China to Increase Coal Production by 300 Million Tons This Year

To Avoid Repeating Last Year's Strategy Shortages, Increase Measures
Criticism of Policies Against Carbon Neutrality... Price Stability Takes Priority

[Asia Economy Beijing=Special Correspondent Jo Young-shin] China has decided to increase coal production by 300 million tons compared to last year. China experienced a power shortage due to coal shortages in the second half of last year.

[Image source=Yonhap News]

According to Chinese media including Global Times on the 21st, China plans to increase coal production this year to stabilize supply. China has set a goal to secure more than 220 million kW of electricity through coal-fired power generation this year.

In this regard, Global Times explained that the authorities decided to increase coal production capacity to ensure energy supply.

Lin Bochang, director of the Energy Economics Research Center at Xiamen University, said, "The authorities are temporarily increasing coal production to avoid repeating last year's power shortage," and predicted that coal supply will be sufficient this year.

He added that the sharp rise in international energy prices due to external pressures such as the Russia-Ukraine war is also a reason for increasing coal production.

Chinese media are still pointing out that coal prices remain high.

Earlier, the National Development and Reform Commission (NDRC) of China limited the price of Qinhuangdao coal (for power generation) to 570-770 yuan per ton.

Wan Jin-song, director of the Price Department at the NDRC, stated, "Coal prices should be traded autonomously within an appropriate range," and added, "If prices go beyond the appropriate range, supervisory measures will be taken immediately."

Last year, when coal prices soared, the NDRC set an absolute upper limit on coal prices at 528 yuan per ton. This price ceiling will be applied until next month.

However, the Chinese government's expansion of coal production this time is criticized for contradicting carbon neutrality policies. The expansion of coal production by the Chinese government appears to be a desperate measure to stabilize prices.

This content was produced with the assistance of AI translation services.