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Will China’s Soaring Power Appetite Overwhelm Its Bold Clean Energy Ambitions?

The world’s most populous nation is making a remarkable shift toward cleaner electricity, and the numbers tell an impressive story. China’s power generation capacity is expected to jump from about 3,170 gigawatts in 2024 to over 3,600 gigawatts by 2025. That’s like adding the entire electrical grid of a medium-sized country in just one year. […]

china s growing energy demands

The world’s most populous nation is making a remarkable shift toward cleaner electricity, and the numbers tell an impressive story. China’s power generation capacity is expected to jump from about 3,170 gigawatts in 2024 to over 3,600 gigawatts by 2025. That’s like adding the entire electrical grid of a medium-sized country in just one year.

Wind and solar power are leading this surge with incredible momentum. In the first seven months of 2025, China added 223 gigawatts of solar capacity and 54 gigawatts of wind power. These renewables now account for 91% of all new power additions, which is like saying nine out of ten new power plants run on sunshine and wind instead of coal.

For the first time ever, wind and solar capacity surpassed thermal power in early 2025, reaching 1,482 gigawatts combined. This milestone shows how quickly China is transforming its energy landscape. The country aims to get 60% of its total power from non-fossil sources by 2025, up from 55% the previous year.

However, China’s growing appetite for electricity creates a complex challenge. Total power generation is projected to reach 10,600 terawatt-hours in 2025, compared to 9,960 terawatt-hours in 2024. Meeting this rising demand while shifting to clean energy requires careful balancing. Artificial intelligence technologies are projected to consume 10% of electricity demand by 2060, adding significant pressure to the power grid.

Coal still plays a stubborn role in this energy story. Despite renewable growth, thermal capacity increased by 42 gigawatts in the first seven months of 2025. New coal power approvals reached 11.29 gigawatts in the first quarter, showing that China continues relying on coal for energy security. Power sector emissions could plateau after 2025 as renewable deployment accelerates.

The country is tackling renewable energy’s biggest weakness through massive storage investments. Energy storage capacity reached 78 gigawatts by early 2025, nearly tripling the original target of 30 gigawatts. These giant batteries help store sunshine and wind power for cloudy, calm days.

Nuclear power expansion plans include reaching 200 gigawatts by 2035, though no new nuclear capacity was added in early 2025. China’s clean energy ambitions face the ultimate test of whether renewable growth can outpace its soaring electricity hunger. Chinese energy companies are building financial reserves through retained earnings to fund these massive infrastructure projects and support future expansion initiatives.

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