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SCIO briefing on promoting high-quality development: National Energy Administration

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Red Star News:

As the meteorology agency predicts, most parts of China will experience higher temperatures this summer than previous years. It will likely be a challenge to ensure power supply and meet peak demands on hot summer days. What is your plan for ensuring a stable power supply during extreme weather? How will you satisfy residential electricity demands? Thank you.

Zhang Jianhua:

Mr. Du, please answer these questions.

Du Zhongming:

Thank you for the questions. As you have seen, many parts of China have recently endured higher temperatures. Since the beginning of this year, electricity consumption has continued its rapid growth momentum. From January to May, total electricity consumption reached 3.84 trillion kilowatt-hours, up 8.6% year on year. This summer, the electricity load of the whole country will increase rapidly, and the maximum load is expected to rise by more than 100 million kilowatts year on year. After comprehensive analysis, we project that during the peak summer season, the overall power supply in the country can be ensured. However, certain areas may face tight supply during peak hours. Extreme weather events or natural disasters could further exacerbate this situation.

The NEA aims to ensure a flexible and reliable power supply under normal conditions, with measures to address short-term local shortages and contingency plans for extreme situations. We will work to ensure that all those involved fully shoulder their share of responsibilities and strive to maintain a safe and stable power supply during peak summer periods. We will take the following measures:

First, we will strengthen monitoring and early warning. We have released the forecast for electricity supply and demand during the 2024 peak summer season. Additionally, we will introduce province-specific policies, guiding key provinces and related enterprises to prepare in advance. Currently, we monitor daily electricity consumption, coal supply, and power generation capacity nationwide and in key regions, promptly addressing any issues that arise. This approach proved effective last year. In May 2023, through full efforts in organization and coordination, Yunnan's coal power plants under central dispatch operated at full capacity, achieving the highest monthly electricity generation in a decade. This strategy effectively offset the drought-induced hydropower shortages, securing a stable power supply in the lead-up to the flood season.

Second, we will fully utilize the power system's capacity during peak demand periods. We will guide power grid companies in optimizing their dispatch and operation schedules, ensuring smooth transmission from power plants to users. By leveraging regional differences in peak electricity hours, we can balance supply and demand across areas and provinces, enabling regions with surplus power to support those experiencing shortages. Additionally, we will optimize the coal power capacity pricing assessment mechanism to fully incentivize coal power plants to increase electricity generation as needed, ensuring they operate at maximum capacity and stability to meet peak demand requirements.

Third, we will accelerate the development of supporting power sources. We are pushing for supporting power projects, such as the second phase of the Banji Power Plant in Anhui and the fifth phase of the Dalad Power Plant in the Inner Mongolia autonomous region, to be completed and put into operation on schedule. 

Finally, we will guide local governments in refining their work plans. We will enhance and precisely implement load management measures to avoid power cuts, ensuring that everyone's basic daily electricity needs are consistently met. Thank you.

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