Report from China
Hazel O`Leary`s recent trip to China as head of a Presidential trade mission confirmed two things: significant opportunities exist for US electric companies to do business with one of the world`s largest producers and consumers of energy; but this high potential will be no quick sell. China currently has about 180 GW of installed generating capacity and has plans to increase this to about 300 GW by 2000 and 800 GW by 2020. About 25% of that new capacity is expected to be provided by foreign investors. This is an area where US electric companies have the world-class technology and expertise the Chinese want. The Chinese government also expressed the need to refurbish many existing and small-scale generating plants - representing about 20,000 megawatts - and to install new environmental control technologies. The Chinese transmission and distribution systems require upgrade and expansion to meet the country`s growing demand and to develop further China`s integrated system network. US companies can play a major role in addressing these needs. But, US companies must compete diligently with those from other nations, especially Japan, Canada, Germany, and France. The Chinese market, while opening up to foreign investment, particularly in the energy sector, is still in the early phase of developing market-oriented policies and institutions. Those US companies willing to make a long-term commitment to develop working relationships with their Chinese partners will fare best.
- OSTI ID:
- 86705
- Journal Information:
- Electric Perspectives, Journal Name: Electric Perspectives Journal Issue: 4 Vol. 20; ISSN ELPED9; ISSN 0364-474X
- Country of Publication:
- United States
- Language:
- English
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