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Where is Peak Coal in China?

Where is Peak Coal in China?

Where is Peak Coal in China?

With supply remaining abundant and demand staying weak, the debate continues on when Peak Coal will occur in China. However, as Wood Mackenzie notes in today’s infographic, it is perhaps more a question of “where” rather than “when”.

China’s a big and diverse place. The country not only has world’s largest population, but it is second biggest in land mass as well. It’s really a question of the provinces in China, and their respective trends in growth and electricity generation.

Coastal demand for coal is already peaking in China, and this is partially because it is those areas along the coast that were first opened up to free market activity via China’s Special Economic Zones (SEZs). They have already had their boom and that growth is now tapering. In the Chinese mainland however, many provinces are recording growth rates of upwards of 7% as China implements its Go West policy.

Lastly, the infographic points out the energy mix in 2030 in both coastal and inland China. On the coast, energy from nuclear and natural gas are almost equally important as coal for future energy needs. However, inland it is all coal, where over 3,000 TWh of coal capacity will be created between 2015 and 2030. This is more than all solar, biomass, nuclear, gas, wind, and hydro combined!

The country is also building an Energy Superhighway that will transmit 825TWh of coal-fired power eastwards towards the coast by 2030.

Original graphic from: Wood Mackenzie

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