China: coal production up 2.8% in July

Despite a drop in thermal electricity production, China increased its coal output by 2.8% in July, benefiting from demand sustained by extreme weather conditions.

Partagez:

China recorded coal production of 390.37 million tonnes in July 2024, marking an increase of 2.8% on the previous year.
This increase comes against a backdrop of strong demand due to exceptionally high temperatures, which prompted the authorities to step up coal supplies to stabilize the energy market.
At the same time, thermal power generation, traditionally fuelled by coal, continued to decline for the third consecutive month.
In July, it fell by 4.9%, mainly due to the boom in hydroelectricity, which took advantage of heavy rainfall to increase its share of China’s energy mix.
Nevertheless, coal remains an essential pillar in meeting the country’s immediate energy needs.

The impact of hydraulic dynamics on energy production

The month of July saw a significant increase in hydropower production, reaching 166.4 billion kilowatt-hours, up 36.2% year-on-year.
This increase in power has enabled China to reduce its dependence on thermal energy, illustrating the country’s ability to rapidly adjust its energy sources in response to climatic conditions.
However, the need to maintain sufficient coal reserves prompted mines to step up production.
The contrast between the decline in thermal production and the increase in hydropower underlines the challenges facing China’s energy sector as it seeks to balance increasing diversification with security of supply.
The coal industry, although under pressure, continues to play a crucial role, particularly in sectors where coal remains indispensable, such as the chemical industry, which saw its coal consumption rise by 21% in the first half of 2024.

Outlook and regulatory adjustments

Despite efforts to diversify energy sources, the Chinese authorities have had to face up to complex operational realities.
Recent safety inspections, particularly in Shanxi province, the main coal-producing region, have led to a temporary reduction in production.
These measures, designed to prevent accidents and control overproduction, had an impact on total coal production, which stood at 2.66 billion tonnes for the period January to July, down slightly by 0.8% on the previous year.
The current situation highlights the need for China to continue to adapt its energy strategy, balancing the transition to cleaner energies with the reality of coal requirements.
The outlook for the coming months depends largely on weather conditions and regulatory adjustments, which could influence production and consumption in the various sectors.

According to the 2025 report on global energy access, despite notable progress in renewable energy, insufficient targeted financing continues to hinder electricity and clean cooking access, particularly in sub-Saharan Africa.
While advanced economies maintain global energy leadership, China and the United States have significantly progressed in the security and sustainability of their energy systems, according to the World Economic Forum's annual report.
On the sidelines of the US–Africa summit in Luanda, Algiers and Luanda consolidate their energy collaboration to better exploit their oil, gas, and mining potential, targeting a common strategy in regional and international markets.
The UK's Climate Change Committee is urging the government to quickly reduce electricity costs to facilitate the adoption of heat pumps and electric vehicles, judged too slow to achieve the set climate targets.
The European Commission will extend until the end of 2030 an expanded state-aid framework, allowing capitals to fund low-carbon technologies and nuclear power to preserve competitiveness against China and the United States.
Japan's grid operator forecasts an energy shortfall of up to 89 GW by 2050 due to rising demand from semiconductor manufacturing, electric vehicles, and artificial intelligence technologies.
Energy-intensive European industries will be eligible for temporary state aid to mitigate high electricity prices, according to a new regulatory framework proposed by the European Commission under the "Clean Industrial Deal."
Mauritius seeks international investors to swiftly build a floating power plant of around 100 MW, aiming to secure the national energy supply by January 2026 and address current production shortfalls.
Madrid announces immediate energy storage measures while Lisbon secures its electrical grid, responding to the historic outage that affected the entire Iberian Peninsula in late April.
Indonesia has unveiled its new national energy plan, projecting an increase of 69.5 GW in electricity capacity over ten years, largely funded by independent producers, to address rapidly rising domestic demand.
French Minister Agnès Pannier-Runacher condemns the parliamentary moratorium on new renewable energy installations, warning of the potential loss of 150,000 industrial jobs and increased energy dependence on foreign countries.
The European battery regulation, fully effective from August 18, significantly alters industrial requirements related to electric cars and bicycles, imposing strict rules on recycling, supply chains, and transparency for companies.
The European Parliament calls on the Commission to strengthen energy infrastructure and accelerate the implementation of the Clean Industrial Deal to enhance the continent's energy flexibility and security amid increased market volatility.
The European Commission unveils an ambitious plan to modernize electricity grids and introduces the Clean Industrial Deal, mobilizing hundreds of billions of euros to strengthen the continent's industrial and energy autonomy.
In the United States, regulated electric grid operators hold a decisive advantage in connecting new data centres to the grid, now representing 134 GW of projects, according to a Wood Mackenzie report published on June 19.
The French National Assembly approves a specific target of 200 TWh renewable electricity production by 2030 within a legislative text extensively debated about the future national energy mix.
In 2024, US CO₂ emissions remain stable at 5.1bn tonnes, as the Trump administration prepares hydrocarbon-friendly energy policies, raising questions about the future evolution of the American market.
The early publication of France's energy decree triggers strong parliamentary reactions, as the government aims to rapidly secure investments in nuclear and other energy sectors.
Seven weeks after the major Iberian power outage, Spain identifies technical network failures, while the European Investment Bank approves major funding to strengthen the interconnection with France.
The European Union has announced a detailed schedule aiming to definitively halt Russian gas imports by the end of 2027, anticipating internal legal and commercial challenges to overcome.