China’s electricity use in Jul’21 up 13% y-o-y

China has reported that electricity consumption has hit a new record high of 775.8 billion kWh in Jul’21, rising 13% from a year earlier and growing 16% vis-a-vis Jul’19, as per latest reports.

*Thermal coal prices are rising fast in China–up 20% in the past two weeks.
*Coal futures have skyrocketed to $170/t as demand is out-growing supply.
*Earlier a heat wave in Zhejiang, Jiangsu and Guangdong provinces and a rebound in industrial output pushed demand higher despite the government’s pledge to cut carbon emissions.
*China has authorised the restart of production for a year at 15 coal mines across Shanxi and Xinjiang provinces as domestic inventories have declined to near-historic lows.