new energy business investment plan, in 2022, the company will invest 5 billion yuan in the development of new energy businesses such as photovoltaic power stations and energy storage projects to achieve full coverage of photovoltaic power generation in its subsidiaries. It is estimated that by the end of 2022, the installed capacity of photovoltaic power generation will reach 1GW, with an annual power generation capacity of 1 billion kWh.

Recently, Conch Cement has made frequent moves and has continuously increased its efforts in the layout of new energy. Conch Cement said that the new energy company is mainly engaged in photovoltaic power generation and other businesses, which can provide power support for the company's cement production and assist in supporting the development of the main cement business. At the same time, it is conducive to creating a new industrial growth pole, while implementing the green development strategy, implementing the national policy requirements on carbon peaking and carbon neutrality, promoting the Company to accelerate industrial transformation and upgrading, and promote the diversified development of the industry.

The transformation of Conch Cement originated from the acquisition of Conch New Energy. In August 2021, Conch Cement announced the acquisition of Anhui Conch New Energy Co., Ltd. for 443 million yuan, which is wholly-owned by Conch Group through Conch Investment Company. Its main business scope includes photovoltaic power generation, wind power generation, and energy storage systems. Technology development, technical services, construction, operation and management of power projects, power sales, power engineering, mechanical and electrical engineering construction, etc. Although it has only been established for three and a half years, Conch New Energy has achieved a net profit of 41.5253 million yuan in 2020 and a net profit of 28.5094 million yuan from January to June 2021.

According to industry insiders, Conch Cement has more than 100 factories located all over China, and they can develop rapidly by striving for resources. At present, Conch Cement has 110 factories capable of doing distributed photovoltaic power generation projects, more than 20 factories have been completed, and the remaining 80 or 90 factories will be completed in 2022. In the future, Conch Cement will not only be a major manufacturer of photovoltaic equipment, but also enter into energy storage batteries, open up the entire photovoltaic industry chain, and be the operator and holder of photovoltaic assets.

At present, Conch Cement has signed a contract for the Fengyang Photovoltaic Industrial Park project, and the planned investment projects include quartzite mining and deep processing, photovoltaic glass production, photovoltaic modules, solar power generation, etc. On March 1, 2022, Conch Group's Xuancheng BIPV photovoltaic building materials project was signed. The first phase of the project has an investment of about 300 million yuan. It is planned to build a photovoltaic curtain wall production line with an annual output of 300,000 square meters, a 50MW photovoltaic tile production line and a 30MW metal roof production line. Conch New Energy, Shandong Yabo Technology, Kaisheng Group, Ruihui Xuanhong, China The five parties of Shengxin Energy set up a joint venture company for joint development.

During the 14th Five-Year Plan, Conch Group will invest a total of 200 billion yuan in the four aspects of the main cement industry chain, new energy, new materials and digital industrialization, consolidating the main business and forming new advantages. Editor/He Yuting