Shanghai (ZXZC)- On Dec. 15, GAC Group and Southern Power Grid Electric Power Technology Co., Ltd., a subsidiary of China Southern Power Grid (CSG), inked an MoU (memorandum of understanding) to carry out strategic cooperation in energy ecosystem and industrial chain, according to a post on GAC Group's WeChat account.

Under the MoU, both companies will leverage their respective professional advantages and unique technologies to conduct a comprehensive collaboration in the fields like the source-grid-load-storage integration, new-type energy storage, microgrid, virtual power plant, and battery recycling.

The duo will also co-work on strengthening their cooperation in the capital area.

Photo credit: GAC Group

In addition, the two companies will explore the building of an energy ecosystem in such domains as battery, energy storage, electric vehicle charging, and battery swapping, and jointly develop cabinet-type energy storage systems and other products.

GAC Group expects a double-digit year-on-year growth in its full-year automobile output, sales volume, gross industrial output value, and local industrial output value in Guangzhou city for the year of 2022, the company said at a governmental press conference held on Dec. 14.

For the first eleven months of 2022, GAC Group produced and sold 2.28 million and 2.23 million vehicles, representing a year-on-year growth of 21.9% and 16.6%, respectively. During this period, it generated a gross industrial production value of 396.3 billion yuan ($56.91 billion), reflecting a 29.7% growth over the previous year.

Southern Power Grid Electric Power Technology Co., Ltd. is 43.06% held by Guangdong Power Grid Ltd., which is a wholly-owned subsidiary of the state-owned CSG, according to the corporate information inquiry platform Tianyancha. Publicly listed in Dec. 2021, it is dedicated to applying clean energy and new-generation information technologies.