China's industrial policy has reignited the debate about state
intervention in domestic economies. Few industries experience the
guiding hand of the state as intensively as the Chinese electricity
sector; a sector that has undergone radical change due to societal
rumblings over the state's hegemony in resource allocation. The term
'smart grid' encom-passes the technical and systemic reforms required
for structural change. This study examines the impact of political
intervention on power struggles in China's electricity sector through
the lens of steering theory. Document analysis and interviews shed light
on how steering and counter-steering strategies are developed to
influence policy design and its implementation in China's smart grid.