China has warned that the country faces another power shortage this winter as coal prices soar and a severe drought hits hydropower plants.

The shortfall could reach 26 million kilowatts in the coming months, with southern and central areas hardest hit due to the lack of coal and water in those regions, the State Electricity Regulatory Commission said Thursday.

Power outages and rationing have been imposed in a total of 17 provinces this year and shortages could worsen if the coal supply is not increased or the weather turns bitterly cold, commission spokesman Tan Rongyao said.

China relies on coal for nearly 70 percent of its energy needs, which have soared in recent years along with the country's blistering economic growth.

Tan said the government needed to raise electricity prices paid by utility companies to encourage power plants to increase production and speed up reform of retail prices, which are tightly controlled by the government.

Power shortages are common in China during the summer and winter months when demand soars, often leading to a supply squeeze of diesel as factories turn to generators to keep production lines operating during blackouts.