Insight
China gas and power month in brief: energy reforms gather momentum
Report summary
Change was in the air in May with several key energy reform initiatives being introduced. China is removing cross-subsidisation in gas prices by raising residential rates to be on par with non-residential prices. It is also looking to rationalise development of gas storage facilities to improve peak-shaving capabilities. As an integrated part of the drive to improve environmental quality, coal-fired power buildout will be kept under closer scrutiny. And to support sustainable growth of renewables, the government is switching wind power pricing from a feed-in tariff system to auctions. These initiatives will pave the way for a future of cleaner energy, though some of them could create uncertainties in the short term.
Table of contents
- Executive summary
-
Markets
- NOCs manage summer demand to prevent gas shortages
- Power demand growth regains momentum
-
Policy
- NDRC merges residential and non-residential city-gate gas prices
- and calls for orderly development of gas storage facilities
- Wind power pricing transitions to auctions
- Coal-fired power buildout kept under close scrutiny
-
Corporate activity
- NOCs opt for short-term deals and destination flexibility
-
Smog watch
- May AQI remains disappointing
Tables and charts
This report includes 4 images and tables including:
- Monthly gas demand, bcm
- Monthly LNG imports, Mt
- Monthly power demand, Twh
- Beijing AQI
What's included
This report contains:
Other reports you may be interested in
Insight
China gas and power month in brief: September 2016
LNG imports in August were up around 60% year-on-year, while pipe imports fell by 50%. Power demand continues to outperform expectations.
$950
Insight
China gas and power month in brief: August 2016
While headline growth of gas demand was 2.3%, the real story was the dramatic drop in LNG imports and the strength of pipeline gas imports.
$950
Insight
China gas and power month in brief: July 2016
Summer in China is all about the heat and the rain. For gas and power markets this normally translates into weaker gas demand.
$950