China -- The Coming Energy Debacle -- March 7, 2022

The most entertaining game this autumn, prior to the mid-terms, will be watching everyone blame everyone else for the energy and agriculture debacle headed our way.

This is from Charles Kennedy, perhaps the "best" contributor over at oilprice.com, bar none.

"China scrambles to ensure energy security as commodities soar."

Hey, before I forget, you may want to take another look at this post before further reading. Just saying. UNP is going to be hauling a lot of coal this year. 

Now, back to Charles Kennedy.

According to the Chinese official, "The sources of China's crude oil and natural gas imports have been diversified, and long-term contracts account for a high proportion. As long as all parties comply with the contracts, imports can remain generally stable," South China Morning Post reported.

The planning body NDRC said over the weekend that the country would raise coal production and reserves, develop "major petroleum reserve projects," and increase petroleum reserves, too, per Reuters.

Last month, China said it would help run its coal-fired power plants at full capacity in a bid to ensure energy security, despite the climate goals of the world's largest polluter. 

The Chinese authorities will increase coal supply, and coal-fired power plants will be supported in running at full capacity and generating more electricity to meet the electricity needs for production and residential consumption, state news agency Xinhua reported in mid-February, citing a decision made at the State Council's Executive Meeting chaired by Premier Li Keqiang.

This weekend, NDRC's Lian said that the Chinese government would not ration power and natural gas usage unless in extreme situations. China suffered a power crisis in the autumn of 2021, which resulted in blackouts in September and October and slowed the growth of China's economy in the third quarter of 2021.

Giving credit where credit is due.

Several years ago I was getting a note from one reader every few days telling me that someday coal was going to be incredibly important. I suppose this was about the time that Hillary Clinton said she was going to put every coal miner out of a job. 

Both the reader and I assumed the day King Coal would rise again would be "later," rather than sooner. I certainly did not have this on my 2022 bingo card. Maybe the reader did.

Coal Miner's Daughter, Loretta Lynn, Women of Country