Industry And Cluster | News & Insights

China’s coal production expands to fulfil electricity shortages as the government implements new policies

Published: October 22, 2021
Author: Manali bhanushali

According to the National Development and Reform Commission, the country’s main economic regulator, China’s coal supply appears to be improving, with total production reaching the highest high this year as a result of government steps to raise output despite electricity shortages. Recently, average daily coal production topped 11.5 million tonnes, an increase of more than 1.2 million tonnes since mid-September.
Coal mines in Shanxi, Shaanxi, and the Inner Mongolia autonomous region produced an average of 8.6 million tonnes per day, a new high for this year, according to the NDRC. According to state-controlled media reports, it stated that coal production will continue to expand and that demand for coal used to generate electricity and heat will be adequately ensured.
At a recent news briefing, NDRC Secretary General Zhao Chenxin stated that energy supply can be ensured this winter and spring. Along with assuring energy supply, the government would ensure that China’s targets of peaking carbon dioxide emissions by 2030 and reaching carbon neutrality by 2060 are met, he stated. Since September, 153 coal mines have been allowed to increase production capacity by 220 million tonnes per year, with some already increasing output, with expected newly enhanced output reaching more than 50 million tonnes in the final quarter, according to the NDRC.
The government also designated 38 coal mines for immediate use in order to ensure supplies, and enabled them to raise manufacturing capacity on a regular basis. The 38 coal mines’ total yearly production capacity will be 100 million tonnes.
Furthermore, the cabinet has enacted the use of land for more than 60 coal mines, which could assist ensure an annual output capacity of more than 150 million tonnes.

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