But production almost stopped in mid-December, when local officials turned off the lights.
Ma Hairu, who works for a manufacturer that makes paper decorations for Christmas and New Year, said his factory was struggling to meet demand because they could only work part time. “We have a lot of orders, but we don’t have enough time to place them,” he said.
Officials in China’s Zhejiang province are rushing to meet the five-year energy consumption targets set by the central government that are due to expire on December 31. Earlier this month, a local directive instructed companies to stop the elevators below the third floor and use only heating when outside temperatures dropped below 3 degrees Celsius (37 degrees Fahrenheit).
“There is no shortage of electricity [in Zhejiang]. Some parts of the province have taken measures to restrict the use of electricity to save energy and reduce emissions, “said Zhao Chenxin, secretary general of the National Development and Reform Commission (NDRC), on Monday.
The effort to reduce energy consumption has disrupted millions of lives. In Yiwu, a city of one million people, heating was turned off in offices, shopping malls, schools and hospitals, despite daytime temperatures of around 10 degrees Celsius (50 degrees Fahrenheit).
Zhejiang’s sharp cut in electricity consumption highlights the strength and pitfalls of China’s political system. While the Communist Party can make ambitious promises to cut carbon emissions, vigorous implementation of targets can come at a cost to the people they should benefit from.
“A difficult year”
Some accused the Yiwu government of sacrificing public security to check a box on a political bulletin.
After the online reaction, employees turned some lights back on. “The lights were off for just a few days. Most of them have been turned on now,” a government hotline operator told CNN on Wednesday.
But other restrictions remain in place. Yin Mingfei, a cafe manager at a shopping mall in the city’s central business district, said the heating had been turned off almost two weeks ago and that the electronic advertising billboards and escalators were not working.
The city’s factories and workshops, whose business already suffered from the coronavirus pandemic earlier this year, were ordered to reduce or stop production at a time of flooding orders.
December would have been the busiest time of the year for Liu Lei, who runs a small workshop with his wife in a suburb of Yiwu, making red envelopes for the Lunar New Year. But he was ordered to work two days, two days off until the end of the year to save energy.
“Of course the impact [on my business] It is huge. Red envelope orders are coming, but I can’t do enough, “said Liu.” So, I had to refuse some. “
Goal-oriented political culture
Similar conflicts have occurred in the past – on a much larger scale and for many more months. In 2010, the last year of China’s 11th five-year plan, Zhejiang and more than half a dozen other provinces implemented measures to restrict electricity use.
“This is common in China. It is the result of a goal-oriented political culture,” said Trey McArver, a partner at Beijing-based consultancy Trivium.
Without democratic elections, most Chinese officials move up the political career in a performance-based assessment system, in which the goals of economic growth, social stability and, increasingly, environmental protection play an important role in their chances of promotion.
Under Xi’s authoritarian regime, local authorities are placed under even more pressure – filtered from the central government – to meet Beijing’s political goals, such as those set out in the country’s five-year plans.
The five-year plans are a legacy of China’s command economy during the Mao era. These high-level policy plans set the country’s social and economic development goals for the next period. The 13th five-year plan covers 2016 to 2020.
Competing targets
The province can only consume the equivalent of 23.8 million tons of coal above 2015 to 2020 levels, however, there are indications that it was using a lot.
The problem with the goals is that there are often more than one for the authorities to meet and are not always complementary, said McArver, the consultant. “The reason why there is a struggle to meet these goals here in the end is because the local authorities have mainly focused on other goals as of now,” he said, such as growth in GDP, employment and government revenues.
The outages due to the coronavirus initially helped emissions targets, analysts say, but the rush to revive the economy has delayed it. China’s rapid economic recovery after the pandemic was heavily based on heavy energy-intensive industries, said Li Shuo, a senior climate policy adviser at Greenpeace East Asia.
For manufacturers in Yiwu, there was also a recovery in production, after an increase in orders after the summer. But it was short-lived.
Ma, who makes and sells festive decorations, said it was a particularly difficult year for businesses, first because of the pandemic and now because of electricity restrictions.
“We used to have a revenue of more than one million yuan ($ 150,000), but with all the disruptions this year, we really don’t know how much we can make,” he said.