China power crisis: Zhejiang scraps rationing as electricity crunch shows signs of easing

Zhejiang province ended electricity rationing on Monday, but warned cities to watch consumption and reduce energy use

The State Grid Corporation of China, the electric utility provider for most provinces, also says power shortages have eased

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China has been ramping up its coal production since October, which has helped ease the nation’s power crisis. Photo: AFP

Published: 8:30pm, 9 Nov 2021Updated: 10:25pm, 9 Nov 2021

China’s eastern Zhejiang province has called time on electricity rationing that has throttled the nation’s economy over the past two months, offering relief to factories and businesses struggling to operate.

The Zhejiang Energy Bureau announced rationing would end on Monday, but said cities in the province must continue to watch consumption and reduce energy use, while remaining vigilant about further power cuts in the future.

China has endured one of its worst power crises in decades since September, a result of thermal coal shortages and Beijing’s carbon emissions targets, which prompted local governments to impose sudden electricity cuts to meet the goals.

But there are signs power supply may be normalising. The State Grid Corporation of China (SGCC), the electric utility provider in 26 of 31 provincial-level jurisdictions, said at the weekend power shortages have eased and supply and demand in the network have reached equilibrium. The supply of thermal coal has also increased, it said.

The company said most provinces affected by the power cuts had returned to normal electricity use late last week.

However, the company warned there were challenges ahead in winter, when power usage will peak.

“With the compounded challenges of high power consumption, the demand for winter heating in the north and a shortage of water for hydropower production, the grid is faced with a tight overall balance and regional shortages this winter and next spring,” SGCC said in a statement.