2016 Interim Results Announcement Aug 2016 (0956.HK) Disclaimer

This presentation contains statements that reflect the current beliefs, intent or expectation of the Company or its officers about the future as of the respective dates indicated therein. These forward-looking statements can be recognized by the use of words such as “expects”, “plan”, “will”, “estimates”, “projects”, “intends” or other words of similar meaning. These forward-looking statements are based on a number of assumptions about the Group’s operations and other factors, many of which are beyond the Company’s control and are subject to significant risks and uncertainties, and accordingly, actual results may differ materially from these forward-looking statements. These forward looking statements are not a guarantee of the Group’s future performance. Accordingly, you should not place undue reliance on any forward-looking information. The Company assumes no obligation and does not undertake to revise forward- looking statements to reflect future events or circumstances.

These materials are for information purposes only and do not constitute an offer to sell or issue or the solicitation of an offer to purchase or subscribe for any securities of the Company or any holding company or any of its subsidiaries in any jurisdiction or an inducement to enter into any investment

2 Agenda

1. 2016 Interim Results Overview

2. Business Review

3. Financial Highlights

4. Outlook

3 1. 2016 Interim Results Overview

4 2016 Interim Results Overview

Results highlight: •Profit attributable to shareholders increased by 27.4% yoy to RMB353mil •Wind & solar power segment NPAT increased by54.8% to RMB361mil •Wind power business added 384.3MW consolidated installed capacity in 1H16

 Consolidated installed capacity of the wind farms was 2,477.9MW as at end of June 2016. Projects under construction has a total capacity of 853.8MW  1H16 Consolidated Gross Power Generation increased by 23.8% to 23.19 GWh; Utilization hours in 1H16 increased by 149 hours to 1,276, higher than national average by 359 hours; curtailment rate dropped by 1.8 Wind Power ppts to 7.9%  Added 118MW of newly approved capacity in 1H16, accumulated approved capacity reach 1,573MW; added 400 MW reserve resources, accumulated reserve resources reach 22,372.5MW, which are distributed among 20 provinces in  In Apri 2016, the Group obtained wind power projects with 649MW total capacity from Jiangjiakou Gigawatt Wind Power Base Phase 3 Program

 2 projects in Lulong and Chauyang County are under construction, with total capacity of 30MW. Both projects has Other Renewable already connected to the grid Energy  Added 400MW of new solar PV power resources in Heilongjiang, Liaoning, , Jiangxi, Shanxi and Shandong; accumulated solar PV power resources reaches 4,299MW

 The Group added 151.9 km of natural gas pipelines 1H16; as at the end of June 2016, total length of natural gas pipelines in operation reached 1,993.7 km Natural Gas  Gas Sales Volume in 1H16 was 0.54 bcm, decreased by 11.8% yoy  Pipework for Ten Counties in Middle Hebei Province (Phase 2) has finished construction of 73.13 km  The pipeline welding of Shanxi Licheng-Hebei Shahe Coalbed Mathane (CBM) Pipeline Project accumulated to 124 km

5 2. Business Review

6 Wind Power Segment Review

Power generation growth driven by recovery of wind speed and lower wind curtailment rate

Consolidated Wind Power Installed Capacity Consolidated Wind Power Generation(1) +781.1MW （MW）（GWh） +445GWh +46.0% 2,477.9 2,500.0 2,400.0 +23.7% 2,319 2,200.0 2,000.0 2,000.0 1,874 1,800.0 1,696.8 1,600.0 1,500.0 1,400.0 1,200.0

1,000.0 1,000.0 800.0 600.0 500.0 400.0 200.0 0.0 0.0 1H15 1H16 1H15 1H16

Notes 1.Including power generation during trail run period 7 Wind Power Segment Review (cont‘d)

