SYEP(300867)2022-11-19 03:24Group 1: Company Overview and Strategy - The company operates under a "dual business drive and dual platform ecology" strategy, focusing on both waste-to-energy and expanding into renewable energy sectors such as solar, offshore wind, and hydrogen [3][4] - The company aims to become a leading provider of green energy in China, leveraging its existing resources and expertise in municipal waste management [3][4] Group 2: Financial Performance and Subsidies - As of December 31, 2021, the company had approximately CNY 480 million in unpaid national subsidies [5] - The national government has introduced policies to expedite the resolution of subsidy arrears, with a significant increase in budget allocations for renewable energy subsidies from CNY 92.8 billion in 2021 to CNY 452.8 billion in 2022 [5] Group 3: Waste-to-Energy Business Insights - The waste-to-energy business contributes over 90% to the company's overall performance, with significant growth potential as national capacity for waste incineration is projected to reach 800,000 tons per day by 2025 [5][6] - The company plans to expand its waste-to-energy capacity through new projects and acquisitions, while also enhancing operational efficiency and profitability [5][6] Group 4: Technological Advancements - The company reported an average power generation of approximately 391 kWh/t of waste, which is above the industry average, with new projects utilizing medium-temperature and high-pressure technology achieving a 60% increase in power generation efficiency [6] - Upgrading existing projects with this technology is estimated to cost around CNY 30 million per project, with a payback period of approximately three years [6] Group 5: Hydrogen Energy Initiatives - The company is leveraging the local petrochemical industry to develop hydrogen production capabilities, focusing on low-cost hydrogen from by-products of petrochemical processes [6] - Future hydrogen production methods and energy sources will be determined based on the development of the company's renewable energy sector [6] Group 6: Investment Performance - The company invested CNY 300 million in the Zhongyuan Qianhai Equity Investment Fund, with a current investment of CNY 225 million, reporting a fair value change of CNY 68.25 million in Q1 2021 and CNY 1.0049 million in Q1 2022 [7] - The fund focuses on sectors such as biotechnology, information technology, and renewable energy, with a total of nearly 100 investments made [7]