IDEAS home Printed from https://ideas.repec.org/a/eee/enepol/v57y2013icp542-551.html
   My bibliography  Save this article

An analysis of China's coal supply and its impact on China's future economic growth

Author

Listed:
  • Wang, Jianliang
  • Feng, Lianyong
  • Tverberg, Gail E.

Abstract

Many people believe that China's economic growth can continue almost indefinitely. For a manufacturing-based economy such as China's to continue to grow, it needs an adequate supply of inexpensive energy. To date, this energy growth has primarily come from coal, but China's indigenous coal supplies are now falling short of the amount needed to support this growth. In this situation, the status of China's future coal supply will be very important for China's future economic development. Our analysis shows that China's ultimate recoverable coal reserves equal 223.6×109MT, and its production will peak between 2025 and 2030, with peak production of approximately 3.9×109MT. The extent to which China can import coal in the future is uncertain. With rising coal demand, this combination is likely to create a significant challenge to China's future economic development.

Suggested Citation

  • Wang, Jianliang & Feng, Lianyong & Tverberg, Gail E., 2013. "An analysis of China's coal supply and its impact on China's future economic growth," Energy Policy, Elsevier, vol. 57(C), pages 542-551.
  • Handle: RePEc:eee:enepol:v:57:y:2013:i:c:p:542-551
    DOI: 10.1016/j.enpol.2013.02.034
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0301421513001195
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.enpol.2013.02.034?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Patzek, Tadeusz W. & Croft, Gregory D., 2010. "A global coal production forecast with multi-Hubbert cycle analysis," Energy, Elsevier, vol. 35(8), pages 3109-3122.
    2. James D. Hamilton, 2009. "Causes and Consequences of the Oil Shock of 2007-08," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 40(1 (Spring), pages 215-283.
    3. Wang, Jianliang & Feng, Lianyong & Zhao, Lin & Snowden, Simon & Wang, Xu, 2011. "A comparison of two typical multicyclic models used to forecast the world's conventional oil production," Energy Policy, Elsevier, vol. 39(12), pages 7616-7621.
    4. Lutz Kilian, 2009. "Not All Oil Price Shocks Are Alike: Disentangling Demand and Supply Shocks in the Crude Oil Market," American Economic Review, American Economic Association, vol. 99(3), pages 1053-1069, June.
    5. Rong, Fang & Victor, David G., 2011. "Coal liquefaction policy in China: Explaining the policy reversal since 2006," Energy Policy, Elsevier, vol. 39(12), pages 8175-8184.
    6. Tverberg, Gail E., 2012. "Oil supply limits and the continuing financial crisis," Energy, Elsevier, vol. 37(1), pages 27-34.
    7. Lin, Bo-qiang & Liu, Jiang-hua, 2010. "Estimating coal production peak and trends of coal imports in China," Energy Policy, Elsevier, vol. 38(1), pages 512-519, January.
    8. Shealy, Malcolm & Dorian, James P., 2010. "Growing Chinese coal use: Dramatic resource and environmental implications," Energy Policy, Elsevier, vol. 38(5), pages 2116-2122, May.
    9. -, 2009. "The economics of climate change," Sede Subregional de la CEPAL para el Caribe (Estudios e Investigaciones) 38679, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    10. Tang, Xu & Zhang, Baosheng & Höök, Mikael & Feng, Lianyong, 2010. "Forecast of oil reserves and production in Daqing oilfield of China," Energy, Elsevier, vol. 35(7), pages 3097-3102.
    11. Wang, Jianzhou & Dong, Yao & Wu, Jie & Mu, Ren & Jiang, He, 2011. "Coal production forecast and low carbon policies in China," Energy Policy, Elsevier, vol. 39(10), pages 5970-5979, October.
    12. Lutz Kilian, 2008. "Exogenous Oil Supply Shocks: How Big Are They and How Much Do They Matter for the U.S. Economy?," The Review of Economics and Statistics, MIT Press, vol. 90(2), pages 216-240, May.
    13. Tao, Zaipu & Li, Mingyu, 2007. "What is the limit of Chinese coal supplies--A STELLA model of Hubbert Peak," Energy Policy, Elsevier, vol. 35(6), pages 3145-3154, June.
    14. Friedrichs, Jörg, 2010. "Global energy crunch: How different parts of the world would react to a peak oil scenario," Energy Policy, Elsevier, vol. 38(8), pages 4562-4569, August.
    15. Richard Heinberg & David Fridley, 2010. "The end of cheap coal," Nature, Nature, vol. 468(7322), pages 367-369, November.
    16. Curtis, Fred, 2009. "Peak globalization: Climate change, oil depletion and global trade," Ecological Economics, Elsevier, vol. 69(2), pages 427-434, December.
