SHANGHAI, Mar. 7 (SMM) -- SMM sources at the monthly meeting of the Shanxi Electric Power Company report electricity supply capacity in Shanxi province was 17.68-18.88 million kilowatts during February, and that the maximum electricity load will reach 19.22 million kilowatts in late March, still short of industry demand. In this context, Shanxi province will need to continue pre-holiday peak load shifting policies.

Sources report that total electricity consumption in Shanxi province was 13.682 billion kwh in January, up 6.69% YoY, and higher electricity consumption by large industries is responsible for a shortage of power in this province. Drought conditions have also persisted throughout the province during the winter and spring. Rainfall in Taiyuan city fell sharply by 86.1% compared with previous years and forced farmers to use irrigation and drainage facilities, which required power for pumps and caused an increase in agricultural electricity consumption by 54.7% YoY. 

SMM believes supply of electricity for industrial use post-holiday is still restricted, but any impact on production at aluminum processors is still limited since lower operating rates at those processors are mainly attributed to weak demand and labor shortages.    

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