According to a research report from Guotai Haitong Securities Co., Ltd., based on an assumed compound annual growth rate of approximately 1.7% in electricity consumption, national electricity usage is projected to double by 2060. To achieve carbon neutrality by 2060, the share of thermal power in electricity generation must decrease to below 20%, with new power capacity additions primarily coming from wind and solar energy. From the perspective of renewable energy integration across provinces, many regions are already struggling to achieve profitability. The upper limit for wind and solar capacity can be estimated through stress testing. In terms of electricity generation, 30-40% represents the maximum feasible share for renewables. Regarding installed capacity, exceeding 50% necessitates either external transmission or the establishment of energy storage systems for internal consumption. Currently, this 50% threshold may be even lower, as regions like Inner Mongolia and Gansu, which have spot electricity pricing, are already trading electricity at prices as low as a few cents or below 0.2 yuan per kWh, despite their wind and solar shares exceeding 52%. The report indicates that renewable capacity exceeding the upper limit must be fully absorbed by energy storage to resolve curtailment issues. Based on the national ceiling for renewable energy share and a 1:1 storage allocation rule for wind and solar capacity, the firm estimates that national energy storage demand will increase from 270 million kW in 2026 to 920 million kW and 4.5 billion kW by 2030 and 2060, respectively. Assuming excellent grid dispatch capabilities, provinces where the ratio of wind and solar generation to electricity consumption has not yet reached the上限 will gradually approach this limit. Consequently, the potential delayed peak for energy storage deployment might occur around 2027-2029, with storage capacity already facing shortages in northern regions. Considering the economics of energy storage, assuming charging costs between 0.1-0.2 yuan per kWh, a price difference of 0.4-0.5 yuan per kWh between charging and discharging is required for profitability. Analysis of monthly spot price differentials across provinces shows that northern provinces, with stable basic electricity load and surplus renewable capacity, have more optimistic price differentials. Most southern provinces currently lack viable conditions for electrochemical storage. The firm argues that thermal power does not exhibit excessively high return on equity (ROE), and maintaining current levels long-term is not unreasonable. However, its valuation remains significantly below that of all other sectors. Once dividend yields materialize by 2026, a sector reevaluation could become possible.