Strategy and National Targets
In 2011, the “Twelfth Five-Year” Plan of Renewable Energy in China was basically formulated and submitted for public consultation. During the next five years, the “Twelfth Five-Year” Plan of Renewable Energy will be fully implemented, when there will be more and more opportunities and challenges compared with the Eleven Five-Year. The new plan explicitly sets out the targets and directions in the next five years for marine renewable energy in China, highlighting the demonstration and utilization of isolated hybrid power system on remote islands. Furthermore, the draft of “Twelfth Five-Year” Plan of Renewable Energy is still under progress by the State Oceanic Administration (SOA) and the National Energy Administration (NEA). The National Ocean Technology Centre (NOTC) is drawing up the “Strategic report for the development and utilization of marine renewable energy in China”, which outlines the overall goals and different stages of marine renewable energy till 2030. It finally gives the solution for strategic development of marine renewable energy in China.

Support, Incentives and Market Initiatives
To promote the development and utilization of ocean energy, the Chinese Government has established the largest special funding programme for marine renewable energy with the highest amount of funds under the leadership of the Ministry of Finance and SOA. It mainly focuses on the construction of isolated island power generation systems and grid-connected power stations, industrialization for key technology, research and development for new technology and the public service system.

In 2010, special funds of RMB 200 million had been invested to support 26 projects in the first funding round, of which more than RMB 110 million was used for technical demonstration projects, accounting for 55% of the total sponsored amount in 2010. In 2011, the establishment of a special fund project was basically completed with total sponsored amount of RMB 200 million. A total of 39 projects passed the review for project establishment. In 2011, the support direction of the special fund is mainly in technical research and test of development and utilization for marine energy, and 30 technical research projects passed the review for the project establishment, accounting for 77% of the total projects. For the demonstration projects, except that continuous support will be provided for the demonstration projects established in 2010, support has been provided for several islands of rich marine energy and outstanding demand for marine energy, and there are up to 10 technical demonstration projects being supported by the special funds. In addition, “863 Programme”, “National Key Technology Research and Development Programme” and “National Natural Science Foundation of China (NSFC)” shall also provide relevant support for Technology R&D and demonstration about the development and utilization of marine renewable energy. 

Relevant Legislation and Regulation
In April 2010, the “Renewable Energy Law of the People’s Republic of China (Amendment)” was formally implemented. Since the formal implementation of “Renewable Energy Law of the People’s Republic of China” in January 2006, it has played a very important role in accelerating and promoting the development and utilization of renewable energy in China. But with the rapid development of the renewable energy industry in China, some problems during the implementation of renewable energy law have been gradually exposed. For this reason, the “Renewable Energy Law of the People’s Republic of China (Amendment)”, passed by the decision of the 12th Meeting of the Standing Committee of the 11th National People’s Congress of the People’s Republic of China on 26 December 2009, modified some articles in “Renewable Energy Law of the People’s Republic of China” and further defined some details of its original contents. 

Main Public Funding Mechanisms
To strengthen the management on the development and utilization of marine energy in China, the Administrative Centre for Marine Renewable Energy (ACMRE) was established by State Oceanic Administration (SOA) on 24 November 2010. As the authoritative supervision organization of the special funds, ACMRE, is responsible for the supervision and management of the special funding programme and the projects in China. ACMRE ensures the implementation of the projects on schedule by technical review of the project implementation proposals as well as special inspection on the fund utilization and implementation progress of the projects. Now ACMRE has completed the technical review on the implementation proposals of special fund projects for marine renewable energy in 2011, and all the projects will step into the practical phase very soon. 

Government Funded R&D
Technology R&D for the development and utilization of marine renewable energy in China is mainly supported by the Government, and funding comes from the public finance. 

Tidal energy
Relatively mature tidal power generation technology has been mastered in China. Jiangxia Tidal Power Station operates well with only several major technology modifications and never caused any significant environmental problem. In 2009 its power generation reached the highest level in its history, and it provided a large amount of electricity power to grids. It has been proven that reasonable choice of the power station site can reduce the environmental impact to an acceptable level; and with the support of an incentive policy, that tidal power stations of a certain scale can survive in the market. 

Wave energy
National Ocean Technology Centre (NOTC): To meet the basic demand of power supply for daily life of the inhabitants of remote islands without power supply and to improve their quality of life, the National Ocean Technology Centre (NOTC) carried out the study of a bottom-mounted pendulum wavepower generation system, based on the R&D of surging-swing wave power device. At present, this project has completed the modelling test for the small-scale physical model (1:20) in a flume tank and a sea trial is expected to be carried out in 2012. 
 

                                      Installation of the 10kW prototype testing 

Tidal current energy
Harbin Engineering University: Harbin Engineering University has carried out some small-scale tests and demonstration with tidal current energy devices. In September 2011, a 10 kW horizontal-axis tidal current prototype was deployed in Daishan of Zhejiang Province. The power is used to provide electricity to the lighthouse.
 

