China to face electricity shortages?
Acknowledging projections that China's economy -- the world's second biggest -- is headed for a slowdown in 2012, CEC said the country's power supply could still be affected by other factors besides energy-consuming economic growth, including strained coal supply and drought, which could threaten hydropower.CEC urged China's coal sector to increase coal production and imports and also to restrict exports of the raw commodity.
CEC projects coal usage by China's power plants to reach 150 million tons in 2012, requiring an extra 300 million tons of new coal supplies.
Aside from pressures on China's energy supplies from economic development, the country's now-regular power shortages are also caused by struggle between the coal and electric power industries over the price of coal supplied to power stations, says Tim Wright, author of "The Political Economy of the Chinese Coal Industry: Black Gold and Blood Stained Coal."
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