China's electrical energy generation is facing a crisis due to the rising cost of coal. Electrical energy's price is controlled as a means for keeping inflation in check, while the coal from which 80% of the electrical energy is generated, is not controlled. Severe electrical energy shortages are occurring because the power plant operators are not inclined to sell the electrical energy at a loss. These shortages are exacerbated by the shortage of coal caused by the severe winter weather reported in the previous blog posting. Chinese government officials in Beijing are concerned.
For additional information is available from Power Engineering International.
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Norman
I heard on a news report that power and water was being shut off for days at a time to ration the energy. I guess that would be equal to what we refer to as a "brown out".
I also heard some industries were being shut down due to the crisis being complicated by the harsh winter.
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