Keep Us Strong WikiLeaks logo

Currently released so far... 97115 / 251,287

Articles

Browse latest releases

Browse by creation date

Browse by origin

A B C D F G H I J K L M N O P Q R S T U V W Y Z

Browse by tag

A B C D E F G H I J K L M N O P Q R S T U V W X Y Z
ETRD EAGR ETTC EAID ECON EFIN ECIN EINV ELAB EAIR ENRG EPET EWWT ECPS EIND EMIN ELTN EC ETMIN EUC EZ ET ELECTIONS ENVR EU EUN EG EINT ER ECONOMICS ES EMS ENIV EEB EN ECE ECOSOC EK ENVIRONMENT EFIS EI EWT ENGRD ECPSN EXIM EIAD ERIN ECPC EDEV ENGY ECTRD EPA ESTH ECCT EINVECON ENGR ERTD EUR EAP EWWC ELTD EL EXIMOPIC EXTERNAL ETRDEC ESCAP ECO EGAD ELNT ECONOMIC ENV ETRN EIAR EUMEM ENRGPARMOTRASENVKGHGPGOVECONTSPLEAID EREL ECOM ECONETRDEAGRJA ETCC ETRG ECONOMY EMED ETR ENERG EITC EFINOECD EURM EENG ERA EXPORT ENRD ECONEINVETRDEFINELABETRDKTDBPGOVOPIC EGEN EBRD EVIN ETRAD ECOWAS EFTA ECONETRDBESPAR EGOVSY EPIN EID ECONENRG EDRC ESENV ETT EB ENER ELTNSNAR ECHEVARRIA ETRC EPIT EDUC ESA EFI ENRGY ESCI EE EAIDXMXAXBXFFR EETC ECIP EIAID EIVN EBEXP ESTN EING EGOV ETRA EPETEIND ELAN ETRDGK EAIDRW ETRDEINVECINPGOVCS EPEC ENVI ELN EAG EPCS EPRT EPTED ETRB EUM EAIDS EFIC EFINECONEAIDUNGAGM EAIDAR ESF EIDN ELAM EDU EV EAIDAF ECN EDA EXBS EINTECPS ENRGTRGYETRDBEXPBTIOSZ EPREL EAC EINVEFIN ETA EAGER EINDIR ECA ECLAC ELAP EITI EUCOM ECONEFINETRDPGOVEAGRPTERKTFNKCRMEAID EARG ELDIN EINVKSCA ENNP EFINECONCS EFINTS ECCP ETC EAIRASECCASCID EINN ETRP EAIDNI EFQ ECOQKPKO EGPHUM EBUD ECONEINVEFINPGOVIZ ENERGY ELB EINDETRD EMI ECONEFIN EIB EURN ETRDEINVTINTCS EIN EFIM ETIO ELAINE EMN EATO EWTR EIPR EINVETC ETTD ETDR EIQ ECONCS EPPD ENRGIZ EISL ESPINOSA ELEC EAIG ESLCO EUREM ENTG ERD EINVECONSENVCSJA EEPET EUNCH ECINECONCS ETRO ETRDECONWTOCS ECUN EFND EPECO EAIRECONRP ERGR ETRDPGOV ECPN ENRGMO EPWR EET EAIS EAGRE EDUARDO EAGRRP EAIDPHUMPRELUG EICN ECONQH EVN EGHG ELBR EINF EAIDHO EENV ETEX ERNG ED
KMDR KPAO KPKO KJUS KCRM KGHG KFRD KWMN KDEM KTFN KHIV KGIC KIDE KSCA KNNP KHUM KIPR KSUM KISL KIRF KCOR KRCM KPAL KWBG KN KS KOMC KSEP KFLU KPWR KTIA KSEO KMPI KHLS KICC KSTH KMCA KVPR KPRM KE KU KZ KFLO KSAF KTIP KTEX KBCT KOCI KOLY KOR KAWC KACT KUNR KTDB KSTC KLIG KSKN KNN KCFE KCIP KGHA KHDP KPOW KUNC KDRL KV KPREL KCRS KPOL KRVC KRIM KGIT KWIR KT KIRC KOMO KRFD KUWAIT KG KFIN KSCI KTFIN KFTN KGOV KPRV KSAC KGIV KCRIM KPIR KSOC KBIO KW KGLB KMWN KPO KFSC KSEAO KSTCPL KSI KPRP KREC KFPC KUNH KCSA KMRS KNDP KR KICCPUR KPPAO KCSY KTBT KCIS KNEP KFRDCVISCMGTCASCKOCIASECPHUMSMIGEG KNNB KGCC KINR KPOP KMFO KENV KNAR KVIR KDRG KDMR KFCE KNAO KDEN KGCN KICA KIMMITT KMCC KLFU KMSG