Electricity shortages are likely to continue to stall the economic
development of nearly half of China's provinces in the near future.
The insufficient supply of power will continue in 2004 and it is
estimated that China will be short of 15 million kilowatts of
generating capacity next year, according to a recent report by the
National Power Network Company.
Officials with the National Development and Reform Commission
(NDRC) told China Daily that regional shortages since last year
mainly resulted from inefficient construction of electrical
generators during previous years along with a rapid increase in
power demands.
"The judgment inside the industry and the power policy of the
government have mainly contributed to the current situation," said
Gao Shixian, branch director with the Energy Research Institute
affiliated to the NDRC.
During 1996 and 1997, the supply of electricity had greatly
exceeded demand in most parts of China, leading the government to
cancel plans to construct more power plants, said Gao.
"The popular judgment in the sector during that time was that no
more generators were needed," said Gao.
But the country's electricity demand has picked up since last year
partly because the electricity transmission network in most rural
areas of China has been improved and prices have gone down.
Meanwhile, an investment peak in industrial production in many
regions of China since 2001 has also boosted power demands.
More and more city-dwellers have also chosen to outfit households
with air conditioners and other electrical appliances, which Gao
says has worsened shortages.
Power shortfalls have occurred in 16 provinces and municipalities,
while 14 provinces and municipalities suffered from the strain in
2002, the company report explained.
The demand for electricity is expected to rise by 9 to 10 per cent
this year with power shortages emerging in China's economically
booming southern and eastern areas. A supply gap of 10 million
kilowatts of generating capacity is expected this summer, the
association's report said.
An
official surnamed Song with the Energy Bureau of the commission
said the government is making efforts to meet the power demands for
China's economic development and social needs.
The Chinese Government recently approved the construction of 13
large-scale power plants, with a total investment of 51.2 billion
yuan (US$6.2 billion). The plants, for which construction will
begin by 2005, will have a total electricity-generating capacity of
11.88 million kilowatts.
(China Daily June 19, 2003)