Average Utilization Hours increased, availability factor rebounded Average On-grid Tariff Availability Factor(1) Average Utilization Hours (Tax Inclusive) % （hours） （RMB/kwh） +149 hours -2.6 ppt 1,300 1,276 0.600 +0.004 RMB/kwh 98.0 97.3 0.551 0.551 1,200 1,127 96.0 1,100 94.7 0.500 1,000 94.0 900 0.400 92.0 800

90.0 700 0.300 600 88.0 500 0.200 86.0 400

84.0 300 200 0.100 82.0 100 80.0 0 0.000 1H15 1H16 1H15 1H16 1H15 1H16 Notes 1. The amount of time that a power plant is able to produce electricity over a certain period divided by the amount of time in such period 8 Wind Power projects in Hebei

Wind Power Development in Hebei Distribution of consolidated and associate installed wind power capacity in Hebei  Increased 273.5 MW of consolidated installed capacity in Hebei in 1H16; as of end-2015, total Weichang Consolidated: 425.0MW Associate: 247.5MW consolidated installed capacity was 2,142.1 MW, or Kangbao 79.5MW Fengning 171.9MW 86.4% of the Group’s total Guyuan 466.6MW Zhangbei99MW Region  No associate wind power capacity added in the Chongli 248.4MW year. As of end-2015, total associate wind power Region capacity was 247.5MW Yu 455.2MW County Laiyuan 99MW Changli 49.5MW

Baoding Region Haixing 49.5MW

9 Wind Power Projects in Other Provinces

Wind Power Development Outside Hebei Consolidated Wind Power Installed Capacity Outside Hebei

In 1H16:

 Added 23.5 MW of consolidated installed capacity Xinjiang: 100MW in Shanxi; As of end-June 2016, total consolidated installed capacity in Shanxi was 148.5MW Shanxi: 148.5MW  Added 59.3 MW of consolidated installed capacity in Yunnan; As of end-June 2016, total consolidated installed capacity in Yunnan was 59.3MW

 Added 28 MW of consolidated installed capacity in Shandong: Shandong; As of end-June 2016, total consolidated 28MW installed capacity in Shandong was 59.3 MW

 No new capacity added in Xinjiang; As of end-June 2016, total consolidated installed capacity in Xinjiang was 100 MW

 As of end-June 2016, consolidated wind power Yunnan: 59.3MW installed capacity in provinces other than Hebei reach 335.8 MW, which is 13.6% of total consolidated installed capacity

10 Project Approvals

Approved wind power capacity that has not yet started Wind power project approvals construction

 Acquired 118 MW newly approved wind power reserve capacity, in 1H16, which all belongs to zone 4 wind resources; total approved reserve Northern Grid：977 MW Southern Grid：138 MW capacity amounted to 1,573 MW

 In April 2016, the Group obtained approval for Hebei projects listed in Jiangjiakou Gigawatt Wind Power 48 MW Base (Phase 3) with total capacity of 649 MW. As Shandong at end-June 2016, the group obtained approval for Henan Jiangsu wind power projects with total capacity of 5,251.8 48 MW MW from National Approval Plans 72 MW Zhejiang  In 1H16, the Group added 400 MW of wind power Hunan Jiangxi 46 MW resources; total wind power resources reach Guangxi 22,372.5 MW, which is distributed in 20 provinces 100 MW

44 MW

100 MW Approved Wind Farm Capacity that has not yet started construction (Total: 1,573 MW)

11 Natural Gas Segment Overview

Gas Sales Volume Wholesale （mil m3） （mil m3） -34 mil m3 -8.0% 425 392 700 -396 mil m3 400 -11.8% 200 612 0 600 5.8% 540 1H15 1H16 6.9% Retail 500 24.7% （mil m3） -40 mil m3 20.5% 200 151 -26.6% 400 111 100

300 0 1H15 1H16 CNG/LNG 200 69.6% 72.5% （mil m3） +2 mil m3 +5.7% 40 35 37 100 20

0 0 1H15 1H16 1H15 1H16 Wholesale Retail CNG/LNG 12 Natural Gas Segment Overview (Con’t)

