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NDRC expects that China's energy supply and demand situation will become tighter next year
International Power Network News: At the 2012 China Energy Service Industry Summit, Dai Yande, Deputy Director of the National Development and Reform Commission Energy Research Institute, highlighted that the country's energy supply and demand situation has become more relaxed in the first three quarters of this year due to a slowdown in the macroeconomic environment. He pointed out that the decline in high-energy-consuming industries and reduced impact from extreme weather have contributed to slower energy consumption growth, with sufficient energy supplies meeting the demand.
However, Dai warned that as the economy continues to recover starting from the fourth quarter of 2012, and with urbanization accelerating, energy demand is expected to rise significantly in the second half of 2013. This could lead to a return to tighter energy supply and demand conditions, similar to previous years.
He also noted that the growth in major energy sources like electricity is projected to be lower than during the 2008–2009 financial crisis, marking a new low. Despite this, the overall energy demand is expected to remain relatively stable in the first half of 2013, but will begin to surge by the second half as economic activity stabilizes and urban development accelerates.
The tightening of energy supply and demand will increase pressure on energy conservation and emissions reduction efforts. At the same time, it presents significant opportunities for the energy-saving industry. According to Dai, if China’s total energy consumption reaches 5.3 billion tons of standard coal by 2020, there will be an additional 800 million tons of standard coal consumed over the next eight years, with around 100 million tons added annually. This is expected to bring substantial benefits to the growing energy-saving sector.
As of the end of 2011, the output value of the national energy-saving service industry had reached 125 billion yuan. According to official plans, this figure is expected to reach 300 billion yuan by 2015, reflecting an average annual growth rate of 35%. These figures underline the increasing importance and potential of the energy-saving industry in China's long-term development strategy.