China energy Crisis: Sichuan looks to coal as hydro dams run dry
China energy Crisis: Sichuan looks to coal as hydro dams run dry
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Beijing: Sichuan, a manufacturing hub in southwest China, has increased coal purchases from neighbouring provinces to strengthen its energy supply, but analysts say this will only have a limited impact on resolving a power crisis brought on by the drought.
Since August, coal exports to Sichuan and Chongqing have been expedited from western provinces such as Shaanxi, Gansu, and the Xinjiang Uygur autonomous region, according to China Energy Investment, a state-owned mining and energy company.
The company claimed that it had done its best to satisfy the two regional economic powerhouses' demand for coal by shipping 190,000 tonnes of the fossil fuel between August 1 and 17, an increase of 89.6% year over year.

Power restrictions have been put in place in Sichuan and several other southern manufacturing hubs to deal with the recent spike in demand, particularly for air conditioning amid a record summer heatwave. In order to conserve power, Shanghai, which has also been affected by the extreme weather, will dim the lights on its mile-long (1.6093km) Bund waterfront promenade on Monday.

However, because thermal power only makes up a small portion of Sichuan's energy mix, support for coal-fired power plants alone will be "insufficient" to address the issue, according to Lin Boqiang, dean of the China Institute for Studies in Energy Policy at Xiamen University.
Approximately 80% of the electricity in the province is produced by hydropower, while less than 20% is produced by thermal energy, according to data from the Sichuan Power Exchange Center.

Transporting coal into Sichuan can only ensure that coal-power equipment does not shut down, according to Yuan Jiahai, a professor at the School of Economics and Management at North China Electric Power University. Sichuan's coal power does not make up a significant portion of the total power generation in the province.
Water flows from the Yangtze River have been restricted due to record high temperatures and drought conditions in parts of southern China, with hydropower reservoirs dropping by as much as 50% this month.

The highest level of a four-tier warning system, Sichuan, which is situated on the upper Yangtze River, has issued a warning of "particularly severe" power shortages.
Restrictions may only be lifted on Thursday, when rain is predicted, according to a provincial government document obtained by the South China Morning Post, delaying plans to resume power supplies to industry at midnight on Sunday.

Yuan stated that since Sichuan has now begun the [highest warning], the power gap should be close to 15 million kilowatts.
The maximum [electrical] load for Sichuan should be 60 million kW; 15 million kW represents 25% of the load, which is very serious.
The challenge of subsequent power supply will only get more difficult if high temperatures and falling water levels in large reservoirs continue, which will result in further limitations on commercial and industrial power consumption.

On the other hand, Lin claimed that while Sichuan's residents' access to residential electricity could be generally guaranteed, some localised disruptions could still happen.
Power outages plagued Dazhou city, Sichuan province, last Wednesday, affecting its 5.4 million residents in their homes, workplaces, and retail establishments. Early last week, some of the lights in the city's shopping centres in Chengdu, the provincial capital, were momentarily turned off.

According to the provincial government, Sichuan is receiving excess electricity from northern China and the electricity grid is currently operating at its maximum transmission capacity.

Although the government is making every effort to meet demand, Lin and Yuan both agreed that precipitation was ultimately responsible for resolving the issue in Sichuan.
The majority of Sichuan's power supply comes from hydropower, so Lin claimed that the weather was still responsible for finding a permanent solution.

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