On March 15, Shangao New Energy Group Co., Ltd. (1250.HK, hereinafter referred to as “Shangao New Energy”) and Century Internet officially signed a big data and new energy framework agreement with the Ulanqab Municipal Government.
According to reports, the agreement aims to strengthen cooperation between the three parties in new energy project development and industrial collaboration. Shangao New Energy will use its technical advantages and experience in the field of new energy to jointly explore the wide application of new energy sources with Century Internet to help Ulanqab achieve energy structure transformation and sustainable development goals led by the big data industry.
This cooperation marks that Shangao New Energy has taken an important step in promoting the implementation of a new model of “integrated source network load storage”. Shangao New Energy's stable green power supply and Century Internet's stable power consumption are highly complementary. The two sides can act as a “green energy supply (power generation side) + computing power infrastructure (consumption side)” source network load storage integrated energy complex to achieve two-way empowerment of Shangao New Energy to increase efficiency and reduce Century Internet's costs.
This also provides a new opportunity for Shangao Renewable Energy to promote the construction of a clean and green energy system.
From a corporate perspective, the smooth progress of this cooperation can bring an excellent demonstration effect to Shangao New Energy, help the company establish a good market image, and strongly endorse its capabilities in the new energy+big data industry, thereby stimulating the accelerated transformation of a large number of potential cooperation orders.
After all, at the macro level, digital energy has now become a popular field that countries, enterprises, investors and other sectors of society are paying close attention to.
In March 2023, “Certain Opinions of the National Energy Administration on Accelerating the Digital and Intelligent Development of Energy” further clarified the direction, goals and key tasks of digital and intelligent energy development, emphasizing “effectively improving the level of digital and intelligent energy development, promoting the development of a digital energy economy and a green low-carbon circular economy, building a clean, low-carbon, safe and efficient energy system, and providing strong support for actively and steadily promoting carbon neutrality to peak carbon”.
According to a survey by the Research Center of the Chinese Academy of Sciences, the digital energy industry, as an important part of the low-carbon economy, has rapidly expanded in size, from 654.42 billion in 2015 to 1105.15 billion in 2022, including a trillion-level market.
And since OpenAI released Wensheng's big video model Sora, the artificial intelligence sector has become the main player in the market. Every upstream, middle, and downstream sector that is “involved” with artificial intelligence has been “carried away” by a wave without exception. In the last two days, the new energy sector has also taken the AI high-speed train. The logic behind this is not difficult to understand. The application of artificial intelligence requires intelligent computing centers and supercomputing centers, as well as long-distance optical data transmission. These all require large amounts of energy, and energy can be seen as a water buyer for artificial intelligence to some extent. Nvidia founder Hwang In-hoon also publicly stated that “the end of AI is photovoltaics and energy storage.”
The signing of this cooperation with Shantao New Energy is a reflection of its ability to keenly capture national policy orientation and market opportunities.
According to reports, Tan Zaixing, executive president of Shangao New Energy Group, revealed that the group is setting its sights on Qinghai, Inner Mongolia, and Xinjiang, and plans to invest and build more large-scale projects in these regions to promote the continuous development of the new energy industry. From this perspective, in a situation that is highly in line with the country's major strategies, Shangao New Energy is continuing to actively explore new business opportunities, which is expected to maximize development benefits, thereby empowering performance and continuously enhancing investor and market confidence.
Based on its ability to grasp business opportunities and strong competitive advantages in the field of new energy, it has helped Shangao New Energy gain a foothold within the first tier of comprehensive domestic new energy solution providers. According to the company's recent Yingxi announcement, profit attributable to shareholders is expected to increase significantly in fiscal year 2023, reaching about 340 million to about HK$420 million, a sharp increase over the previous year.
Generally speaking, under the guidance of the “dual carbon” goal, as the country's energy development policy continues to advance, Shangao Renewable Energy is expected to achieve a leap forward in the wave of integration of new energy and big data by continuously promoting a new model of “integrated source network and load storage”, and contribute to achieving carbon peaks and carbon neutrality goals. At the same time, the company is expected to continue to benefit from the development of the industry, further enhance the imagination space for the company's development, and bring richer returns to shareholders and investors.