China still covers two thirds of its energy needs with coal.
(Photo: dpa)
Beijing European companies in China are increasingly suffering from the energy shortage and the resulting shutdowns of operations in many regions of the country. The problems are likely to worsen with the upcoming heating season and last for a while, warned the chairman of the EU Chamber of Commerce in China, Jörg Wuttke, to journalists in Beijing on Wednesday.
“We’re in a marathon, not a sprint.” He believes that the rationing will remain in place until at least March. The background to the energy shortage is increasing demand and less production.
This is also the name given to the switch to clean energy sources, as China wants to reduce its carbon dioxide emissions in the fight against climate change. A lack of wind and overcast skies slowed the production of alternative energies, while the demand increased in the summer due to hot weather and strong industrial production.
China covers two thirds of its energy needs with coal. But imports were also reduced by 20 percent compared to the previous year and coal mines were closed for safety reasons. In some cases, coal prices tripled, which power plants can no longer pay for. So coal stocks were used up. The crisis is exacerbated by price controls and imbalances in the energy sector, which is controlled more by the state than by the market.
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EU companies complained about “chaotic conditions”. Often they are only informed at short notice, such as the evening before, or sometimes an hour before the start of the shift, that the electricity will be switched off. Companies would have to stand still several days a week. “It affects normal business,” said Klaus Zenkel from the EU Chamber in southern China. Customers are dissatisfied.
“There is no plan,” complained EU chamber representative Christoph Schrempp in Tianjin. The situation creates great uncertainty. The northeast as well as the economically strong provinces of Jiangsu in the east and Guangdong in the south are particularly hard hit.
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