Beijing, New York Times. A Chinese bread company is not getting the electricity it needs for its bakeries. A specialty chemical supplier to some of the world’s largest paint producers has announced a production cut. Similarly, a port city has changed the rules of power cut four times in a single day in an exercise to provide adequate power to the factories of the city. These scenes are now very common in every city in China that is going through a severe power crisis.
China’s power shortage has badly affected factories and industries. In view of the power crisis, the Chinese government has approved coal mining and use. China, which is going through a crisis, has had to compromise on its resolve to stop carbon emissions.
Mines that were closed without permission in China have been ordered to reopen. Coal mines that were closed for repair and coal-fired power plants are also being reopened. A draft tax incentive for coal-fired power plants is being drafted. Regulators have ordered Chinese banks to provide substantial credit to the coal sector. Local governments have been warned to be more cautious about energy use limits that were imposed partly in response to climate change concerns.
“We will do everything possible to increase coal production and supply,” Zhao Chenxin, general secretary of China’s top economic planning agency, the National Development and Reform Commission, told a press briefing in Beijing on Wednesday. The power shortage has exposed China’s strategic weaknesses. The energy hunger of this country is very high. The world’s second largest economy is heavily dependent on the steel, cement and chemical industries that consume electricity.
The winter season could make China’s power crisis worse. With the increase in power consumption, there will be a need for more digging and burning of coal. Chen Long, co-founder and partner of Beijing economics and politics research firm Plenum, said homes would have to make sacrifices to ensure heat and electricity. They will have to cut supplies to industries.