China’s scorching southwest extends power curbs as drought, heatwave linger

China’s scorching southwest extends power curbs as drought, heatwave linger
An aerial shot taken with a drone shows the dried out riverbed of the Jialing River, a major tributary of the Yangtze River, in Chongqing, China, 21 August 2022. China is experiencing its most severe drought and longest heat wave in decades, with the country issuing on 18 August its first nationwide drought alert in nine years and another heat wave red alert during the weekend. The extreme heat wave is affecting farm crops, power supplies and shipping routes, as water levels reach record lows. According to the Yangtze River Water Resources Commission, rainfall in the Yangtze River basin fell around 30 percent in July and was 60 percent lower than normal standards in August, the lowest since the same period in 1961. Part of the Yangtze river channel flowing through the urban area of Chongqing dried up and approaches record-low water levels in the city. EPA-EFE/STRINGER

SHANGHAI, Aug 22 (Reuters) - China's scorched southwestern regions extended curbs on power consumption on Monday as they deal with dwindling hydropower output and surging household electricity demand during a long drought and heatwave.

State weather forecasters issued a heat “red alert” for the 11th consecutive day on Monday, as extreme weather continues to play havoc with power supplies and damage crops. They also raised the national drought alert to “orange” – the second-highest level.

The drought has already “severely affected” mid-season rice and summer corn in some southern regions, the ministry of agriculture said on Sunday.

The National Meteorological Center said as many as 62 weather stations, from Sichuan in the southwest to Fujian on the southeastern coast, recorded record temperatures on Sunday. The situation could improve starting Wednesday as a cold front moves into China via Xinjiang.

The region of Chongqing, which hit temperatures of 45 degrees Celsius (113 degrees Fahrenheit) late last week, announced that opening hours at more than 500 malls and other commercial venues would be shortened starting Monday to ease power demand.

Two malls on the list contacted by Reuters on Monday confirmed that they had received the government notice and would abide by the new opening hours. Two hotels on the list said they were still operating normally but were restricting air conditioner use.

In neighbouring Sichuan province, a major hydropower generator, authorities also extended existing curbs on industrial power consumers until Aug. 25, financial news service Caixin said on Sunday. Power generation in Sichuan is at just half the normal level.

It cited firms in the battery industry as saying that industrial power users in the cities of Yibin and Suining had been told to remain closed until Thursday.

A Sichuan-based pesticide producer, Lier Chemical Co Ltd 002258.SZ, confirmed in a notice on Monday that output restrictions at two of its production bases in the province would continue until Aug. 25.

Toyota Motor Corp 7203.T gradually resumed operations at its Sichuan plant in China on Monday using a power generator after suspending operations last week, the company’s spokesperson said. 

Other regions have also sent 50 emergency power generating vehicles to Sichuan since last Thursday to help alleviate shortages, the Global Times newspaper said.

Several plants in Sichuan and Chongqing, including those of top battery maker CATL 300750.SZ and the electric vehicle giant BYD 002594.SZ, have been only able to partially operate in recent weeks because of power shortages.

source familiar with the matter said that CATL’s Yibin plant makes battery cells for Tesla TSLA.O, and that there were concerns that continued disruptions could eventually affect the U.S. automaker.

However, a second source said there was no sign of an impact so far, with production at Tesla’s Shanghai plant unchanged. CATL and Tesla did not immediately respond to requests for comment.

Shanghai, which was criticised on China’s Twitter-like Weibo service for its use of electricity generated in Sichuan, imposed its own consumption restrictions on Monday, turning off decorative lighting on the riverside Bund area and parts of the financial centre of Lujiazui for two days.

Firms will be encouraged to “stagger” power consumption to reduce peak loads. Some outdoor construction projects will be suspended, the official Shanghai Daily said.

Important agricultural regions have also been warning of the impact on crops, with Henan province saying more than a million hectares of land have been affected by drought so far.

About 2.2 million hectares across the Yangtze basin have been affected, according to the Ministry of Water Resources.

(Reporting by David Stanway and Zhang Yan in Shanghai, Martin Quin Pollard in Beijing; Additional reporting by the Beijing newsroom; Editing by Kim Coghill and Gerry Doyle)


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