In 2005, China's energy consumption was 2.2 bn t standard coal equivalents, 11% more than in 2004. Due to an enormous demand growth in the basic industries, private households and the transport sector, between 2002 and 2004, China s energy consumption grew even faster than the gross domestic product (GDP). In 2005, the growth rate of energy consumption dropped under the GDP growth rate, mainly due to restrictions in the oil sector. Altogether, China's energy markets are unbalanced. On the demand side, bottlenecks, blackouts and energy rationing occurred. Middle-term, there might be a more balanced electricity and coal market due to considerable capacity additions in production and transportation initiated recently. Long-term all available forecasts predict a quantitative enlargement of China s energy markets.
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