• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 1 hour GREEN NEW DEAL = BLIZZARD OF LIES
  • 1 day Does Toyota Know Something That We Don’t?
  • 4 days OPINION: Putin’s Genocidal Myth A scholarly treatise on the thousands of years of Ukrainian history. RCW
  • 1 day World could get rid of Putin and Russia but nobody is bold enough
  • 4 hours America should go after China but it should be done in a wise way.
  • 4 days CHINA Economy IMPLODING - Fastest Price Fall in 14 Years & Stock Market Crashes to 5 Year Low
  • 3 days China is using Chinese Names of Cities on their Border with Russia.
  • 4 days Russian Officials Voice Concerns About Chinese-Funded Rail Line
  • 3 days CHINA Economy Disaster - Employee Shortages, Retirement Age, Birth Rate & Ageing Population
  • 4 days Putin and Xi Bet on the Global South
  • 4 days "(Another) Putin Critic 'Falls' Out Of Window, Dies"
  • 5 days United States LNG Exports Reach Third Place
  • 5 days Biden's $2 trillion Plan for Insfrastructure and Jobs
  • 9 days huge-deposit-of-natural-hydrogen-gas-detected-deep-in-albanian-mine

Breaking News:

Chicago Files Suit Against Big Oil

China Shaking Up Its Power, Oil, And Gas Markets

China approved on Tuesday proposals that would transform its oil, gas, and power markets, CCTV has reported.

Under the proposals, China will construct a new power system intended to be “economically efficient, flexible and intelligent in supply and demand coordination,” the Chinese Communist Party’s commission for deepening reports said.

Currently, China’s power grid is built on fixed, long-term power trading agreements, which has caused hydro-dependent provinces such as Sichuan to export power beyond its borders during times of drought in order to meet its contractual obligations—even as the province was cutting power to its own residents.

Under the new proposal, China would seek to allow more flexibility. It would also look to improve “national oil and gas security capabilities” that will ensure the reliable supply of fossil fuels.

China is the world’s largest crude oil importer, producing less than half of what it consumes. In May, China’s imports jumped to the third-highest level on record, official data showed, averaging 12.11 million barrels per day. This is a 17.4% increase over April, and 12.2% higher than May 2022.

In April, China’s state-run Datang International Power Generation was hoping that the government would go further with liberalizing its power market, with an eye to transitioning to cleaner energy. According to Datang, market reforms would allow it to decrease coal-fired power and increase renewable power, which would increase coal prices and subsequently make a transition to cleaner energy viable, Datang chairman Liang Yongpan said.

“The proliferation of market-based pricing is a matter of when, not if. We will see more interprovincial power sales and spot trading at favourable prices at times of peak demand,” Yongpan said at the time.

Fear of oil demand slowdown in China continues to be a major concern in the crude oil markets, and continues to weigh on oil prices, countering OPEC’s production cuts.

ADVERTISEMENT

By Julianne Geiger for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News