Chinese Coal Industry Steps Into Production Control

China’s Shanxi province recently released its energy development strategic objectives for the next five years, which identified its goals on coal, according to China Daily. The strategic objectives said coal output will be controlled within the limit of 1 billion metric tons (mt) by 2020. Outbound coal will be controlled within the limit of 600 million mt, and the province’s energy consumption will be around 260 million mt of standard coal.

Also, Shenhua Group, China’s largest coal producer, will reduce output by 10.8% this year or 33 million mt of coal compared to 2014. Other coal giants like China Coal Energy and Datong Coal Mine Group also put out production limit plans.

Chinese coal production growth, which has already lasted 14 years, ended in 2014. According to the National Bureau of Statistics, in the past year, national raw coal output was 3.87 billion mt, down 2.5% year-on-year.

As featured in Womp 2015 Vol 04 - www.womp-int.com