Power shortage in China:4 industrial hubs of the country in darkness due to shortage of coal, business of companies like apple and tesla affected
China, which boasts of super power in the world, is facing a severe shortage of electricity. Due to this, the population of about 10 crores of this country is devastated. The biggest problem is being faced by the industries here which supply their goods abroad.
Due to power cuts, even the business of big companies like Apple and Tesla is being affected. These companies have to stop work in many of their plants to other electronic equipment suppliers including computer chips. Its direct loss is on demand and supply. More than 10 Taiwanese companies have decided to stop work.
Three Taiwanese electronics companies supplying Apple and Tesla said on Sunday that they were forced to stop work at their companies based in China due to power supply disruptions.
Apple's supplier Unimiron Technology said three of its subsidiaries based in China were having to stop operations. He said that stopping the work of these companies will not cause much damage, as production has been increased at other plants.
Two big reasons behind the cut
Two big reasons are being told behind the power crisis in China. The first is the reduction of coal and the second is the carbon emission policy of President Xi Jinping. Indeed, President Xi Jinping has reduced coal production to meet carbon emissions reduction targets. They want to make China a carbon-free country by 2060. For this they have reduced coal production.
China is dependent on coal for more than half of its energy needs.
China is still dependent on coal for more than half of its energy needs. In such a situation, due to less production of coal, its prices have also increased. This has a direct impact on the coal based power plant here. There is also government control over electricity prices. The government is not increasing the price of electricity, due to which the power plants are also not in a mood to increase production by suffering losses. Plants have reduced production, which is directly affecting the supply.
Effect of blackout on 4 provinces Blackout in
China is affecting 4 provinces. According to China's state-run Global Times, power outages continue to be a problem in Guangdong in South China and Heilongjiang, Jilin and Liaoning in Northeast China. Many other areas are also facing this problem.
The government has instructed many industries in these areas to cut power usage or reduce working days during peak times. Industries related to steel, aluminium, cement and fertilizer have been affected the most. In many areas, the situation is such that even the traffic signals are closed for weeks due to lack of electricity.
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