Abstract: To promote the orderly development and full utilization of hydro and wind power under the market competition circumstances, this paper presents an analysis study conducted on the complementary operation characteristic of hydro and wind power in Yunnan electricity market. First, the features of hydro and wind power resources in Yunnan are described. Then, according to the power source structure and supply and demand situation in Yunnan electricity market, hydro and wind power output characteristic, wind power generation cluster effect, complementary operation characteristic of hydro and wind power as well as the problems of renewable energies integration and development planning are further studied. The result of the analysis study not only demonstrates that hydro and wind power have considerable complementarities annually and monthly and joint operation could smooth the wind power output for the power grid to promote the renewable energies integration, but offers consults for electricity industry restructuring and market reform, power grid planning and operation, and the coordinated development of power producers and grids as well.