Locations of Natural Gas Pipelines Construction of Natural Gas Pipeline Projects Ximeng Datang Keqi  Finished construction of 151.9km of new Chifeng pipeline; as at end-June 2016, accumulated operating pipelines reach 1,993.7km

Luanping  Pipework for Ten Countries in Middle Hebei Chengde Province (Phase 1) has finished Miyun construction, and has commenced Lulong Beijing Changli operation expect 1 station in Xiaoning

Laiyuan Tianjin Laoting Shaanxi-Beijing  Pipework for Ten Countries in Middle Hebei Development Zone XinXian Gas Pipeline No. 1 Baoding Jinzhou Province (Phase 2) has finished construction Shenzhou Anping Pipework for ten Shaanxi-Beijing of 73.13km Gas Pipeline No. 2 Gaocheng countries in middle Luquan Shijiazhuang Economy Development Zone Southern Shijiazhuang Hebei Province Gaoyi Shanqian Industrial Zone Hebei Province  Shanxi Licheng-Hebei Shahe CBM Pipeline Xinhe Zhuozhou- Ningjin has finished construction of 124km in total Dacaozhuang long-distance Management Qinghe Gaoyi-Qinghe transmission pipeline ShaheZone Linxi long-distance transmission pipeline

Licheng Feixiang Handan Shanxi Licheng- Development Long-Distance Transmission Pipeline Hebei Shahe Zone CBM Pipeline City Gas Project

13 Natural Gas Segment Overview (Con’t)

Upstream Gas Supply Downstream Business

 The Group intended to build a joint venture company  Non-residential users increased by 120 (including 69 small together with a third party for construction of natural gas business users) to a total of 1,740 users (including 1,162 resource pipelines which connect Shanxi, Hebei and Tianjin. small business users). Residential users increased by 26,680 Currently, the name of the joint venture company has been to a total of 143,092 users pre-approved and the preliminary work  Successfully bid the Fengning Manzu Autonomous County Gas PPP project

CNG/LNG Stations

 As at end-June, CNG/LNG stations business details are as follow:

Under  No. of stations Operating Approved In particular, CNG primary station of Qinghe Natural Gas Construction Utilization Project (Phase I), Luanping standard gas station, CNG Primary Stations 5 3 0 CNG primary station in Ningjin, Huangliangmeng Langtuo CNG Refueling LNG-CNG gas station project, Gaoyi County East Industrial 7 4 2 Stations Zone natural gas utilization project, Neiqiu LNG gas station and Huabo CNG secondary refilling station were completed LNG Refueling 1 5 2 Stations  Main construction structure of Anping compression L-CNG Refueling 0 3 0 primary station was completed Stations

14 3. Financial Highlights

15 Group Financial Highlights

Revenue Gross Profit （Mil RMB） （Mil RMB） (Margin%)

3,000 1,000 50 2,389 772 2,100 727 2,000 33.7% 30.4% 36.7% 47.3% 500 25 488 639 1,000 66.3% 52.7% 240 0 0 135 0 1H15 1H16 1H15 1H16 Wind & Solar Natural Gas Wind & Solar Power Natural Gas Gross Profit Margin Power Operating Profit(2) EBITDA (1) (2) （Mil RMB） (Margin% ) （Mil RMB） (Margin% ) 1,087 1,200 976 60 800 646 721 40 45.5% 27.0% 30.2% 800 40.9% 400 20 743 30 456 618 939 400

202 94 243 0 0 0 135 0 1H15 1H16 1H15 1H16 Wind & Solar Natural Gas Operating Profit Margin Wind & Solar Power Natural Gas EBITDA Margin Power Notes 1. Including other revenue such as CER revenue, VAT refund, and bank interest income, excluding share of profit from associates 2. Sum of two segments is after inter-company elimination and excluding share of profits of associates 16

16 Wind & Solar Power Segment Financial Highlights

Revenue Gross Profit (Mil RMB) (Mil RMB) (Margin%)

