China heads for power glut by late 2006

China’s frantic construction of power stations could lead to overcapacity in some areas late next year, easing regular power cuts suffered by businesses, according to a senior government official.

Zhang Guobao, a vice-minister at the national development and reform commission, China’s leading economic planning body, said the power shortages experienced by foreign and local businesses would “disappear in most places”.

…Shanghai, China’s commercial capital, will still suffer shortages into 2007, and Guangzhou, the southern manufacturing hub, for even longer, according to energy analysts.

Financial Times