The Last Mile of Solar: What Drives the Competitiveness of Chinese SOEs in Distributed PV Investment?

Abstract

Driven by the dual carbon strategic goals, China’s Distributed Photovoltaic (DPV) market is undergoing rapid development. Recent national policies have established a comprehensive institutional framework, creating a favorable environment for DPV investment. The market has become increasingly competitive, with private enterprises, central State-Owned Enterprises (SOEs), foreign enterprises, and local SOEs coexisting. Local SOEs face unique challenges as they must pursue economic efficiency while fulfilling social responsibilities. This study takes a Local State-Owned Energy Investment Company in Wuxi, Jiangsu Province, China as its research object. It adopts a mixed-methods approach integrating case study research, semi-structured interviews, and quantitative strategic analysis. Through in-depth interviews with 15 key informants and IFE/EFE/QSPM analysis, this study systematically evaluates two competitive pathways: restructuring the internal investment decision-making system and rebuilding the external brand trust mechanism. The findings indicate that both pathways are feasible, with QSPM scores of 6.64 and 6.16, respectively, confirming that restructuring the investment decision-making system should be prioritized. This research enriches strategic management studies in energy enterprises, provides actionable solutions for enhancing local SOE competitiveness, and offers significant reference value for the high-quality development of the DPV industry.