China Is Facing Another Power Crunch. But This Time It's Likely to Be Different

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China Is Facing Another Power Crunch. But This Time It's Likely to Be Different
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Power rationing in parts of China including the Yangtze area has sparked concerns of a repeat of last year’s electricity crunch but analysts do not see the same crisis this year.

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Areas of the Yangtze River and China's southwestern province Sichuan province are battling a record-breaking heatwave The heatwave this year has also persisted longer — for 64 days, and is the longest since 1961, according to the China Meteorological Administration. "On a national basis, we maintain our assumption for China's power consumption to increase by a mid-to-low single digit in 2022, aligned with our latest forecast of 3.7% for China's GDP growth."The impact of this year's blackouts on the overall Chinese economy will also be different from last year'sLast year, the power outage contributed to a slowdown in GDP growth in the third quarter of the year, China's National Bureau of Statistics had said.

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