China's Construction Boom Pushes Power Consumption Up 25%

Beijing China Hot Pot

Chinese electricity consumption soared 24.2% in Q1 to 969.5 billion kilowatt-hours according to China’s National Energy Administration (NEA).

China Daily:

Breaking the figures down, thermal, nuclear power and wind power generation increased 24.3 per cent, 7 per cent and 99.3 per cent, respectively, compared with the same period last year, while hydropower generation declined 5 per cent, the NEA said in a statement on its website.

China may increase its fuel consumption in the second quarter driven on the back of robust economic growth and increased domestic travel during the Shanghai World Expo, said NEA official Zhou Xi’an.

Note that China’s most energy consuming industries are steel, chemical, building materials, and metals. This rampant electricity consumption growth is being driven by China’s construction boom, and it will crash if China suddenly discovers an overcapacity of infrastructure.

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