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China's heavy industry continues to increase power consumption

Monday, 13 August 2007


BEIJING, Aug 12 (Xinhua): China's high energy- consuming sectors such as iron and steel, nonferrous metals, chemicals and construction materials continued to lead the growth in power consumption in the first half of this year, according to a report by the China Electricity Council.
Secondary industry was responsible for up to 83.83 per cent of the growth in China's total power consumption, with heavy industry increasing its power consumption by 18.84 per cent in the first half from a year earlier, making it more difficult for the country to realise its energy conservation goal.
The power consumption nationwide reached 1.5 trillion kilowatt hours in the first half, up 15.56 per cent year on year. The growth, 2.67 per centage points higher than the same period last year, was largely attributed to the power consumption of secondary industry, which was 3.9 per centage points higher than the year-earlier level though 0.31 per centage points lower than the figure for the first five months.
A breakdown analysis shows heavy industry played a decisive role in the rapid growth of power consumption, as the growth rate of power consumption for heavy industry was 4.64 per centage points higher than a year earlier, compared with 0.70 per centage points for light industry. In the first half the power consumption of heavy industry was up 0.74 per centage points compared with the first three months while light industry saw a decrease of 1.1 per centage points.
China is trying to control high energy-consuming and highly polluting sectors with a series of industrial policies as well as restricted credit support in order to meet its goals of improving energy efficiency and cutting pollutant discharges.
Under a five-year plan from 2006 to 2010, China decided to cut energy consumption per unit of gross domestic product (GDP) by 20 per cent, or four per cent each year, but actual consumption fell by just 1.23 per cent last year.