A strain in China's power supply tends to ease to a certain extent but the whole situation remains stark in 2005, with the toughest period being set in the summer season, according to Liu Zhenya, general manager of the State Grid Corp. of China on Friday.

The greatest power shortage might climb to about 25 million kilowatts, Liu, a deputy to the National People's Congress (NPC), told Xinhua on the sidelines of the top advisory's annual session.

Overall, he said, the power crunch in China is expected to be alleviated to some extent compared with 2004, but power shortfall on the whole will remain "protruding" in eastern and northern China, while supply and demand will reach "basic balance" in other regions.

Insufficient coal supply would go on plaguing the power industry, Liu said.

Earlier sources from the State Grid Corp. said China plans to invest 207 billion yuan (about 25 billion US dollars) this year to upgrade and build up the nationwide power grid.

Energy demand in the economically advantaged eastern and central China account for about three-fourths of the country's total demand, while coal and water resources, the leading sources for power generation, are distributed mainly in western and northern parts.

"The use of energy resources should be optimized on a nationwide scale," Liu Zhenya acknowledged.

Twenty-four out of China's 31 provinces, municipalities and autonomous regions imposed power cuts and frequent blackouts last year as the country's power demand soared amid robust economic growth.

Source: Xinhua