Small coal mines to get go-ahead to restart output to ensure supply

Beijing will speed up approvals on production restarts at closed small coal mines to help ensure supply to power plants during the summer when electricity demand is expected to peak.

More than 10,000 small mines were shut this year because of safety concerns and severe snowstorms that caused flooding and disrupted transport.

The National Development and Reform Commission yesterday called on large and medium-sized coal mines to increase output while it will speed approvals on restarting production.

'Guaranteeing adequate supply of thermal coal to power plants should be the first priority as we head into the peak electricity season,' said the NDRC, the country's top economic planner. It also demanded power plants maintain no less than 15 days of coal stocks during the summer and the transport sector to make proper shipment plans.

Regions with more gas-fuelled power plants should also boost their gas stockpiles. NDRC said it would enforce control on over-expansion of high energy-consuming industries to curb 'unreasonable' electricity demand.

Coal feeds about 80 per cent of the country's power generation, and production at small mines accounted for about 38 per cent of coal output last year. Concern about shortages has been rising as stockpiles in some provinces are below a government-set level of seven days of supply.