    17. Fantazzini, Dean & Höök, Mikael & Angelantoni, André, 2011. "Global oil risks in the early 21st century," Energy Policy, Elsevier, vol. 39(12), pages 7865-7873.
    18. Bashmakov, Igor, 2007. "Three laws of energy transitions," Energy Policy, Elsevier, vol. 35(7), pages 3583-3594, July.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Wang, Jianliang & Feng, Lianyong & Davidsson, Simon & Höök, Mikael, 2013. "Chinese coal supply and future production outlooks," Energy, Elsevier, vol. 60(C), pages 204-214.
    2. Ren, Yi-Shuai & Ma, Chao-Qun & Apergis, Nicholas & Sharp, Basil, 2021. "Responses of carbon emissions to corruption across Chinese provinces," Energy Economics, Elsevier, vol. 98(C).
    3. Tang, Erzi & Peng, Chong, 2017. "A macro- and microeconomic analysis of coal production in China," Resources Policy, Elsevier, vol. 51(C), pages 234-242.
    4. Sun, Sizhong & Anwar, Sajid, 2015. "R&D status and the performance of domestic firms in China's coal mining industry," Energy Policy, Elsevier, vol. 79(C), pages 99-103.
    5. Zhang, Yujiang & Feng, Guorui & Zhang, Min & Ren, Hongrui & Bai, Jinwen & Guo, Yuxia & Jiang, Haina & Kang, Lixun, 2016. "Residual coal exploitation and its impact on sustainable development of the coal industry in China," Energy Policy, Elsevier, vol. 96(C), pages 534-541.
    6. Wang, Changbo & Chang, Yuan & Zhang, Lixiao & Pang, Mingyue & Hao, Yan, 2017. "A life-cycle comparison of the energy, environmental and economic impacts of coal versus wood pellets for generating heat in China," Energy, Elsevier, vol. 120(C), pages 374-384.
    7. Zhaolong Ge & Kai Deng & Liang Zhang & Shaojie Zuo, 2020. "Development potential evaluation of CO2‐ECBM in abandoned coal mines," Greenhouse Gases: Science and Technology, Blackwell Publishing, vol. 10(3), pages 643-658, June.
    8. Hao Chen & Ling He & Jiachuan Chen & Bo Yuan & Teng Huang & Qi Cui, 2019. "Impacts of Clean Energy Substitution for Polluting Fossil-Fuels in Terminal Energy Consumption on the Economy and Environment in China," Sustainability, MDPI, vol. 11(22), pages 1-29, November.
    9. Su, Li-Wang & Li, Xiang-Rong & Sun, Zuo-Yu, 2013. "Flow chart of methanol in China," Renewable and Sustainable Energy Reviews, Elsevier, vol. 28(C), pages 541-550.
    10. Huadong Gao & Baifu An & Zhen Han & Yachao Guo & Zeyu Ruan & Wei Li & Samuel Zayzay, 2020. "The Sustainable Development of Aged Coal Mine Achieved by Recovering Pillar-Blocked Coal Resources," Energies, MDPI, vol. 13(15), pages 1-12, July.
    11. Bejbl, Jan & Bemš, Julius & Králík, Tomáš & Starý, Oldřich & Vastl, Jaromír, 2014. "New approach to brown coal pricing using internal rate of return methodology," Applied Energy, Elsevier, vol. 133(C), pages 289-297.
    12. Xibo Wang & Mingtao Yao & Jiashuo Li & Kexue Zhang & He Zhu & Minsi Zheng, 2017. "China’s Rare Earths Production Forecasting and Sustainable Development Policy Implications," Sustainability, MDPI, vol. 9(6), pages 1-14, June.
    13. Nong, Duy & Wang, Can & Al-Amin, Abul Quasem, 2020. "A critical review of energy resources, policies and scientific studies towards a cleaner and more sustainable economy in Vietnam," Renewable and Sustainable Energy Reviews, Elsevier, vol. 134(C).
    14. Wang, Qiang & Li, Rongrong, 2017. "Decline in China's coal consumption: An evidence of peak coal or a temporary blip?," Energy Policy, Elsevier, vol. 108(C), pages 696-701.
    15. Baskoro, Firly Rachmaditya & Takahashi, Katsuhiko & Morikawa, Katsumi & Nagasawa, Keisuke, 2021. "System dynamics approach in determining coal utilization scenario in Indonesia," Resources Policy, Elsevier, vol. 73(C).
    16. Yang, Guangfei & Li, Xianneng & Wang, Jianliang & Lian, Lian & Ma, Tieju, 2015. "Modeling oil production based on symbolic regression," Energy Policy, Elsevier, vol. 82(C), pages 48-61.
    17. Xu Tang & Benjamin C. McLellan & Simon Snowden & Baosheng Zhang & Mikael Höök, 2015. "Dilemmas for China: Energy, Economy and Environment," Sustainability, MDPI, vol. 7(5), pages 1-13, May.
    18. Kate Smith & Shuming Liu & Yi Liu & Dragan Savic & Gustaf Olsson & Tian Chang & Xue Wu, 2016. "Impact of urban water supply on energy use in China: a provincial and national comparison," Mitigation and Adaptation Strategies for Global Change, Springer, vol. 21(8), pages 1213-1233, December.