KSEC KUM KCUL KMNP KSMT KCOM KOMCSG KSPR KPMI KRAD KIND KCRP KAUST KWAWC KTER KCHG KRDP KPAS KITA KTSC KPAOPREL KWGB KIRP KJUST KMIG KLAB KTFR KSEI KSTT KAPO KSTS KLSO KWNN KPOA KHSA KNPP KPAONZ KBTS KWWW KY KJRE KPAOKMDRKE KCRCM KSCS KWMNCI KESO KWUN KPLS KIIP KEDEM KPAOY KRIF KGICKS KREF KTRD KFRDSOCIRO KTAO KJU KWMNPHUMPRELKPAOZW KEN KO KNEI KEMR KKIV KEAI KWAC KRCIM KWCI KFIU KWIC KCORR KOMS KNNO KPAI KBWG KTTB KTBD KTIALG KILS KFEM KTDM KESS KNUC KPA KOMCCO KCEM KRCS KWBGSY KNPPIS KNNPMNUC KWN KERG KLTN KALM KCCP KSUMPHUM KREL KGH KLIP KTLA KAWK KWMM KVRP KVRC KAID KSLG KDEMK KX KIF KNPR KCFC KFTFN KTFM KPDD KCERS KMOC KDEMAF KMEPI KEMS KDRM KEPREL KBTR KEDU KNP KIRL KNNR KMPT KISLPINR KTPN KA KJUSTH KPIN KDEV KTDD KAKA KFRP KWNM KTSD KINL KJUSKUNR KWWMN KECF KWBC KPRO KVBL KOM KFRDKIRFCVISCMGTKOCIASECPHUMSMIGEG KEDM KFLD KLPM KRGY KNNF KICR KIFR KM KWMNCS KAWS KLAP KPAK KDDG KCGC KID KNSD KMPF KPFO KDP KCMR KRMS KNPT KNNNP KTIAPARM KDTB KNUP KPGOV KNAP KNNC KUK KSRE KREISLER KIVP KQ KTIAEUN KPALAOIS KRM KISLAO KWM KFLOA
PHUM PINR PTER PGOV PREL PREF PL PM PHSA PE PARM PINS PK PUNE PO PALESTINIAN PU PBTS PROP PTBS POL POLI PA PGOVZI POLMIL POLITICAL PARTIES POLM PD POLITICS POLICY PAS PMIL PINT PNAT PV PKO PPOL PERSONS PING PBIO PH PETR PARMS PRES PCON PETERS PRELBR PT PLAB PP PAK PDEM PKPA PSOCI PF PLO PTERM PJUS PSOE PELOSI PROPERTY PGOVPREL PARP PRL PNIR PHUMKPAL PG PREZ PGIC PBOV PAO PKK PROV PHSAK PHUMPREL PROTECTION PGOVBL PSI PRELPK PGOVENRG PUM PRELKPKO PATTY PSOC PRIVATIZATION PRELSP PGOVEAIDUKNOSWGMHUCANLLHFRSPITNZ PMIG PREC PAIGH PROG PSHA PARK PETER POG PHUS PPREL PS PTERPREL PRELPGOV POV PKPO PGOVECON POUS PGOVPRELPHUMPREFSMIGELABEAIDKCRMKWMN PWBG PMAR PREM PAR PNR PRELPGOVEAIDECONEINVBEXPSCULOIIPBTIO PARMIR PGOVGM PHUH PARTM PN PRE PTE PY POLUN PPEL PDOV PGOVSOCI PIRF PGOVPM PBST PRELEVU PGOR PBTSRU PRM PRELKPAOIZ PGVO PERL PGOC PAGR PMIN PHUMR PVIP PPD PGV PRAM PINL PKPAL PTERE PGOF PINO PHAS PODC PRHUM PHUMA PREO PPA PEPFAR PGO PRGOV PAC PRESL PORG PKFK PEPR PRELP PREFA PNG PGOVPHUMKPAO PRELECON PINOCHET PFOR PGOVLO PHUMBA PRELC PREK PHUME PHJM POLINT PGOVPZ PGOVKCRM PGOVE PHALANAGE PARTY PECON PEACE PROCESS PLN PRELSW PAHO PEDRO PRELA PASS PPAO PGPV PNUM PCUL PGGV PSA PGOVSMIGKCRMKWMNPHUMCVISKFRDCA PGIV PRFE POGOV PEL PBT PAMQ PINF PSEPC POSTS PHUMPGOV PVOV PHSAPREL PROLIFERATION PENA PRELTBIOBA PIN PRELL PGOVPTER PHAM PHYTRP PTEL PTERPGOV PHARM PROTESTS PRELAF PKBL PRELKPAO PKNP PARMP PHUML PFOV PERM PUOS PRELGOV PHUMPTER PARAGRAPH PERURENA PBTSEWWT PCI PETROL PINSO PINSCE PQL PEREZ PBS

