China's thermal coal supply will be guaranteed during Lunar New Year, NDRC Viewpoint,  Thermal Coal 2018-02-12 17:02:00

Thermal coal supply for electricity generation purpose will be guaranteed and power consumption won't be affected during the Lunar New Year holiday, China's top economic planner the National Development and Reform Commission (NDRC) said with confidence in a press conference on February 11.


With the coldest time of the year passing away and most industrial plants going on holiday, power tightness will be eased during the holiday that starts from February 15 to 22, said Meng Wei, spokesman with the NDRC. 

Photo – Miners are preparing at a coal mine in Datong, Shanxi province

Driven by good economic development and fast-growing production in the industrial sector, China's power usage increased 6.6% year on year to 6,307.7 TWh in 2017, while thermal coal consumption also rose by 8%, said Meng, citing data from the National Bureau of Statistics.


After large-scale blizzards hit the country for twice in the first two months this year, especially Hubei, Anhui, Hunan, Henan, Jiangxi and Jiangsu in the eastern and central regions, temperature approximated or even broke the historic lows in many places.


Affected by this, China's power consumption kept soaring during the months and drove coal burn to high levels.


According to Fenwei data, daily coal consumption averaged 755,420 tonnes in January at coastal power plants under the six major generators, up 5.57% from December and 23.21% from January in 2017.


By late-January, coal stocks decreased 11.4% compared with the same period last year at major power plants across the country, only enough to support less than 15 days of use on average.


Some power plants just had two or three days of coal stocks during the most stressful time in the central and eastern regions.


To meet the soaring demand and ease supply shortage, the NDRC as well as other departments has stepped up a series of efforts, including boosting coal output in major production provinces and prioritizing long-term contract coal transport.


The NDRC said coal production surged over 30% and 50% year on year in Shanxi and Shaanxi in January, while coal sales in the month increased more than 20% in Ordos, Inner Mongolia.


In January, the country's daily average coal shipment by railway increased 10% or above, with thermal coal jumping nearly 20% from a year ago.


With the efforts from all parties, coal supply shortage has been alleviated greatly. In February, coal supply for power plants were seen grow significantly. In February 2-8, daily coal supply averaged 6.32 million tonnes across the country, up 7% from late January; daily coal consumption averaged 6.15 million tonnes, down 5%.


By February 11, the six coastal generators' coal stocks have climbed to 13.02 days of use, for the first time exceeding 13 days since January 24. 

(Writing by Alex Guo  Editing by Tammy Yang)
For any questions, please contact us by or +86-351-7219322.

Share this article
Connect with us

Editors Recommendations

1 Chinese traders concerned about policy risks on domestic thermal coal price 2018-05-21

Chinese traders are worried that the red-hot domestic thermal coal market may cool down abruptly as signs have shown, according to market sources based at northern ports. A trader in Hebe

2 Weekly China coal market news summary (May 14 – May 18) 2018-05-18

China's May coal imports may stay stable from Apr China's coal imports in May are expected to stay stable from the level recorded in April this year, as relevant authorities seemed to be less

3 Shanxi coking coal market steady, some grades firm up 2018-05-18

Coking coal market remained stable in China's coal-rich Shanxi province at present, while some coal types seemed to have firmed up in some regions of the province, said market sources. Co

4 Chinese traders wary of thermal coal imports on high prices 2018-05-18

Chinese traders became more wary of thermal coal purchase from overseas market, sources said, as wide spread between offers and bids impeded trades and raised more concerns about the import market.

5 Big adjustments looming in China coal transport layout 2018-05-18

China's coal transport structure is set to undergo great changes, especially for destinations in Beijing, Tianjin and Hebei in the north, as the country fights a battle against air pollution.

6 China's Hebei province to remove some solar subsidies next year 2018-05-18

China's northern Hebei province will phase out subsidies paid to some newly-built solar power plants from January next year, an official from the local pricing bureau told Reuters on May 17, part of

7 China's top 3 provinces contribute 67.5% of raw coal output in Jan-Apr 2018-05-17

Northern China's Inner Mongolia, Shanxi and Shaanxi produced 67.5% of the country's total raw coal in the first four months, showed data from the National Bureau of Statistics (NBS). On M

8 Chinese authorities may ease coal import limits to curb growing prices, sources 2018-05-17

Chinese authorities are studying over preferential policies for coal imports directly supplying to utilities, Economic Information Daily reported recently, citing sources that familiar with the inform

9 China's seaborne coal freight creeps up for two weeks on good demand 2018-05-17

Spurred by bullish sentiment over China's domestic thermal coal market, freight rates for coal shipment from northern ports to the southern and eastern China continued going up for two weeks.

10 China spot thermal coal market further ascends; worries linger on 2018-05-17

China's thermal coal market continued ascending at Bohai-rim ports following latest quick pick-ups, with offer prices jumping even higher on a lack of supply. Yet participants' worries over downside r

Most Read Articles

1 China Apr raw coal output up 4.1pct YoY, NBS 2018-05-15

China produced 293.3 million tonnes of raw coal in April, an increase of 4.1% year on year, showed data from the National Bureau of Statistics (NBS) on May 15. Over January-April, raw coa

2 China thermal coal market faces downward risks in short run 2018-05-16

Despite unexpected price rallies amid current slack season, China's thermal coal market at Bohai-rim ports is still facing downward risks in the short term, given little improvement of demand from uti

3 N Korea intends to export coal to China after a diplomatic breakthrough with US 2018-05-16

Some North Korean traders were offering low-price coal to Chinese traders and have stored up a number of cargoes at North Korean ports, expecting to deliver them over the border when a diplomatic brea

4 India's thermal coal imports rise over 15% in Q1 2018-05-14

India's thermal coal imports rose by more than 15% in the first three months of 2018, with Indonesia accounting for about three-fifths of total supplies, according to vessel arrival data from Dubai-ba

5 As temperatures soar, China coal traders bet on shortages 2018-05-17

China's thermal coal futures rose to a six-week high on May 16 as traders bet on a supply crunch as lower hydro power output and forecasts of a summer heat wave spurred expectations of rising demand f

6 China's May coal imports may stay stable from Apr 2018-05-15

China's coal imports in May are expected to stay stable from the level recorded in April this year, as relevant authorities seemed to be less strict in banning import coal following continuous price r

7 China's top 3 provinces contribute 67.5% of raw coal output in Jan-Apr 2018-05-17

Northern China's Inner Mongolia, Shanxi and Shaanxi produced 67.5% of the country's total raw coal in the first four months, showed data from the National Bureau of Statistics (NBS). On M

8 Intensified environmental crackdown may cause new capacity cuts in China coke industry 2018-05-14

A new round of capacity cutback may stage in China's coke-making industry, as increasingly stringent environmental checks force producers to limit output. The move was led by Xuzhou

9 Australian thermal coal offers remain high, weakening its price advantage 2018-05-14

Price advantage of Australian thermal coal weakened against Chinese domestic cargoes, after miners kept raising their offers in anticipation of bullish market in the short run. Chinese do

10 China Coal Daily Track (May 14) 2018-05-14

Thermal coal Domestic market Large mines in Shenmu and Fugu of Shaanxi reported marginal price rises of thermal coal amid low inventory and good sales, while some mines in Yuyang adjus