China energy report

• Energy state-owned companies are supervised and managed by a central organisation, the SASAC.
• The government is opening the upstream hydrocarbon sector to foreign players and liberalising the wholesale and retail markets.
• It targets more than 20% of clean energy in the energy mix in 2030, including over 50% of the power mix.
• The electricity and hydrocarbon sectors are dominated by large state-owned organisations.
• Coal still represents 65% of the power mix.
• In January 2020, a market-based system was introduced for industrial electricity users.
• Gas prices in industry are similar to Japan and Korea, but much lower for households.
• The Covid-outbreak slowed down energy consumption growth in 2020, however the progression of gas consumption still shows double-digit growth.
• Coal dominates the energy mix (60% in 2020), but its share is decreasing rapidly (-10 points since 2010).
• In spite of announced cuts in subsidies, renewables are still attracting investors with large scale projects planned and boosted by the new target of the 14^th Plan (1,200 GW of wind and solar in 2030).
• Despite a cap on coal mine production, new projects continue to increase the coal capacity.

• Institutions & Energy Policy

  The National Energy Administration (NEA), coordinates the national energy policy, manages energy conservation, and provides guidance about the integrated use of natural resources. It is a department of the National Development and Reform Commission (NDRC) of the China State Council.

• Energy Companies

  Oil:

  The oil sector is dominated by four state-owned companies: CNPC (China National Petroleum Corp), Sinopec (China Petroleum and Chemical Corporation), CNOOC (China National Offshore Oil Corporation) and Sinochem (China National Chemical Import & Export Corp). CNPC and Sinopec are vertically integrated.

• Energy Supply

  Oil:

  Oil production increased by an average of 2%/year between 2000 and 2015, but declined by 10% between 2015 and 2018. It slightly rebounded in 2019 and 2020, reaching 201 Mt in 2020 (6^th largest worldwide).

• Energy Prices

  Electricity:

  Electricity prices have been decreasing since 2014 for industrial customers (-6%/year on average over 2014-200) and reached US$9.6c/kWh in 2020. Industrial power tariffs vary from region to region. Household prices have remained stable since 2017 (US$7.8c/kWh in 2020).

• Energy Consumption

  Total energy consumption per capita stabilized at 2.4 toe/cap in 2020 (3.5 times India's level).

  Graph: CONSUMPTION TRENDS BY ENERGY SOURCE (MTOE)

  

• Issues & Prospects

  The main priorities are to increase production, diversify the supply sources in order to enhance China's energy independence and, in parallel, to tackle its rising emissions. The country also continues to reform the electricity sector.

• GENERAL OVERVIEW
• INSTITUTIONS AND ENERGY POLICY
• ENERGY COMPANIES
• ENERGY SUPPLY
• ENERGY PRICES
• ENERGY CONSUMPTION
• ISSUES AND PROSPECTS
• DATA TABLES
• ABBREVIATIONS
• GLOSSARY

Download the Table of Contents

Below is a list of the China energy market report graphs:

• GRAPH 1: CO₂-energy emissions (MtCO₂)
• GRAPH 2: Installed Electric capacity by source (2020, %)
• GRAPH 3: Gross power production by source (TWh)
• GRAPH 4: Power generation by source (2020, %)
• GRAPH 5: Gasoline & diesel prices (US$/l)
• GRAPH 6: Electricity prices (US$c/kWh)
• GRAPH 7: Gas prices for industry and households (US$c/kWh GCV)
• GRAPH 8: Consumption trends by energy source (Mtoe)
• GRAPH 9: Total Consumption market share by energy (2020, %)
• GRAPH 10: Final consumption market share by sector (2020, %)
• GRAPH 11: Oil consumption (Mt)
• GRAPH 12: Oil consumption breakdown by sector (2020, %)
• GRAPH 13: Electricity consumption (TWh)
• GRAPH 14: Electricity consumption breakdown by sector (2020,%)
• GRAPH 15: Natural gas consumption (bcm)
• GRAPH 16: Gas consumption breakdown by sector (2020, %)
• GRAPH 17: Coal consumption (Mt)
• GRAPH 18: Coal consumption breakdown by sector (2020, %)

In the China energy market report you will find the following tables:

• Economic Indicators: Annual historical data including population, GDP growth, imports and exports, inflation rate, energy security and efficiency indicators, CO₂ emissions.
• Supply Indicators: Historical data including oil and gas reserves, electric and refining capacity, energy production, power production and external trade. All are detailed by energy source.
• Demand Indicators: Historical data including consumption per inhabitant, consumption trends, total consumption by energy source, final consumption by energy source and sector, and electricity consumption by sector.
• Energy Balances: Single table displaying the overall energy industry balance per annum, also graphically displayed by energy sub-segment.
• Infrastructure Projects: Covers power plant projects by energy, technology, status and operator, gas plant projects by status and operator and LNG contracts.

The China country dashboards are complemented with country forecasts from EnerFuture (excel file) with scenario comparison.

Data included in the excelsheet:

• Demand: Primary energy consumption, final energy consumption, by fuel, by sector.
• Power: Electricity generation & capacities, by technology.
• CO₂: Total CO₂ emissions.
• Macro-economy: Main macro-economic assumptions.
• Key indicators: Energy intensity, share of renewables, CO₂ emissions per capita and per unit of GDP.