China asks miners to sign more long-term thermal coal contracts: NDRC



Source: REUTERS

China’s state planner said on Monday it expects natural gas shortages in some regions during the summer as demand keeps growing strongly, and is asking coal mining companies to sign more medium to long-term agreements for supplying thermal coal to coal-fired power plants.

It expects power shortages in some parts of northern, eastern and central China as electricity consumption expanded 9.3 percent during the first four months this year, 2.6 percentage points faster than a year ago, the National Development and Reform Commission said in a statement.

Thermal coal use grew 12 percent in the first four months compared with the same period of last year, a growth rate rarely seen over the last decade, the NDRC said.

The planner also encourages major coal producers in the Shanxi, Shaanxi and the Inner Mongolia region to step up coal production, it said

The NDRC also asks nuclear and hydropower generators to boost their utilisation rates, it said.

Source: REUTERS