Coal, power prices to rise this year
February 28, 2011
The China Energy Research Society (CERS) said China’s thermal power plants may suffer more losses this year as rising coal prices on global markets drive up domestic coal prices.
In a report, the CERS said, “The economic recovery around the world, especially in emerging economies, will boost coal demand and push up coal prices, and cause China’s coal prices to hike.”
It forecasts domestic prices of coal for power generation will rise by around RMB30 (US$4.50) per ton in comparison with last year.
According to the China Electricity Council, China’s power plants suffered total losses of RMB32.9 billion (US$5 billion) in 2010.
English.News.cn reports that the five largest power producers – China Huaneng Group, China Datang Group, China Huadian Group, China Guodian Corp and China Power Investment Corp – lost RMB 12.4 billion (US$1.89 billion) through their power plants.