China Cancels 103 Coal Power Plants; Still Has Too Much Coal Capacity

The cuts mean that China is on target to meet its coal power generation limit for year 2020. But even with the cancellations, China will have surplus coal power resulting in underutilization of renewable power due to preference for coal by utilities.

2 minute read

January 20, 2017, 9:00 AM PST

By Irvin Dawid


Jiujiang power plant

humphery / Shutterstock

The massive cancellations follows the announcement last August that coal usage in the world's most populous and greenhouse-gas emitting nation peaked in 2014.

"The cancellations make it likelier that China will meet its goal of limiting its total coal-fired power generation capacity to 1,100 gigawatts by 2020," reports Michael Forsythe for The New York Times.

Too much coal power

That huge figure, three times the total coal-fired capacity in the United States, is far more than China needs. Its coal plants now run at about half of capacity, and new sources of power, like wind, solar and nuclear, are coming online at a fast clip.

The canceled projects, some under construction, would have contributed 120 gigawatts of power. "The new announcements are in addition to cancellations detailed last year," adds Forsythe. 

The 2020 target was set in November as part of a new five-year plan that limits coal to 55 percent of total electrical power generation.

"Overcapacity in coal power has pitted renewable energy and coal against each other in the grid and led to a substantial proportion of renewable power generation being wasted...," reported Lauri Myllyvirta for Energy Desk Greenpeace.

"Grid operators often favor power generated from coal plants over that made by wind and solar, and despite the cuts, China is still building far more capacity than it needs, " adds Forsythe. Furthermore, he casts doubt on whether some of the cancellations will actually be done.

Earlier, Forsythe reported on China investing "$360 billion on renewable energy by 2020," and contrasts that investment with the attitudes of President Trump and his environment and energy cabinet appointments, Scott Pruitt and Rick Perry, respectively, toward climate change. The result: "jobs that would have been created in the United States may instead go to Chinese workers."

Hat tip to David Underwood

Related in Planetizen:

Wednesday, January 18, 2017 in The New York Times

Young Professional

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban and Environmental Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban and Environmental Planner

Get top-rated, practical training for planners

Overlapping highways

The state-sanctioned urbicide of Austin

People don’t kill cities. Freeways do.

September 8, 2026 - Benjamin Schneider

The Hoover Dam blocking the Colorado River. The river's water level is noticeably low. The cliffs surrounding the blue water are brown and jagged.

US to reduce Colorado River water deliveries to Mexico

A new Colorado Treaty amendment reduces Mexico’s Colorado River water allocation by 250,000 acre feet.

September 11, 2026 - The Arizona Republic

Skyscrapers in Jersey City.

New Jersey’s second-largest city bans standalone data centers

Jersey City will continue to allow co-location facilities, such as those meant for research institutions that store their own data.

September 4, 2026 - The Cool Down

A New Jersey train approaches people waiting at the station.

Amtrak not solely to blame for New Jersey commuter rail's unreliability, report finds

A new study from the Garden State Initiative found that NJ Transit’s budget grew 20% across a 4 year period, but reliability declined significantly over the same period.

September 15 - Mass Transit

A tall, gray power plant billows smoke into a blue sky.

EPA erases limits on planet-warming pollution from power plants

Under Monday’s plan, power plants would still have some limits on how much mercury, arsenic and other contaminants they can emit.

September 15 - New York Times

A white RAPID bus. The lower half is light blue, and says RAPID in purple text. The bus is half visible, appearing from the left side of the image.

Phoenix announces new on-demand transit service, more frequent RAPID buses

Both new services will launch in October, and are part of Phoenix's Project Effective Access Solutions for Easing Congestion.

September 15 - KJZZ

FREE Course: Walkable City 1: Why Walkability?

After describing his path towards focusing on walkability as the essence of good planning, Jeff Speck marches through his five principal reasons for making more walkable places.

Reinventing Malls: Planning Alchemy—Turning Gray Fields Into Gold

The course focuses on the opportunities and imperatives that shape reinvention of mall sites.