As Beijing Joins Climate Fight, Chinese Companies Build Coal Plants

In Economy, Environment On

The frenzied addition of coal plants underscores how the world is set to remain dependent on coal for decades, despite fast growth in renewable energy sources, like wind and solar power.

In China, concerns over smog and climate change have prompted a move toward renewables, as have slowing economic growth and a gradual shift in the Chinese economy away from heavy manufacturing and toward consumer industries. The addition of domestic capacity, though large on paper, does not mean there will be growth in coal consumption. The current coal plants are operating far below capacity because demand for coal-generated power has slowed considerably.

But overseas, the Chinese are playing a different game.

Shanghai Electric Group, one of the country’s largest electrical equipment makers, has announced plans to build coal power plants in Egypt, Pakistan and Iran with a total capacity of 6,285 megawatts — almost 10 times the 660 megawatts of coal power it has planned in China.

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