1,000 994 750 638 80 488 804 500 60 250 60.6% 64.2%

500 0 40 1H15 1H16 1H15 1H16

Operating Profit EBITDA (1) (Mil RMB)(Margin%) (Mil RMB) (Margin%)

700 616 80 1,000 938 100 456 743 62.0% 350 56.7% 60 500 92.4% 94.4% 90

0 40 0 80 1H15 1H16 1H16 1H16

Note: 1. Including other revenue such as CER revenue, VAT refund, and bank interest income, excluding share of profit from associates 17

17 Analysis of Wind & Solar Power Segment Net Profit

(Mil RMB) 450

400 -34 -11 +4 -25 350 +5 +189 300

250

200 361 150 233 100

50

0 1H15 NPAT Increase in Increase in Decrease in Asso Decrease in Increase in Net increase in 1H16 NPAT Sales of Electricity DD&A Profit Contribution Finance Cost Income Tax Other Income & Expenses

18 Natural Gas Segment Financial Highlights

Revenue Gross Profit (Mil RMB) (Mil RMB) (Margin%)

400 30 2,000 1,585 1,107 240 1,000 200 135 15 15.1% 12.2% 0 0 0 1H15 1H16 1H15 1H16

Operating Profit EBITDA (1) (Mil RMB)(Margin%) (Mil RMB) (Margin%)

300 20 300 243 30 202 135 150 94 10 150 15 12.7% 15.3% 8.5% 12.2% 0 0 0 0 1H15 1H16 1H15 1H16

Note 1. Including other revenue, but excluding share of profit from associates 19

19 Analysis of Natural Gas Segment Net Profit

(Mil RMB) 500 400 300 200

100 -480 +373 139 +26 -18 -1 +2 -2 41 0 1H15 NPAT Decrease in Decrease in Decrease in Decreasein Decrease in Decrease in Profit Net Loss from 1H16 NPAT Revenue COGS DD&A Finance Cost Income Tax Contribution from Other Income & Asso LNG Expenses (100) Terminal (200) (300) (400) (500)

20 Capital Structure

Total Liabilities／Total Asset 1H16 Net Borrowing Breakdown (%) (Mil RMB)

70 66.7 17,500 14,000 2,316 61.4 10,500 12,702 7,000 13,748 3,500 3,362 0 50 Short-term Long-term Cash Net Debts 1H15 1H16 borrowings borrowings

Interest Coverage（EBITDA/Finance Cost） Net Debts/EBITDA (x) (x) 6 15 12.7 4.1 3.6 9.6 4 10

2 5

0 0 1H15 1H16 1H15 1H16

21

21 4. 2H16 Outlook

22 Prospects For The 2H16

Although the economics in China remain stable in 1H16, both domestic and foreign environment were still complicated and pressure from economic downturn was still high. Being affected by the constraints of such as resource and environmental policies, there are increasing potential risks in the economy. However, with implementation of structural reforms of China’s power industry, renewable energy industry still has high potentials.

The missions of the Group to be launched in 2H16 are as follows:

1. Paying close attention to the development of new technology of wind turbines, broadening the scope and depth of development of wind resource and emphasizing on development of low-wind-speed resource in Middle-East area; rapidly adjusting the development path of the gas market, seeking for low-cost gas resource from all sides, building multi gas resources as backup, exploring the market frequently and seeking for potential customers 2. Further improving the project construction system, optimizing project management and ensuring the construction of each project to be on schedule 3. Further improving the mode of financing and funding, optimizing the debt structure and taking a balance between long term and short term liabilities reasonably ; and optimizing capital management, enhancing utilization efficiency of capital, reducing capital precipitation and lowering capital cost 4. Improving internal managing mechanism of “science, high efficiency and smoothness” and innovating the mode of work; further enhancing the overall managing level of the Group through setting up a mobile information platform and strengthening the risk management and control system 5. Reinforcing the information management of production and operation maintenance, strengthening safe production, increasing the standard of operation maintenance and assuring safe production.

23 5. Q&A

24