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Overproduction of Renewable Energy in China Causes Concern

By Shubhendra Anand , 31 December, 2024

China will be the hub of the clean energy transition in 2024. This is due to the country's increasing investment and setups in producing renewables, electric vehicles, etc. However, excess of everything ends up creating a mess. Therefore, the overproduction of renewables, such as wind and solar energy, will be a significant problem for China in 2024. A survey on the renewable industry shows that massive production of renewables can lead to its curtailment in 2024.

Clean energy transition drives green industrial ideas in the nation. Globally, nations are focusing on adopting various alternatives to fossil fuels for sustainability. Hence, renewable production is an important part of it. The staggering growth of solar and wind energy capacity creates imbalances in the energy sector due to overproduction. Therefore, China may plan for a renewables curtailment in the energy sector in 2024. The nation's overwhelming renewable production leads to an increased amount of local consumption. Hence, the worsening situation causes regional power imbalances in China.

The nation claims to curtail the excess of renewables in different ways. It plans to abandon the overproduced renewables through long-distance transmission links in 2024. Additionally, the country intends to integrate better coordination in renewables production across China. According to the National Bureau of Statistics (NBS) data,  the nation's production capacity shows a trajectory with an increase of 1.137 billion kilowatts in 2024. There has been an increase of 9 percent in the energy generation sector since 2018. China's energy sector assures that most of the increased energy derives from additional energy sources. These extra energy sources are wind farms, solar generators, and others. There is a pressing need to control renewable production and nationwide power transmission. This is due to significant regional imbalances in the energy sector.

        The graph shows China's power generation in the period of ten years (2014-2024)

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Shubhendra Anand

Head Research