    19. Li, Chong-Mao & Cui, Tao & Nie, Rui & Lin, Han & Shan, Yuli, 2019. "Does diversification help improve the performance of coal companies? Evidence from China's listed coal companies," Resources Policy, Elsevier, vol. 61(C), pages 88-98.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Höök, Mikael & Tang, Xu, 2013. "Depletion of fossil fuels and anthropogenic climate change—A review," Energy Policy, Elsevier, vol. 52(C), pages 797-809.
    2. Hu, Yan & Hall, Charles A.S. & Wang, Jianliang & Feng, Lianyong & Poisson, Alexandre, 2013. "Energy Return on Investment (EROI) of China's conventional fossil fuels: Historical and future trends," Energy, Elsevier, vol. 54(C), pages 352-364.
    3. Wang, Jianliang & Feng, Lianyong & Davidsson, Simon & Höök, Mikael, 2013. "Chinese coal supply and future production outlooks," Energy, Elsevier, vol. 60(C), pages 204-214.
    4. Wang, Jianzhou & Jiang, Haiyan & Zhou, Qingping & Wu, Jie & Qin, Shanshan, 2016. "China’s natural gas production and consumption analysis based on the multicycle Hubbert model and rolling Grey model," Renewable and Sustainable Energy Reviews, Elsevier, vol. 53(C), pages 1149-1167.
    5. Fantazzini, Dean & Höök, Mikael & Angelantoni, André, 2011. "Global oil risks in the early 21st century," Energy Policy, Elsevier, vol. 39(12), pages 7865-7873.
    6. Zhang, Zhikai & Wang, Yudong & Xiao, Jihong & Zhang, Yaojie, 2023. "Not all geopolitical shocks are alike: Identifying price dynamics in the crude oil market under tensions," Resources Policy, Elsevier, vol. 80(C).
    7. Lutz Kilian, 2010. "Oil Price Shocks, Monetary Policy and Stagflation," RBA Annual Conference Volume (Discontinued), in: Renée Fry & Callum Jones & Christopher Kent (ed.),Inflation in an Era of Relative Price Shocks, Reserve Bank of Australia.
    8. Wang, Yudong & Liu, Li & Diao, Xundi & Wu, Chongfeng, 2015. "Forecasting the real prices of crude oil under economic and statistical constraints," Energy Economics, Elsevier, vol. 51(C), pages 599-608.
    9. Wang, Chengjin & Ducruet, César, 2014. "Transport corridors and regional balance in China: the case of coal trade and logistics," Journal of Transport Geography, Elsevier, vol. 40(C), pages 3-16.
    10. Basher, Syed Abul & Haug, Alfred A. & Sadorsky, Perry, 2012. "Oil prices, exchange rates and emerging stock markets," Energy Economics, Elsevier, vol. 34(1), pages 227-240.
    11. Joëts, Marc & Mignon, Valérie & Razafindrabe, Tovonony, 2017. "Does the volatility of commodity prices reflect macroeconomic uncertainty?," Energy Economics, Elsevier, vol. 68(C), pages 313-326.
    12. Filis, George & Degiannakis, Stavros & Floros, Christos, 2011. "Dynamic correlation between stock market and oil prices: The case of oil-importing and oil-exporting countries," International Review of Financial Analysis, Elsevier, vol. 20(3), pages 152-164, June.
    13. Radosław Puka & Bartosz Łamasz & Marek Michalski, 2021. "Effectiveness of Artificial Neural Networks in Hedging against WTI Crude Oil Price Risk," Energies, MDPI, vol. 14(11), pages 1-26, June.
    14. Caldara, Dario & Cavallo, Michele & Iacoviello, Matteo, 2019. "Oil price elasticities and oil price fluctuations," Journal of Monetary Economics, Elsevier, vol. 103(C), pages 1-20.
    15. Kilian, Lutz & Lee, Thomas K., 2014. "Quantifying the speculative component in the real price of oil: The role of global oil inventories," Journal of International Money and Finance, Elsevier, vol. 42(C), pages 71-87.
    16. Nooman Rebei & Rashid Sbia, 2021. "Transitory and permanent shocks in the global market for crude oil," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 36(7), pages 1047-1064, November.
    17. J. Isaac Miller, 2014. "Mixed-frequency Cointegrating Regressions with Parsimonious Distributed Lag Structures," Journal of Financial Econometrics, Oxford University Press, vol. 12(3), pages 584-614.
    18. Morana, Claudio, 2013. "Oil price dynamics, macro-finance interactions and the role of financial speculation," Journal of Banking & Finance, Elsevier, vol. 37(1), pages 206-226.
    19. Ahmadi, Maryam & Manera, Matteo & Sadeghzadeh, Mehdi, 2019. "The investment-uncertainty relationship in the oil and gas industry," Resources Policy, Elsevier, vol. 63(C), pages 1-1.
    20. Zeina Alsalman, 2023. "Oil price shocks and US unemployment: evidence from disentangling the duration of unemployment spells in the labor market," Empirical Economics, Springer, vol. 65(1), pages 479-511, July.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:enepol:v:57:y:2013:i:c:p:542-551. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/enpol .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.