Service sector emerges as key driver of domestic energy demand

China's electricity consumption — a key barometer of economic activity — maintained steady growth in March, driven largely by a robust expansion in high-tech services and the green energy sector, official data showed on Monday.

According to figures released by the National Energy Administration (NEA) on Monday the country's total power consumption reached 859.5 billion kilowatt-hours (kWh) in March, representing a 3.5 percent increase compared to the same period last year.

The data highlights a resilient upward trend in domestic demand and a structural shift toward digital and sustainable industries.

The tertiary industry emerged as a significant driver of this growth. Power use in the service sector rose by 7.7 percent year-on-year to 160.1 billion kWh last month.

Within this sector, the burgeoning electric vehicle market and digital infrastructure displayed exceptional momentum. Power consumption by the charging and swapping service industry surged by 51.3 percent to 13 billion kWh, while internet data services saw a 40.1 percent jump to 8 billion kWh.

Residential power use also saw a healthy uptick in March, with urban and rural household consumption totaling 117.2 billion kWh, a 5.2 percent increase from a year earlier.

Cumulative data for the first quarter of the year paints a similar picture of tech-led growth. From January to March, power consumption in the tertiary industry reached 483.3 billion kWh, up 8.1 percent year-on-year. The charging and swapping sector and internet data services maintained their high-velocity growth during the three-month period, with increases of 53.8 percent and 44 percent, respectively.

Total residential power consumption for the first quarter reached 398.5 billion kWh, marking a 3.4 percent year-on-year increase, the data showed.