The Coal Hub
No Result
View All Result
  • Login
  • Premium Content
    • All
    • Climate & Technology
    • Coal Fired Generation
    • Coal Market Outlook
    • Coal Regions
    • Coal Trade
    • Economic Impact
    • Met / Coking Coal
    • Others
  • Blog
  • Events
  • Industry Links
    • Coal Consultants
    • Coal Industry Association
    • Coal Industry News
    • Coal Price & Market Information
    • Government Organisation
    • Think Tank
    • Coal Company
  • Newsletter
  • Videos
  • Other Hubs
    • EUROPEAN GAS HUB
    • GLOBAL LNG HUB
    • GLOBAL MARITIME HUB
  • Subscribe
  • My account
  • Login
SUBSCRIBE
  • Premium Content
    • All
    • Climate & Technology
    • Coal Fired Generation
    • Coal Market Outlook
    • Coal Regions
    • Coal Trade
    • Economic Impact
    • Met / Coking Coal
    • Others
  • Blog
  • Events
  • Industry Links
    • Coal Consultants
    • Coal Industry Association
    • Coal Industry News
    • Coal Price & Market Information
    • Government Organisation
    • Think Tank
    • Coal Company
  • Newsletter
  • Videos
  • Other Hubs
    • EUROPEAN GAS HUB
    • GLOBAL LNG HUB
    • GLOBAL MARITIME HUB
  • Subscribe
  • My account
  • Login
The Coal Hub
No Result
View All Result
Home Coal Prices

China power houses can raise charges starting Oct 15

Editor by Editor
1 year ago
min read2 min
China power houses can raise charges starting Oct 15
Share on FacebookShare on TwitterShare on Linkedin

China’s coal-fired power houses will be allowed to execute the 20% fluctuation in their charges against the base price to non-essential use starting October 15, according to an announcement by China’s National Development and Reform Commission (NDRC) announced on October 12, which is just one week after the remarks by the Chinese Premier Li Keqiang at the State Council executive meeting on October 8 to help ease power supply crunch in China.

RELATED POSTS

StableCoin

Russia considers launching stablecoins to settle export supply payments

3 days ago
World-coal-market

World coal market: brief overview

3 days ago
Pacific coal prices retain record premium over Europe

Pacific coal prices retain record premium over Europe

4 days ago

The new fluctuation limit, thus, will abolish the existing pricing scheme since 2019 that is with a maximum discount at 15% or the increment at 10% at the most, and the charges to China’s energy-intensive enterprises including non-ferrous metal smelters and steelmakers are limitless, as reported.

The new pricing is expected to more accurately and timely reflect the changes in the fundamentals and generation costs, which hopefully will motivate coal-fired power houses to generate more electricity and at the same time curb those irrationally higher power demand, Peng Shaozong, deputy head of department of price, NDRC’s commented at a press conference on October 12.

No limit on power charges among the power-intensive enterprises is expected to propel them to accelerate technological upgrading, enhancing power consumption efficiency and industrial restructuring and evolving, Wan Jinsong, head of the department of price, NDRC, added at the press conference.

Recently, surges in electricity charges in some countries and rising energy costs have been a global phenomenon, he acknowledged, and as for China, it has been facing persistent supply tightness in power and coal supplies and some areas have adopted power rationing.

Meanwhile, about 44% of the power consumption by industrial and commercial enterprises are paid market prices, and the new policy will not increase costs much for the ones that consume comparatively low power in production as power charges account for only a small proportion of their total cost, according to the officials, and local authorities are allowed to implement preferential policies on small- or micro-sized enterprises and self-employed personnel.

With the new pricing policies not to apply to essential needs including households and agriculture, it will not impose any direct impact on China’s Consumer Price Index (CPI), and its impact on Producer Price Index (PPI) may not be substantial either, as more power supply will lead to higher production of industrial and consumer goods, helping to stabilize commodities prices in turn, according to Peng.

China’s steel production, however, may not increase much, according to a Shanghai-based economist, as “Beijing is determined to reduce steel output on year for 2021, and power rationing due to supply tightness is just one of the curbing measures, and others will still be in place and more than sufficient to offset any possible increases in steel production because of more power supply,” he added.

