Page 194 - 2023 White Paper on the Business Environment in China
P. 194
3 White Paper on the Business Environment in China
2.7 Electricity Generation
Key Take-Aways clean and efficient use of coal and strengthen the
construction of storage facilities, accelerating the
• China is without a doubt the most important clean and low-carbon transformation of power
player in the solar manufacturing supply chain. systems. As part of the country's efforts to pursue
carbon peaking and carbon neutrality goals,
• China will accelerate the expansion of the renewable energy has a key role to play. China's
installed capacity and maintain the approved start- installed capacity of renewable energy logged
up rhythm of 6-8 nuclear power units per year rapid growth in the first quarter of 2022. In the
between 2022 and 2025. January-March period, the capacity of wind power
jumped 17.4 percent year-on-year to 340 million
Background kilowatts, while solar farms saw capacity reach
320 million kilowatts, with an increase of 22.9
Facing the pressure of increasing uncertainties percent. As hydrogen has become an important
in the global energy market caused by geopolitical strategic choice for major developed economies
conflicts, China has pledged maximum efforts to seeking to accelerate their energy transformation
safeguard its energy supply. Despite the external and upgrading, China is also blueprinting the
pressure, China still possesses the capability to future for hydrogen. Meanwhile, nuclear power
guarantee a secure, reliable and stable supply of will also be developed in a well-paced manner
energy. For the first quarter of 2022, the country's on the premise of ensuring absolute security and
raw coal output rose 10.3 percent year-on-year exercising strict oversight. China has recently
to 1.08 billion tons, while crude oil output saw approved new generating units at three nuclear
steady expansion of 4.4 percent and power power stations (Xinhua, China Capable).
generation rose 3.1 percent from 2021 to reach
1.99 trillion kilowatt-hours. As energy serves as Electrical Crisis
the fundamental underpinning of economic and
social development, an earlier 2022 State Council The power shortage in Chongqing and
executive meeting called for further enhancing neighboring Sichuan province began to ease in
the energy supply and optimizing the energy mix. August as electricity was sent from other parts of the
For now, coal still serves as the major energy pillar country to help meet extra demand caused by the
in China, and will still guarantee the country's continuing heat wave. According to the State Grid
energy and power security for some time as the Chongqing Electric Power Co, Chongqing received
country has sufficient coal resources. In 2021, coal energy from six regional and 15 provincial grids.
produced 60 percent of the country's electricity For the first time, power from the Inner Mongolia
with an installed capacity of less than 50 percent. autonomous region and Liaoning province was
To ensure this year's coal supply, the country will diverted to the southwestern municipality. It was
strive to increase coal production capacity by also the first time that two state electric utility
300 million tons by approving higher production companies—the State Grid and China Southern
capacity, expanding output and putting new Power Grid—combined their systems to send
projects into operation. A total of 100 billion electricity from southern provinces to Chongqing.
RMB (US$15.11 billion) of loans will be issued by Extreme heat had intensified over the early summer
China's central bank to support coal development months. Chongqing's Beibei district experienced a
and energy storage. China will also promote the daily high temperature of 45 °C, a record for China
194
2.7 Electricity Generation
Key Take-Aways clean and efficient use of coal and strengthen the
construction of storage facilities, accelerating the
• China is without a doubt the most important clean and low-carbon transformation of power
player in the solar manufacturing supply chain. systems. As part of the country's efforts to pursue
carbon peaking and carbon neutrality goals,
• China will accelerate the expansion of the renewable energy has a key role to play. China's
installed capacity and maintain the approved start- installed capacity of renewable energy logged
up rhythm of 6-8 nuclear power units per year rapid growth in the first quarter of 2022. In the
between 2022 and 2025. January-March period, the capacity of wind power
jumped 17.4 percent year-on-year to 340 million
Background kilowatts, while solar farms saw capacity reach
320 million kilowatts, with an increase of 22.9
Facing the pressure of increasing uncertainties percent. As hydrogen has become an important
in the global energy market caused by geopolitical strategic choice for major developed economies
conflicts, China has pledged maximum efforts to seeking to accelerate their energy transformation
safeguard its energy supply. Despite the external and upgrading, China is also blueprinting the
pressure, China still possesses the capability to future for hydrogen. Meanwhile, nuclear power
guarantee a secure, reliable and stable supply of will also be developed in a well-paced manner
energy. For the first quarter of 2022, the country's on the premise of ensuring absolute security and
raw coal output rose 10.3 percent year-on-year exercising strict oversight. China has recently
to 1.08 billion tons, while crude oil output saw approved new generating units at three nuclear
steady expansion of 4.4 percent and power power stations (Xinhua, China Capable).
generation rose 3.1 percent from 2021 to reach
1.99 trillion kilowatt-hours. As energy serves as Electrical Crisis
the fundamental underpinning of economic and
social development, an earlier 2022 State Council The power shortage in Chongqing and
executive meeting called for further enhancing neighboring Sichuan province began to ease in
the energy supply and optimizing the energy mix. August as electricity was sent from other parts of the
For now, coal still serves as the major energy pillar country to help meet extra demand caused by the
in China, and will still guarantee the country's continuing heat wave. According to the State Grid
energy and power security for some time as the Chongqing Electric Power Co, Chongqing received
country has sufficient coal resources. In 2021, coal energy from six regional and 15 provincial grids.
produced 60 percent of the country's electricity For the first time, power from the Inner Mongolia
with an installed capacity of less than 50 percent. autonomous region and Liaoning province was
To ensure this year's coal supply, the country will diverted to the southwestern municipality. It was
strive to increase coal production capacity by also the first time that two state electric utility
300 million tons by approving higher production companies—the State Grid and China Southern
capacity, expanding output and putting new Power Grid—combined their systems to send
projects into operation. A total of 100 billion electricity from southern provinces to Chongqing.
RMB (US$15.11 billion) of loans will be issued by Extreme heat had intensified over the early summer
China's central bank to support coal development months. Chongqing's Beibei district experienced a
and energy storage. China will also promote the daily high temperature of 45 °C, a record for China
194
