In 2011, Longyuan Power received CNY 6.2 billion in revenue from its wind farms, up 34.4% on 2010. According to Longyuan this was due to a reduction in operating costs and more wind farms operating in areas of higher benchmark feed-in tariffs.
Longyuan sold wind power at an average price of CNY 578/MWh in 2011, CNY 6 higher than the CNY 572/MWh in 2010.
The use of larger wind turbines (rising by 3.92% in unit capacity) and reduction of turbine purchase prices (down by 9.81% from centralised purchasing), also played a part in cutting costs.
The company's net profit growth was also partly attributed to UN Clean Development Mechanism (CDM) projects.
By the end of 2011, Longyuan Power had registered 106 wind farms for CDM projects, totaling 6.028GW. They included 52 CDM projects registered in 2011, totaling 3.198GW. In 2011, Longyuan won CNY 727 million from the CDM projects, up 85.5 percent year-on-year.
Longyuan Power showed a sharp contrast to Chinese wind turbine makers, who have suffered a dramatically falling profits, because of smaller orders from wind farms and falling turbine prices.
In 2011, Longyuan Power put 38 wind farms into operation, totalling 2.042GW. It expanded the overall total to 8.6GW by the end of 2011, the largest in China.
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