Power is a problem here, but not in China at all. This fellow lives and works in China, he writes mostly about business but his interests are more wide ranging, recently he's been researching the power industry. Worth browsing his Substack for this and other gems. Helps that he provides voluminous documentation is is a pretty good writer to boot.
https://kdwalmsley.substack.co...
Supply chain problems and shortages of everything we need to maintain the electric grid at present levels, let alone build new capacity. Prices are blowing out, and we have severe backlogs on natural gas turbines, which are needed to build new natural gas-fired power plants. Same story on transformers—we need tens of millions of new transformers just to replace the old ones, and we can’t get those either. It’s a problem across the entire grid. The grid expense is rising and nobody knows what the answer is.
We also are seeing a crunch in transmission of high-voltage power. In the United States, about 2,000 miles per year of high-voltage transmission about a decade ago, then it dropped to just 700 miles a year. And in 2023, only 55 miles of transmission. Recently a new project of 800 miles was canceled.
So not much is getting built, new demand is rising fast, and electric utilities are raising prices. Nationwide they have requested over $18 billion in rate increases, most of which will hit markets this year.
The system is already under heavy strain. A total of 2,600 gigawatts of electricity are planned across new projects, awaiting permitting and build. But that is more than twice what the United States produces now. These are projects that first need the supply chains fixed, nuclear reactors built, natural gas turbines manufactured and installed, and the electric grid upgraded. New supply won’t come for years, but the power demands for AI are hitting right now, and will double by 2030. Just keeping up with that means we need to more than triple the capacity of transformers.