Browse by classification

Community resources

courage is contagious

Viewing cable 08GUANGZHOU175, Guangdong's Power Crunch - a Widening Gap between Supply

If you are new to these pages, please read an introduction on the structure of a cable as well as how to discuss them with others. See also the FAQs

Understanding cables
Every cable message consists of three parts:
  • The top box shows each cables unique reference number, when and by whom it originally was sent, and what its initial classification was.
  • The middle box contains the header information that is associated with the cable. It includes information about the receiver(s) as well as a general subject.
  • The bottom box presents the body of the cable. The opening can contain a more specific subject, references to other cables (browse by origin to find them) or additional comment. This is followed by the main contents of the cable: a summary, a collection of specific topics and a comment section.
To understand the justification used for the classification of each cable, please use this WikiSource article as reference.

Discussing cables
If you find meaningful or important information in a cable, please link directly to its unique reference number. Linking to a specific paragraph in the body of a cable is also possible by copying the appropriate link (to be found at theparagraph symbol). Please mark messages for social networking services like Twitter with the hash tags #cablegate and a hash containing the reference ID e.g. #08GUANGZHOU175.
Reference ID Created Released Classification Origin
08GUANGZHOU175 2008-03-27 02:30 2011-08-23 00:00 UNCLASSIFIED//FOR OFFICIAL USE ONLY Consulate Guangzhou
VZCZCXRO5613
RR RUEHCN RUEHGH RUEHVC
DE RUEHGZ #0175/01 0870230
ZNR UUUUU ZZH
R 270230Z MAR 08
FM AMCONSUL GUANGZHOU
TO RUEHC/SECSTATE WASHDC 6998
INFO RUEHOO/CHINA POSTS COLLECTIVE
RUCPDOC/USDOC WASHDC
RHMCSUU/DEPT OF ENERGY WASHINGTON DC
RUEATRS/DEPT OF TREASURY WASHDC
RULSDMK/DEPT OF TRANSPORTATION WASHDC
RUEAIIA/CIA WASHDC
RUEKJCS/DIA WASHDC
RHHMUNA/HQ USPACOM HONOLULU HI
UNCLAS SECTION 01 OF 03 GUANGZHOU 000175 
 