So far, China’s thermal coal price has appeared very resilient and this may lead to higher electricity charges by the coal-fired power houses, as by October 13, the most-traded January 2022 thermal coal contract on Zhengzhou Commodity Exchange in Central China’s Henan hit a new high, closing the daytime trading session at Yuan 1,562.8/t ($242.3/t), or up 5% from the prior day’s settlement price.

Source: Sean Xie and Hongmei Li

Tags: China coalChinese coal demandMysteel
Editor

Editor

Related Posts

StableCoin
Coal Demand

Russia considers launching stablecoins to settle export supply payments

3 days ago
World-coal-market
Coal Demand

World coal market: brief overview

3 days ago
Pacific coal prices retain record premium over Europe
Coal Prices

Pacific coal prices retain record premium over Europe

4 days ago
Global coal consumption: not dead (yet)?
Coal Demand

Global coal consumption: not dead (yet)?

5 days ago
Coal-production-in-Kuzbass
Coal Demand

Coal production in Kuzbass down 8% in 2022

1 week ago
World-coal-market
Coal Demand

World coal market: brief overview

1 week ago

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

No Result
View All Result

Trending Posts

Russian-coal-imports

China sharply increased Russian coal imports in 2022

January 20, 2023
EU-coal

EU coal’s steep discount to Pacific suggests muted demand

January 13, 2023
World-coal-market

World coal market: brief overview

January 13, 2023

Recent Post

StableCoin

Russia considers launching stablecoins to settle export supply payments

February 3, 2023
World-coal-market

World coal market: brief overview

February 3, 2023
Pacific coal prices retain record premium over Europe

Pacific coal prices retain record premium over Europe

February 2, 2023
Global coal consumption: not dead (yet)?

Global coal consumption: not dead (yet)?

February 1, 2023
Coal-production-in-Kuzbass

Coal production in Kuzbass down 8% in 2022

February 1, 2023
World-coal-market

World coal market: brief overview

January 27, 2023

The Coal Hub is an online platform for sharing analysis and information about the global coal market  more info

Categories

  • Coal Market Outlook
  • Coal Trade
  • Met / Coking Coal
  • Coal Fired Generation
  • Coal Regions
  • Climate & Technology
  • Economic Impact

Recent Posts

Russia considers launching stablecoins to settle export supply payments

World coal market: brief overview

Pacific coal prices retain record premium over Europe

Energise your Friday!

Sign up to receive our weekly newsletter (each Friday) with new coal market reports, presentations & analysis.

By signing up, I agree to our TOS and Privacy Policy.

© 2020 TheCoalHub | All Rights Reserved

No Result
View All Result
  • Premium Content
    • All
    • Climate & Technology
    • Coal Fired Generation
    • Coal Market Outlook
    • Coal Regions
    • Coal Trade
    • Economic Impact
    • Met / Coking Coal
    • Others
  • Blog
  • Events
  • Industry Links
    • Coal Consultants
    • Coal Industry Association
    • Coal Industry News
    • Coal Price & Market Information
    • Government Organisation
    • Think Tank
    • Coal Company
  • Newsletter
  • Videos
  • Other Hubs
    • EUROPEAN GAS HUB
    • GLOBAL LNG HUB
    • GLOBAL MARITIME HUB
  • Subscribe
  • My account
  • Login

© 2020 TheCoalHub | All Rights Reserved

Welcome Back!

Login to your account below

Forgotten Password?

Create New Account!

Fill the forms bellow to register

All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept”, you consent to the use of ALL the cookies.
Cookie settingsACCEPT
Manage consent

Privacy Overview

This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. But opting out of some of these cookies may affect your browsing experience.
Necessary
Always Enabled
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Non-necessary
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.
SAVE & ACCEPT

Energise your Friday!

Interested in coal markets? Do you want our free email each FRIDAY with at least 3 new COAL reports & presentations?

Are you sure want to unlock this post?
Unlock left : 0
Are you sure want to cancel subscription?