China’s coal and natural gas production rose sharply in March. The country is scaling up nationwide production of fossil fuels to ensure it has enough energy. The war in Ukraine also plays a role. As a result, energy prices have risen even further.
Coal production increased by 15 percent compared to a year ago to 396 million tons. As a result, the Chinese statistics agency reported Monday that natural gas rose by more than 6 percent to 19.7 billion cubic meters.
China is also concerned about a new energy crisis that hit the country last year. There was temporarily too little coal to meet the energy demand at that time. That is also one of the reasons why the country is so committed to increasing coal production.
However, there are limits to that production increase, a top Chinese official from the coal industry recently warned. The additional production may not prevent another energy crisis in key industrial regions.
Crude oil production rose by nearly 4 percent to nearly 18 million tons. That is the highest level since December 2015, despite the decline in oil production due to the pandemic. China has been struggling with the revival of the coronavirus for some time, resulting in many places, including the metropolis of Shanghai, being in full or partial lockdowns.