China is aiming to reach an installed nuclear capacity of 40GW by 2020 with investment funding of nearly $US50 billion, according to an article in The Australian.
CHINA has underestimated the amount of new power generation it will need to meet demand, according to a report that estimates an extra $US180 billion ($243 billion) will have to be spent by 2020.
International consultancy Capgemini has forecast that the country will need another 280 gigawatts of electricity generation by 2020, as well as the 950GW planned. The report, released yesterday, was compiled in conjunction with French utility EDF and the China Electricity Council.
Capgemini head of energy, utilities and chemicals, Colette Lewiner, said: "The China power market will require, on average, 48GW of new capacity every year, which is equivalent to two-thirds of the UK's total installed capacity." The report says the scale of investment needed presents an opportunity for foreign investors.
International equipment manufacturers such as GE and Alstom that could move manufacturing to China should benefit from the vast outlays in the sector, Ms Lewiner said.
Companies able to offer "clean coal" technology also had big opportunities, she said. Despite efforts to diversify fuels, the country will be heavily reliant on coal for its electricity, the report says. China wants to reduce the proportion of coal-fired generation from 73 per cent today to less than 60 per cent in 2020. However, Capgemini says coal-fired plants will still provide 71 per cent of supply in 2010 and 65 per cent in 2020.
"Our research has found that China is unlikely to reduce its dependence on coal in the near future, and that nuclear energy is, with hydropower and natural gas, an interesting option to adjust the power mix."
China is aiming to reach an installed nuclear capacity of 40GW by 2020 with investment funding of nearly $US50 billion. International companies such as Westinghouse and Areva are vying for contracts to build nuclear reactors in China.
Capgemini also found that global energy companies that could secure long-term supply contracts for natural gas for power generation had a good opportunity.
The study says China must further deregulate its electricity sector to attract foreign investment. Consolidation of national and local power companies must also take place to attract foreign investments, it says.
CHINA has underestimated the amount of new power generation it will need to meet demand, according to a report that estimates an extra $US180 billion ($243 billion) will have to be spent by 2020.
International consultancy Capgemini has forecast that the country will need another 280 gigawatts of electricity generation by 2020, as well as the 950GW planned. The report, released yesterday, was compiled in conjunction with French utility EDF and the China Electricity Council.
Capgemini head of energy, utilities and chemicals, Colette Lewiner, said: "The China power market will require, on average, 48GW of new capacity every year, which is equivalent to two-thirds of the UK's total installed capacity." The report says the scale of investment needed presents an opportunity for foreign investors.
International equipment manufacturers such as GE and Alstom that could move manufacturing to China should benefit from the vast outlays in the sector, Ms Lewiner said.
Companies able to offer "clean coal" technology also had big opportunities, she said. Despite efforts to diversify fuels, the country will be heavily reliant on coal for its electricity, the report says. China wants to reduce the proportion of coal-fired generation from 73 per cent today to less than 60 per cent in 2020. However, Capgemini says coal-fired plants will still provide 71 per cent of supply in 2010 and 65 per cent in 2020.
"Our research has found that China is unlikely to reduce its dependence on coal in the near future, and that nuclear energy is, with hydropower and natural gas, an interesting option to adjust the power mix."
China is aiming to reach an installed nuclear capacity of 40GW by 2020 with investment funding of nearly $US50 billion. International companies such as Westinghouse and Areva are vying for contracts to build nuclear reactors in China.
Capgemini also found that global energy companies that could secure long-term supply contracts for natural gas for power generation had a good opportunity.
The study says China must further deregulate its electricity sector to attract foreign investment. Consolidation of national and local power companies must also take place to attract foreign investments, it says.
