Ann: 30 June 2022 Quarterly Market Update, page-74

China's fragile economy is being hammered by driest riverbeds since 1865

Yangtze’s retreating water levels have snarled electricity generation at many key hydropower plants, sparking energy chaos across many parts of the country. Mega cities including Shanghai are turning off lights, escalators and cutting back on air conditioning. Tesla Inc has warned of disruptions in the supply chain for its Shanghai plant, and others such as Toyota Motor Corp and Contemporary Amperex Technology Co, the world’s top maker of batteries for electric vehicles, have shuttered factories.

Sichuan’s power shortage shows that hydropower, usually seen as the most stable renewable source, is still not as reliable as coal, according to Hanyang Wei, an analyst with BloombergNEF. That raises doubt about how smoothly China can shift away from its reliance on fossil fuels, given that wind and solar are even less stable, said Wei.
Following last year’s crisis, which triggered widespread electricity curbs to factories throughout the country, China started to plan more coal power. Under heavy government pressure, coal mines have boosted output by 11% this year.

https://www.theedgemarkets.com/article/chinas-fragile-economy-being-hammered-driest-riverbeds-1865