Zhejiang University: Based on the sample machine of 25 kW power generation device with tidal current energy in the initial phase, Zhejiang University carried out research and manufacturing of the engineering sample machine for a 60kW power generation device of semidirect drive type horizontal axis with tidal current energy.  Northeast Normal University: The 5 kW tidal current energy device of modular power technology, which can supply power for oceanographic observation platform, was developed by Northeast Normal University. It can provide the power supply for an anchor-type oceanographic observation instrument.	25kW prototype testing
Ocean University of China: A 20 kW axial-flow tidal current power generation device has been developed by Ocean University of China. Its total installed capacity is no less than 20 kW. The work carried out included the testing of its hydrodynamic performance and sea site survey.	5kW prototype testing
Ocean thermal energy The First Institute of Oceanography of State Oceanic Administration (SOA) The First Institute of Oceanography of State Oceanic Administration (SOA) has been undertaking a project with a 15 kW closed power station using ocean thermal energy. The plant is under installation and commissioning in Qingdao Power Generation Co., Ltd. of China Huadian Corporation.	Prototype device laboratory testing

Participation in Collaborative International Projects
Guangzhou Institute of Energy Conversion (GIEC) of Chinese Academy of Sciences (CAS) cooperates with Blum Company to explore the problem of typhoon resistance and anchoring system of the Blum power generation device with wave energy, and carry out the hydrodynamic calculation, structural and anchoring optimization design, and the optimization design on water turbine and power generation system; the underwater appendage technology is used on the Blum power generation device with wave energy to increase the wave energy capturing efficiency and typhoon resistance of this device. 

China is co-operating with Korea in a study and optimization of an Oscillating Water Column (OWC) device. This project is being undertaken by Ocean University of China and is sponsored by the “National Natural Science Foundation of China (NSFC)”. Under the support of national and international science and technology co-operation plans, Ocean University of China co-operates with the European Marine Energy Centre (EMEC) in the R&D of intelligent power supply system applicable for the device characteristics of ocean energy in China from January 2011 to December 2013, with the objective to fulfil the making of model sample machine for general design and key components of the system, achieve multiple inputs and stable output, and to propose the evaluation method of the device with ocean energy. 

Operational Ocean Energy Projects Jiangxia Tidal Power Station: In 2007 No. 6 generator unit was put into power production. There are 6 bulb turbine generator units, operating in both ebb and flood tides with a total installed capacity up to 3.9 MW, producing an annual power output of 7.2 million kWh. The power station has 79 employees. In 2002, with the implementation of power system reform, the Jiangxia power station was acquired by China Guodian Corporation and managed by China Longyuan Power Group Corporation Limited.

Jiangxia Tidal Power Station

Isolated hybrid power system in Daguan Island: Under the support of the “National Key Technology Research and Development Programme” in “Eleventh Five-Year Plan” Period and the “908” Special Programme, the National Ocean Technology Centre (NOTC) has increased the installed capacity of the hybrid power system from 100 kW to 200 kW on Daguan Island, Jimo City, Shandong Province, based on the existing 30 kW pendulum onshore wave power station. The new power system includes a 130 kW wave energy device, 60 kW small wind turbines and 10 kW solar cells. The power system has passed the project acceptance and was put into operation in June 2011. Phase II works of this demonstration power station 100 kW offshore wave power generation system is under development and will be put into operation in 2012. 
 

New Demonstration Projects
Isolated power system on the islands of South China Sea: Guangzhou Institute of Energy Conversion (GIEC) of Chinese Academy of Sciences (CAS) plans to build an isolated power system with renewable energy on Dawanshan Island, Guangdong Province before August 2012, with total installed capacity of 500kW, including 300kW from wave energy device and 200kW from wind turbine. The design of 100kW floating duck-type device, charging process and special transporting boat has been completed, and the ½-scale prototype is testing. 
 

    ½-scale prototype under construction 

500kW Isolated power system with ocean energy: The Research Centre of China National Offshore Oil Corporation (CNOOC) plans to build an isolated power system with total installed capacity not less than 500kW on Zhaitang Island, Jiaonan City, Shandong Province, including 300kW total installed capacity from tidal current energy, 150kW total installed capacity from wind power and 50kW total installed capacity from solar energy. Multiple research works, such as “General proposal design report for “500kW demonstration project of isolated power system with ocean energy”” and “Study report on site selection and argumentation of “500kW demonstration project of isolated power system with ocean energy”” have been completed. 

Grid-networked power system with tidal current energy: Shandong Branch of China Datang Corporation plans to build a 4×300kW grid-networked power system with sea current energy in the sea area near Longxu Island, Rongcheng City, Shandong Province. Multiple research works have been completed, including “Study on the design and performance prediction method of horizontal-axis turbine with tidal current energy”, “Study on the design of grid-networked inverter in the power generation system with tidal current energy”, and “Study on power conversion system with tidal current energy”. 

Grid-networked power system with ocean energy in Daishan Sea Area, Zhoushan City, Zhejiang Province: China Energy Conservation and Environmental Protection Group plans to build a power generation station with tidal current energy with total installed capacity of 1 MW in Daishan Sea Area, Zhoushan City, Zhejiang Province, which will be networked with power grid of State Grid via 10 kV transmission line. This project is sponsored with RMB 30 million from the Special Fund. The first part of this project for marine surveying engineering has been completed.

Schematic diagram for demonstration project of grid-networked power system with ocean energy in Daishan Sea Area, Zhoushan City, Zhejiang Province