This via Natixis. The full report is gated but the summary is excellent, link here.
Three main reasons
(i) local governments' rush to comply with their emissions targets,
(ii) the supply-demand gap in coal and
(iii) price caps on electricity, which leaves demand unaffected by the increasing input costs in the supply of electricity.
This triple whammy is bound to lift producer prices in China, and possibly overall inflation, and drag on growth
Exporters of energy to China will benefit. Check out that link above for more.
