Chinese Thermal Power Enterprises Survive in the Cracks

  • Tuesday, December 17, 2013
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  • Keywords:power,electricity
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[Ferro-alloys.com] In the past ten years, thermal power enterprises of China were constrained by consistently rising coal price and more and more strict atmospheric emission standard. On the point of sustainable development, thermal power enterprises could not bear the heavy burden of high coal price any more.
 
It is well known that for thermal power enterprises, coal accounts for 70% of generating cost. Therefore, if coal price rises, profit of thermal power enterprises will be occupied and smooth development of the industry would be affected.
 
Coal consumption of thermal power enterprises dropped by 37g standard coal/KWH in the11thFive-Year.In 2012, the number jumped to 324g standard coal/KWH. This was great accomplishment. However, thermal power enterprises profited little while coal enterprises benefited much
 
As central government is more and more strict on environmental protection, thermal power enterprises increase investment on environmental facilities year after year, even though they are in loss.
 
Under this condition, coal enterprises should take the perspective of strategic cooperation and common development in coal-thermal negotiation. After all, only thermal enterprises developed well, could the coal industry have a better future.
 
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