By Paul Homewood
China continues to burn more and more coal, according to dw.com:
China burned more coal at power plants between January and July of 2025 than at any time since 2016, despite massive renewable capacity, according to new environmental research report.
The report, published by the Center for Research on Energy and Clean Air (CREA), a Finland-based independent air-quality research organization; and Global Energy Monitor (GEM), a US-based energy analytics company, says China put 21 gigawatts (GW) of coal power online in the first six months of 2025.
That is the highest six-month level in nine years. The CREA/GEM report also cites new construction and re-firing of existing coal plants totaling 46 GW and proposed projects with the capacity to produce a further 75 GW.
Total projected coal plant output is forecast to hit between 80-100 GW in 2025.
Full story here.
According to CREA, new coal plants are still being constructed, with expectations of 80 GW of new capacity commissioned this year. This follows an explosion of new permits a few years ago.
https://energyandcleanair.org/publication/chinas-coal-is-losing-ground-but-not-letting-go/
The report does highlight the surge in solar power capacity, but it still fails to make a dent in the overall mix, as total demand continues to rise:
The Energy Institute Review
Carbon Brief explain this surge in solar power:
Some 93GW of new solar capacity was added to China’s grid in May alone, as the rush to install before a change in pricing policy culminated. This rate of installations translates to approximately 100 solar panels installed every second of the month.
The acceleration was due to a change in the policy on tariffs paid to new wind and solar generators, which started in June. Previously, new plants were guaranteed to receive the benchmark price for coal-fired power output in each province, for each unit of electricity they generate. Under the new policy, new generators have to secure contracts directly with electricity buyers, causing uncertainty and likely putting downward pressure on revenue.
The consensus among forecasters has been one of a sharp slowdown in installations.
Electricity buyers will of course opt for reliable, dispatchable power any day of the week if it is at the same price. For solar farms to compete, they will have to offer much lower prices to compensate for their intermittency.
Nothing in this report offers any evidence that China can run its grid with high amounts of wind and solar power. Regardless of what edicts might come down from Xi, it is the local and regional bureaucrats who will call the shots. After all, it is their heads that will be on the chopping block if there are blackouts or power shortages.
This is one of the incongruities of modern China. Although the Central Government wields considerable power, China is so big and so bureaucratic that there is considerable autonomy not only within regional government, but also different Departments of State.
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Author: Paul Homewood
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