SIPDIS 
 
SENSITIVE 
SIPDIS 
 
EMB BEIJING FOR DOE 
USDOE FOR OFFICE OF THE SECRETARY 
USDOE FOR INTERNATIONAL AFFAIRS 
USDOE FOR FOSSIL POLICY AND ENERGY 
STATE FOR EAP/CM, EB/TRA, AND EB 
STATE ALSO PASS USTR FOR CHINA OFFICE 
 
E.O. 12958: N/A 
TAGS: ENRG ECON EMIN SENV PGOV TRGY CH
SUBJECT: Guangdong's Power Crunch - a Widening Gap between Supply 
and Demand 
 
1. (U) Summary. South China is experiencing its worst power 
shortages in thirty years. An annual problem, the situation in the 
region intensified due to January's winter storms as Guangdong 
imports almost all of its power from other provinces whose power 
generation capabilities were affected. The combination of damage 
caused by severe weather, competition between market and retail 
prices, and growing demand levels, is likely to remain an obstacle 
to solving an ever-growing power crisis. One official pointed out 
that national regulations requiring the simultaneous elimination of 
small, inefficient plants before new construction exacerbate the 
shortages.  In the wake of these pressures and supply constraints, 
the peak summer period is predicted to be riddled with widespread 
"brownouts."  End Summary. 
 
----------------------------------- 
Supply Not Keeping Pace with Demand 
----------------------------------- 
 
2. (SBU) Guangdong officials warn that the province is facing its 
worse energy shortages in thirty years. The Guangdong Economic and 
Trade Commission (ETC) conservatively estimated the supply shortfall 
to be 7 million kilowatts, while the China Southern Power Grid 
estimated a gap of between 9.5 and 10.5 million kilowatts. Official 
media reports citing provincial officials predict that the gap could 
reach 12 million kilowatts during periods of peak demand. 
 
3. (SBU) Guangdong's power generating capacity has not grown quickly 
enough to keep up with demand.  According to Rao Subo, Deputy 
Engineering Chief of the Yudean Group, Guangdong province's leading 
supplier of power, since 2000, Guangdong's power consumption has 
grown at an annual rate of 13%. At the end of 2007, Guangdong had an 
installed capacity of 60 million kilowatts, which is expected to 
grow by only 7-8 million kilowatts over the next two years, a pace 
far slower than growth in consumption. 
 
4. (U) Guangdong's power supply is primarily composed of three 
parts.  The province's "official capacity" consists mainly of 1) 
power generated by large-scale state-owned power plants, which are 
mostly located in other provinces and 2) the West-to-East power 
transmission project, which includes power supplied from the Three 
Gorges Dam, Guizhou, Guangxi, and Yunnan. The third source is power 
generated by small hydro-power plants or diesel power plants located 
in rural areas, and commonly referred to as "backyard generators." 
These are highly sensitive to weather conditions and are therefore 
less reliable. Many of these small-scale and inefficient power 
plants are in the process of being phased out. 
 
5. (SBU) Over the long-term, Guangdong expects to add 16 million 
kilowatts to its annual installed capacity, but this will not be 
enough.  Critics of the Central Government's current regulation 
regarding the construction of new power facilities, including Rao, 
argue that the central government, which authorizes all new power 
projects through the National Development and Reform Commission 
(NDRC), should increase the approval rate for proposed plants in 
Guangdong. Mo Jianbin, Deputy Director of Guangdong's Economic and 
Trade Commission's Electric Power and Energy Section (GD ETC), 
commented that national regulations exacerbate the shortages, 
requiring that new construction cannot occur without simultaneous 
elimination of smaller, less-efficient facilities. While this policy 
may be beneficial in the long run by increasing the use of 
energy-efficient, clean technologies; in the short-term, it does 
little to alleviate supply constraints. 
 
