China's Lockdowns And Heavy Rains Ease Coal Shortage

By John Kemp, senior energy analyst at Reuters

China’s electricity generation experienced rare declines in April and May compared with the same months a year earlier as lockdowns imposed to stop the spread of the coronavirus curbed consumption.

But slower consumption growth coupled with heavy rains across southern provinces, which has boosted hydro generation to a record high, has accelerated replenishment of coal inventories after shortages in 2021.

As a result, the coal supply situation is likely to be much more comfortable heading into the winter of 2022/23 than it was ahead of winter 2021/22. Generation from all sources was down 3%-4% in April and May compared with the same months in 2021, data from the National Bureau of Statistics (NBS) showed.

Generation has

Keep reading this article on Zero Hedge - Blog.

Leave a Reply