While we in the West view China as an economic power house they do have their problems, notably with power.


It seems that one of the things that is hindering their economic growth is insufficient coal stocks and that is causing frequent power cuts. China Daily [1] reports that residents and key sectors will be given priority for electricity supplies, but that leaves some businesses out on a limb suffering power blackouts that can last several hours.

"It's very annoying to alter production plans because of the power crunch," said Xu, deputy general manager of Cixi Henghui Chemical Fiber Co to China Daily. Each blackout can last about 12 hours, he said, and results in a 60,000 yuan ($9,200) loss, which is a substantial amount for a company that employs 120 people.

This may be why China now spends the equivalent of billions of dollars every year on green energy projects, which is twice as much as the US in second place.

The BBC reports that with the population of Asia expected to grow at twice the US and European rate over the next five years, their economic growth will be four times that of the West. This will lead to a 76% increase in energy demand over the next 20 years according to the IMF.

This will make the push to green technology ever more important across Asia, which will require huge amounts of investment money to bring about.

China has already started a five year economic plan that has strict green requirements at its core, but what of the rest of Asia?

According to Business World, 'Clean technology investors are eyeing Southeast Asia with increasing interest as opportunities grow in the region'. China and India are leading the green revolution in Asia it says, but other countries such as Indonesia, Thailand, Malaysia, Singapore and Vietnam look set to grow and offer good green investment opportunities.

So maybe there's a chance for investors to clean up in Asia while cleaning Asia up.

[1] http://europe.chinadaily.com.cn/business/2011-05/10/content_12478538.htm

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