Government is confident problem will be fixed by 2006...
Mr. Zhang Guobao, minister of China's State Development and Reform Commission, recently stated he is confidnt that China's power shortage will by solved by 2006.
Mr. Zhang said that China's electricity consumption has maintained a growth rate of over 15% for 17 consecutive months. Such a high rate of growth in electricity output is still unable to satisfy the requirements from the economic development. The key factor responsible for this power shortage is that the excessively fast development of some industries has broken the comprehensive equilibrium of the national economy and is beyond the country's resource supplying ability.
China's energy consumption for every 10,000-yuan GDP doubles the world's average level and is 10 times the average level of developed countries. Along with the development of the heavy and chemical industries China's energy consumption will continue to rise in the future.
In 2004, tight power supply will remain in some areas in China, especially in Zhejiang, Shanghai and Jiangsu. In 2005, this power shortage is expected to ease greatly and in 2006 China is expected to balance its supply and demand for power.