On August 5, the registration change for the AVIC Jingneng Photovoltaic Closed-End Infrastructure REIT was officially approved by the China Securities Regulatory Commission (CSRC). This marks the industry’s first expansion project featuring a “photovoltaic + hydropower” asset portfolio model, as well as the first approved expansion project based on operating income rights.
The approval of the expansion project injects strong momentum into the high-quality development of its sponsor, Beijing Energy International Holding Co., Ltd., by revitalizing its existing premium assets. At the same time, it serves as a model for expanding and upgrading China’s clean energy infrastructure REITs market.
According to the plan, the REIT will acquire infrastructure assets located in Tengchong City, Baoshan, Yunnan Province—specifically, the Sujiahekou and Songshanhekou hydropower stations along the main stream of the Binglang River—with a total installed capacity of 483 MW.
Image: Sujiahekou Hydropower Station
Image: Songshanhekou Hydropower Station
The newly acquired hydropower assets will primarily participate in Yunnan Province’s priority power generation program (as part of the West-East Power Transmission initiative), with any remaining capacity to be traded in the market.
Upon completion of the expansion, the REIT will evolve from holding only photovoltaic power assets to a diversified portfolio of “photovoltaic + hydropower,” enabling both scale and diversification effects. The combination of different clean energy asset types helps mitigate risks associated with extreme weather and regional climate variations, thereby reducing volatility and smoothing cash flows.
Industry experts note that this expansion represents the first REIT case featuring a “photovoltaic + hydropower” asset mix, fully validating the feasibility and advantages of China’s dual-engine “IPO + expansion” model for public REITs. It paves a clear path for more high-quality infrastructure assets to be continuously revitalized and scaled through the REITs platform.
In addition, the asset scale expansion will enhance the fund’s risk resilience, market presence, and operational efficiency. It is expected to lower unit operating costs and further strengthen the REIT’s capacity for sustainable long-term distributions.
The fund manager stated that it will strictly comply with all applicable laws, regulations, and fund contract obligations, and will diligently manage the offering of new units, operation and management of the newly acquired hydropower assets, and disclosure of relevant information. The fund remains committed to continuously improving governance and delivering stronger returns for investors.
