China faces power crisis, order industries to shut down and some to operate 2 to 4 days a week. Here’s why.
Reports that China has been battling with electricity supply for sometime now, leading to power cuts becoming a dairy routine problem.
Talking of China’s three provinces; Jiangsu, Guangdong and Zhejiang. These three provinces reportedly account for about 1/3 of China’s economy are facing power cuts. Guandong province has asked residents to cut down usage of air-conditioners. Authorities have asked that, they rely heavily on natural light instead of using home lighting appliances.
In Jiangsu province for instance, steel mills and streetlights have been shut down. About 160 industrial units were also shut down in Zhejiang. The biggest Asian nation has to shut down almost everything from aluminium smelters to textiles.
Reports that power restrictions are likely to continue until somewhere March 2022. Office workers will now use stairs for the first three floors. Shopping malls will also limit their advertising minutes.
Asking why China is failing to produce enough power? Well let’s look at this.
China is reportedly the biggest coal consumer worldwide with approximately 70% coal consumption. The country is taking these steps to reduce pollution and to be able to meet carbon neutrality by 2060. Reports that China’s coal production soar by 6% this year but power output also surged 14%, leading to coal short fall. Power plants are also not willing to produce more as coal prices ae rising and electricity prices are controlled by the communist government. Financial firms have also stopped funding coal miners as China plan to reduce usage of coal.
China plan to focus on renewable energy. It plan to derive its power from renewable energy to at least 20% by 2025. It is currently at 15%%.
As of now, power cuts hit millions of homes on China, some even unannounced.
Source: Kirtan A Shah on twitter