Core Insights - In July, China's monthly electricity consumption exceeded 1 trillion kilowatt-hours for the first time, equivalent to Japan's total annual electricity consumption [2] - The National Energy Administration reported that despite extreme weather conditions, China's energy supply remained stable and resilient, meeting the increased demands due to economic recovery [2] - The energy supply capacity and resilience in China have reached a high level, with domestic energy production accounting for over 90% of the consumption increase during the 14th Five-Year Plan period [2] Energy Demand and Supply - During the first four years of the 14th Five-Year Plan, China's energy demand grew rapidly, with a cumulative increase of 9.8 million tons of standard coal, equivalent to the total energy consumption of the UK, France, and Germany in a year [2] - The National Energy Administration has implemented multiple measures to enhance energy supply chain stability and security, including strengthening coal supply, increasing domestic oil and gas production, and accelerating renewable energy adoption [2] Role of Renewable Energy - Renewable energy has played a significant role, contributing to nearly 50% of the increase in national electricity generation and pushing the total supply of non-fossil energy to grow by nearly 50% [3] - China's energy supply system has become more robust, with improved energy storage capabilities and the formation of a national oil and gas network [3] Emergency Response and Infrastructure - The establishment of a national-level electricity emergency support system has been crucial in maintaining stable energy supply during extreme weather events, with no large-scale power outages reported nationwide [4] - The rapid recovery of energy infrastructure during emergencies has provided strong support for economic and social stability, showcasing the advantages of the socialist system [4]

Core Viewpoint - The National Development and Reform Commission and the National Energy Administration highlighted the achievements in high-quality energy development during the "14th Five-Year Plan" period, emphasizing the resilience and capacity of China's energy supply amidst extreme weather conditions and economic recovery [2] Group 1: Energy Supply and Demand - In July, China's monthly electricity consumption exceeded 1 trillion kilowatt-hours for the first time, equivalent to Japan's total annual electricity consumption [2] - The energy supply has remained stable and orderly, successfully managing peak demand during the summer season [2] Group 2: Resilience and Capacity - The overall energy supply capacity and resilience in China have reached a high level, ensuring that the energy supply can withstand peaks and maintain a baseline [2]

Core Viewpoint - In July, China's monthly electricity consumption exceeded 1 trillion kilowatt-hours for the first time, equivalent to Japan's total annual electricity consumption [1] Group 1: Electricity Consumption - China's electricity consumption in July reached over 1 trillion kilowatt-hours, marking a significant milestone [1] - This consumption level is comparable to the total annual electricity usage of Japan, highlighting the scale of China's energy demand [1] Group 2: Energy Supply and Weather Impact - The country faced extreme weather conditions, including high temperatures, heavy rainfall, and typhoons during the "July-August" period, which increased the demand for energy supply [1] - Despite these challenges, China's energy supply remained stable and orderly, with no large-scale power outages reported [1] Group 3: Energy Supply Resilience - The energy supply capability and resilience in China have reached a high level, effectively managing peak demand and ensuring a stable supply [1]

Investment Rating - The report maintains an "Overweight" rating for the utility sector [1] Core Insights - The "2025 Energy Work Guidance" has been issued, indicating a steady increase in national energy production capacity, with coal and natural gas output growing significantly. The total installed power generation capacity has reached over 3.6 billion kilowatts, with new renewable energy installations exceeding 200 million kilowatts [4][5] - The green and low-carbon transition is progressing, with non-fossil energy generation capacity accounting for approximately 60% of total installed capacity and non-fossil energy consumption reaching 20% of total energy consumption. Policies for renewable energy consumption and regulation are being improved [4] - The official launch of the Mengxi electricity spot market marks a significant development, becoming the fifth electricity spot market in China [4] Industry Data Tracking Electricity Prices - In March 2025, the average grid purchase price of electricity was 398 RMB/MWh, a year-on-year decrease of 4% and unchanged from the previous month [32] Coal Prices - As of February 28, 2025, the price of thermal coal (Q5500) at Qinhuangdao port was 690 RMB/ton, down 25.16% year-on-year and down 4.03% week-on-week [39] Water Conditions - As of February 28, 2025, the water level at the Three Gorges Reservoir was 162.99 meters, with inflow and outflow rates of 7700 cubic meters/second and 7620 cubic meters/second, respectively, showing increases of 28.33% and 11.89% year-on-year [48] Electricity Consumption - In 2024, the total electricity consumption was 985.21 billion kWh, a year-on-year increase of 6.8%. The growth rates for the primary, secondary, and tertiary industries, as well as urban and rural residential consumption, were 6.3%, 5.1%, 9.9%, and 10.6%, respectively [14] Power Generation - The cumulative power generation in 2024 was 942.1 billion kWh, reflecting a year-on-year increase of 4.6%. The growth rates for different energy sources were as follows: thermal power +1.5%, hydropower +10.7%, nuclear power +2.7%, wind power +11.1%, and solar power +28.2% [21] Installed Capacity - By the end of 2024, the cumulative installed capacity of thermal power reached 1.44 billion kilowatts, an increase of 3.8% year-on-year. The new installed capacity for thermal power in 2024 was 47.44 million kilowatts, up 1.9% year-on-year [43]