Chinese Utilities Face $20 Billion Costs Due to Water, BNEF Says
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China’s five largest power utilities are heavily exposed to water supply disruptions and face costs of as much as $20 billion to curb the risk, according to data compiled by Bloomberg.
The companies, which have more than 500 gigawatts in mostly coal thermal capacity, operate most plants in water-scarce regions and are set to exceed China’s 2030 water usage limits by 25 percent, according to a Bloomberg New Energy Finance report. Significantly reducing this risk will require a major policy effort and involve the replacement of gigawatts of capacity, it said.