Another View of China's Electricity Crisis

Table of Contents

1. Causes of China's electricity shortage

2. China's electricity shortage is a bigger problem

 

 

 

 

1. Causes of China's electricity shortage

 

It is said that China's power shortage is not due to the fight with Australia.

As the domestic and foreign media say Australia's hard-line policy toward China is the result of a power shortage caused by economic growth, 2) reduced coal production for policy reasons, and 3) Australian coal imports are insignificant compared to China's.
​
Let's look at the figures first. According to China's General Administration of Customs, China's coal production last year was about 3.8 billion tons and imports were 300 million tons. Of these, about half of the Australian products in question are from Australia. Australian products account for 3-4 percent of the total. Let's see if it's a factor of power shortage because it's such a small scale.
​
It is true that China's export volume is rapidly increasing and (1) there were some restrictions on coal production. A few days ago, Chinese authorities ordered coal producers to increase their output as much as possible. Analysts also seem to think it is possible for China to replace all Australian coal with increased production in the long run. Imports from Colombia, Indonesia and South Africa are also increasing.
​
The problem is that China's power shortage is short-term short-term. The reason why raw material producers import is because of immediacy. If there is a sudden supply and demand problem for some reason, you have to buy it somewhere. Meat restaurants that make kimchi themselves are just like running to the mart to buy kimchi if it runs out. Kimchi fell on the customer's table right now, can I start to pickle the cabbage?

 

2. China's electricity shortage is a bigger problem

 

The bigger problem is that winter has not even begun.

If this winter is warm, there will be no major problems, but if it is cold, the demand for power generation will surge. More than half of China's power generation is thermal power, and China has a low heating electrification rate. Other countries will try to increase coal imports, but the cold is the same in other countries. If we increase the production now, will hundreds of millions of tons fall in winter?
​
It is an accident that happened now that the factory is running due to lack of electricity. However, it is the same answer that "there is a lot of coal on Chinese land, so you can make more." If it were not for conflicts with Australia, it would be a problem to solve by increasing imports. Therefore, it is true that it is the result of conflict with Australia.
​
This problem has come from the beginning of the year when Australia and China were all on. I'll manage to hold out for now, but I'm expecting it to be hard without Australian products at the end of the year. Nevertheless, as mentioned above, the failure to limit production to some politically interpreted "policy reasons" and meet the soaring demand for electricity resulted in the current results.
​
Foreign media, including Chinese articles in Korea, are clearly biased against China. However, it is also tiring to say, "I will fight with optimism" because there is a bias. There's not enough coal, but there's no place to buy it right away, so the factory is going to start Either way, we should avoid seeing China as an exceptional country that does not exist in the world.

 

2024.03.03 - [분류 전체보기] - 그리스, 누구를 위한 유로존 탈퇴인가 Greece, an exit from the eurozone for whom?

그리스, 누구를 위한 유로존 탈퇴인가 Greece, an exit from the eurozone for whom?