Today, the electricity sector of Hong Kong stocks surged again, and many individual stocks hit new year highs.

As of press release,$HUADIAN POWER (01071.HK)$,$CHINA POWER (02380.HK)$An increase of more than 3%,$CHINA RES POWER (00836.HK)$,$DATANG POWER (00991.HK)$With an increase of more than 2%, the above electric companies all hit new highs during the year in the intraday period. Furthermore,$HUANENG POWER (00902.HK)$It rose more than 3%, and is also close to the previous high.

According to the news, what the market is most concerned about is that on May 23, Liu Mingsheng, chairman and party secretary of China Power Investment Group Co., Ltd., attended a symposium in Jinan to put forward opinions and suggestions on deepening the reform of the power system.

It is worth noting that the China Power Investment Corporation held a party group (thematic) meeting as soon as possible after the meeting to convey the spirit of the study conference and study and deploy implementation measures. On the same day, the chairman of the State Grid and China Southern Power Grid held talks. The two sides will strengthen cooperation in speeding up the construction of a new power system and promoting the construction of a unified electricity market.

The above news has further strengthened the market's expectations for the power system reform policy. The market generally believes that electricity reform is expected to usher in a round of acceleration, or that it may be conducive to the implementation of market-based electricity transactions.

In addition, Huaxi Securities analysts Song Hui, Liu Jueting, and others also pointed out in the May 26 report that the State Grid revealed that it will increase investment in power grids in 2024, and the total construction investment is expected to exceed 500 billion yuan. Increased power grid construction may help the electricity market.

Meanwhile, according to the Beijing Meteorological Administration, Beijing officially entered summer on May 7, 13 days earlier than usual. Overall, summer dates in many places are earlier than year-round, and the subsequent peak of summer electricity consumption is ahead of schedule. This has also ignited market sentiment about going long on electricity stocks.

Data show that in the first 4 months of this year, the number of hours used by thermal power in the country increased to 1,448 hours, an increase of 23 hours over the same period last year. As a comparison, the cumulative average usage of power generation equipment in the country was 1,097 hours, a decrease of 49 hours compared to the previous year. It can also be seen from this that demand for thermal power is currently booming, and the current performance has been delivered relatively well.

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