Asia’s Big Winter Power Switch Averted as Inventories Expand
- Coal, natural gas inventories replenished in key Asian nations
- Gas-to-oil switching has been “underwhelming:” Energy Aspects
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Weeks of anxiety around a power squeeze in Asia this winter have been offset by mild weather and the restocking of coal and natural gas inventories, providing some respite ahead of the colder months.
Asia had been grappling with coal and natural gas shortages since the previous winter, but the crisis became more acute globally around October. That led to a raft of forecasts for additional oil demand on the grounds more crude and oil products would be used for power generation. The squeeze also led to surging coal and gas prices, making alternatives such as fuel oil more attractive.