China’s power crunch may derail support for sustainable investment

Facing an energy shortage, Beijing’s decision to loosen restrictions on coal production suggests a backtrack on the environmental initiative that ESG investors had set their sights on.

Amid efforts to navigate a global trade recovery while the pandemic is endured, international manufacturers are encountering logistical issues, component shortages, and rising operating costs. But others are witnessing an even more pronounced emergency their machines will not turn on.

The current energy shortage and spike in electricity prices is becoming a burden not only for industrial activity, but for public wellbeing. While much of this crisis stems from robust demand as economies reopen, limited supply is the main culprit.

Increasing energy availability is engulfed by both environmental and political challenges. The call to shift away from coal and other high-polluting sources has grown louder amid a...

¬ Haymarket Media Limited. All rights reserved.

FinanceAsia has updated its subscription model.

Registered readers now have the opportunity to read 3 articles from our award-winning website for free.

To obtain unlimited access to our award-winning exclusive news and analysis, we offer subscription packages, including single user, team subscription (2-5 users), or office-wide licences.

To help you and your colleagues access our proprietary content, please contact us at [email protected], or +(852) 2122 5222

Share our publication on social media
Share our publication on social media