China’s electricity consumption continues to exceed its growth in gross domestic product (GDP), driven by a change to industries with high energy intensity and rapid transport of transport and digital infrastructure. The robust increase in electricity demand is gradually supported by clean energy. The country’s energy consumption should reach 13,757TWh in 2030, recording an annual growth rate made up of 6.3% in 2024-2030.
The real GDP of China (in US dollars, 2015 price) should go from $ 2,01 billion in 2024 to $ 2,31 billion in 2030, stimulating electricity demand. Despite a drop in the Chinese population of 1,412 million in 2020 to 1,410 million in 2024, electricity consumption has constantly shown growth of more than 6% in recent years, and the trend should continue rapid industrialization and the development of electric vehicle infrastructure (EV).
In recent years, Chinese electricity consumption has developed at a significant rate compared to that of other nations. The growth of production from hydroelectric and renewable energy sources has led to excessive production capacity in many coal power plants. Consequently, the Chinese government has imposed a moratorium on the construction of new coal facilities in the main economic regions of Hong Kong, Shanghai and Beijing.
While China is pivoting heavy industries to high -tech service and highlighting sustainable development, the demand for coal should still decrease. However, coal should remain the predominant source of electricity production throughout the forecast period.
In the short term, China is faced with the challenges of high energy costs and prices for raw materials. However, its partnership with Russia should have an opportunity to secure imports of oil, coal and gas thanks to advantageous agreements.
In 2024, the industrial sector occupied a dominant share in energy consumption, representing 67%. This was followed by the residential sector with 15.6% and the commercial sector with a share of 4.4%. The transport sector held a share of 2.3% while other segments contributed to a share of 10.7%.
Emerging industries, including electric vehicles, AI, data centers, semiconductors and 5G infrastructure, are experiencing rapid growth. These sectors are particularly dependent on electricity and should propel the demand for electricity in the country.
China presents three main areas of investment opportunity: gas production based on gas, renewable energy production and intelligent network infrastructure. Gas -based production prospects are about to increase, driven by the government’s initiative to reduce coal -based electricity production. The country has made significant progress in terms of renewable power, with wind and solar energy ready for continuous expansion.
