Analysis of the development of the wind power industry in China — from the perspective of the financial support

Background: The wind energy industry is an important part of the renewable energy industry. Helpful financial support plays an essential role in the process of its development. This study analyzes the financial support efficiency not only from the aspect of capital raise, but also from the aspect of the allocation of up-, middleand down-stream of the Chinese wind power industry chain (which includes the fan component manufacturing enterprises, the fan production enterprises, the wind farm generation and operation enterprises). Methods: Based on a data envelopment analysis (DEA) model, this study selected 30 representative public companies which sampled and extracted their financial data in a panel analysis from 2010 to 2015, in which the financial support efficiency for the Chinese wind power industry was investigated from the aspect of capital raise and allocation. Results: In terms of capital raise, the comprehensive efficiencies of these three streams all reached their peak in 2011, and then indicated a slight decline, whereas the fan component manufacturing enterprises had both the largest pure technical efficiency value in 2011 and a relatively high scale efficiency value during the sampling period. In terms of capital allocation, the fan component manufacturing enterprises and the wind farm generation and operation enterprises indicated both the highest comprehensive efficiency in 2011, which is merely the expansion period of the new energy industry. The wind farm generation and operation enterprises showed the lowest pure technical value in 2012, which is also the depression period of the new energy industry. The scale efficiency of the fan production enterprises as well as the wind energy generation and operation enterprises had a relatively high scale efficiency value from 2010 to 2015. Conclusion: The overall efficiency of financial support in the Chinese wind power industry has a close relationship to the macro-economic environment and capital raise while the allocation efficiency of up-, middle-and down-stream show different characteristics. Moreover, the lag of the core technology is the biggest barrier to the financial support efficiency of the wind power industry.