------------- 
Winter's Toll 
------------- 
 
6. (U) January's severe winter storms exhausted power supplies and 
caused outages across China. Since Guangdong imports most of its 
power from other provinces, the results of the storm's aftermath 
continue to affect its power supply even though it was spared the 
most severe weather.  Snowstorms in western provinces cut the 
capacity of the West-to-East project to transmit electricity to 
Guangdong from 15 million kilowatts to 2.5 million kilowatts, 
according to Yuedan's Rao. In addition, severe conditions in 
Guizhou, Hubei, and Hunan provinces reduced Guangdong's supply by 
 
GUANGZHOU 00000175  002 OF 003 
 
 
another 6.3 million kilowatts of power. 
 
7. (U) In response to the winter supply constraints, the Yudean 
Group, which is responsible for one third of power generation in 
Guangdong and maintains a capacity of approximately 21 million 
kilowatts spread across several provinces, implemented an emergency 
action plan to counter wide-scale shortages.  Their plan included: 
-- utilization of all spare power generating units, 
-- suspension of all scheduled maintenance on generators, and 
-- close coordination with coalmines in northern China to ensure 
continued supply. 
In addition, local government instituted an action plan focused on 
coal transportation, which helped increase coal reserves in the 
province above "safe reserve" levels. 
 
------------------------- 
The Pending Summer Crisis 
------------------------- 
 
8. (SBU) Going forward, anxiety looms as south China prepares to 
enter the summer months, a peak season usually plagued by increased 
"brown-outs." Rao estimates that Guangdong's power shortage will 
reach 8 - 10 million kilowatts during this year's summer months. 
While the summer season presents its own set of problems under 
regular operating conditions, the aftermath of January's storms adds 
additional pressure. Construction to repair the damage to 
transmission lines feeding into Guangdong province continues. The GD 
ETC estimates that the damage won't be fully repaired until the 
second half of the year. In addition to weather damage, increased 
residential-level consumption of power as more homes acquire air 
conditioners is expected to amplify the problem. 
 
----------------------------------------- 
Price Controls - The Elephant in the Room 
----------------------------------------- 
 
9. (SBU) In addition to weather-related challenges, the issue of 
price continues to be the 'elephant-in-the-room' for policy-makers 
sorting through possible solutions for the growing crisis, according 
to Mo. While market prices of coal and other fuels increase, the 
government continues to cap domestic electricity prices in order to 
check inflation. The growing gap in market versus retail prices has 
forced some power generating companies to cut supply, sometimes 
rationing output to counter dwindling profit margins. Continued 
public pressure means low power costs will likely remain a policy 
priority. However, Guangdong ETC's Mo told us that his agency will 
work with the pricing officials to raise the price of electricity 
generated by liquefied natural gas (LNG) to address the gap between 
output prices and production costs. 
 
--------------------------------------------- ----- 
Taking Action: Plans to counter increasing outages 
--------------------------------------------- ----- 
 
10. (SBU) The Guangdong provincial government has implemented a 
variety of new policies to reduce outages, focused primarily on 
limiting power consumption by energy inefficient, polluting 
enterprises. During peak consumption hours, many of these 
enterprises are cut from the power grid.  Others are only allowed to 
operate four days a week, a practice known as "peak-load shifting." 
Mo emphasized that this practice is based on national policy 
directives. In the past many of these corporations have also been 
charged more for electricity, essentially creating an informal tax 
for inefficiency. 
 
11. (SBU) The GD ETC claims that enterprises do not object to this 
practice.  Mo said one possible reason may be the use by some 
enterprses /f!priv`dgly-owned dIe3el gendrcosc Awq su{tip5|d-JltrkNgtk-as8uHa/(sep0liewyru$#}tQ 5bgwwdq.yuun,#tj%