China’s fossil-fuelled power generation surged to its highest level since August 2024 in July, driven largely by record-breaking heatwaves that pushed electricity demand to all-time highs, according to the National Bureau of Statistics.
Thermal power, which is mostly generated from coal with some natural gas, rose 4.3% year-on-year to 602 billion kilowatt-hours (kWh). Demand typically peaks in summer and winter, but July’s spike came as hydropower output, the country’s second-largest energy source, dropped 9.8% from last year due to drought-reduced water inflows.
Despite July’s increase, fossil-fuelled power generation is still trending lower for 2025, down 1.3% in the first seven months compared to 2024, as renewable energy sources like wind and solar continue to grow. Overall, China’s total power generation in July rose 3.1% year-on-year to 926.7 billion kWh.
