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China energy security
EconomyChina Economy

Scorching heatwave in China’s Yangtze Delta threatens power crunch, economy

  • Officials in eastern China must prioritise residential electricity use amid an ongoing heatwave, while also maintaining regional economic growth

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Pedestrians walk past a misting machine on The Bund, during an orange alert for heatwave in Shanghai. Photo: Reuters
Frank Chenin Shanghai

A scorching heatwave has left Zhejiang province and global financial hub Shanghai teetering on the brink of recurring power shortages that may crimp production and exports, at a time Beijing has put the onus on regional powerhouse regions to buttress China’s economic growth.

Analysts said rising power demand was proof that the local economies were booming, but persistent supply crunches laid bare planning and management inadequacies and the impact from new energy sources, with an urgent need for Beijing to expedite reforms to avoid stunting growth in rich regions.

Officials in the Yangtze River Delta, though, face a quandary over Beijing’s request to prioritise residential use during peak periods and the imperative to maintain high regional growth to supercharge the struggling national economy.
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As temperatures are set to hit 40 degrees Celsius (104 degrees Fahrenheit) next week, and as factories enter a peak production period to meet strong overseas demand, officials in Zhejiang have drafted contingency plans.

Cities have appealed to owners of electric vehicles to only charge cars late, since demand from air conditioning and manufacturing in the province of 66 million people would soar further.

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“Please charge your car after 11pm and only when the battery level drops below 20 per cent … Your efforts to help stagger electricity use is appreciated,” said a notice from several district governments in the port city of Ningbo.

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