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 Infopetro -> Laws & Regulation


Notice of Problems Concerning the Implementation of Coal-electricity Price Linkage in Northwest China Grid Company Limited

  03/16/2007


To Shaanxi, Gansu, Qinghai, Ningxia, Xingjian (district) provincial Development and Reform Commission, Bureau of Commodity Price, power supply company, Northwest China Grid Company Limited,

In accordance with "Notice of print and distribution of establishing coal-electricity price linkage system" from NDRC, the implementation of coal-electricity price linkage has been approved by State Council to appropriately adjust the power purchase price and sale price. Hereby the relevant matters are clarified as follows:

1. Carry out the coal-electricity price linkage, cancel the price of overfulfilled electric power generation, and appropriately adjust the power purchase price

(1) In order to solve the influence of coal price rise on electricity price, the power purchase price of power generation company will be appropriately increased. The power purchase price (including tax, the same below) of coal fired power generating in Shaanxi and Gansu will be raised according to the standard of RMB0.0108/kWh and RMB 0.0045/kWh respectively. The power purchase price of coal fired power-generating set.

(4) The electricity price per kWh for other users is adjusted at the following standard, namely RMB0.0271 for Shaanxi, RMB0.0131 for Qinghai, RMB 0.029 for Xingjian. For electricity price of non-resident, commerce, non-industry, common industry, the standards is RMB0.028. Among the large-scale industry, for furnace production of ferroalloy, calcium carbide and electrolytic caustic soda, and the production of Liancheng Aluminum Plant, Baiyin Aluminum Plant, Lanzhou Aluminum plant, it is RMB0.04. For Gansu Aluminum Plant, Longxi Aluminum Plant, Lintao Aluminum Plant, and the other 6 stagnant companies which are benefited by national favorable electricity price, the price of electricity for production keeps stable without adjustment. For other large-scale industry, it is RMB0.02. For Ningxia, price of electricity for living lighting is RMB0.035, and RMB 0.016 for commercial use, RMB0.031 for non-industry and common industry, RMB0.02 for large-scale industry. Price of electricity for electrolytic aluminum production of Qingtongxia Aluminum Plant, and for the production of calcium carbide, ferroalloy, chlorine which is in conformity with national policy and reaches a certain scale, is RMB0.011.

(5) The standard for extra charge of city public utility in Gansu will be lowered by RMB0.01/kWh for solving the electricity price contradiction. The specific standard of lowering for various users shall be instructed by provincial price authority.

3. The power purchase price of newly built coal fired generating set will be adjusted. For the newly-built coal fired generating set within the dispatching range of power grid (including combined thermal power generation set, the same below), the power purchase price at for those not equipped with sweetener is adjusted as follows: RMB0.267 for Shaanxi, RMB0.233 for Ningxia; that for those equipped with sweetener is increased by RMB0.015 correspondingly. The power purchase price for newly built generation set in Gansu, Qinghai and Xingjian keep the current level without change. After the newly built coal fired generating set was put into service, the unified power purchase price shall subject to the above-mentioned standard.


The electricity for production and for electrolytic aluminum production with annual capacity of 100,000 ton, the electricity price per kWh is increased by RMB0.0136.

For electricity used in chlorine & alkali production with ionic exchange membrane method in Xi'an Chemical Factory, the previous electricity price will be increased by RMB 0.0136 per kWh.

For Tongchuan Xinguang Aluminum Plant benefited by favorable electricity price, the price of electricity for production will be increased by RMB 0.0271/kWh, subject to RMB0.371/kWh (including the fund for repayment of bank loans on agriculture power grid and Three Gorge Fund). The electricity for expansion of Tongchuan Xinguang Aluminum plant will be subject to price list of large-scale industry before the electricity price standard is clarified by NDRC.

The price for production of Hanzhong 813 Plant is increased by RMB0.0271/kWh, subject to RMB 0.3731 (including the fund for repayment of bank loans on agriculture power grid and Three Gorge Fund).

3. The electricity for living and boiler is subject to the original scope of execution, namely the price of electricity used from 7:00 to 23:00 everyday is RMB0.4/kWh (including fund and extra charge), and that from 20:00 everyday to 7:00 of next day is RMB0.24 (including funds and extra charge).

4. Except the above price policies, the price of electricity used by other user is increased RMB0.0271/kWh, with corresponding adjustment to the price of peak electricity usage, time-interval price and rural generally classified price.

5. For the electricity users in Shendong Business area of Shaanxi (excluding Shendong Coal Company), except that the price of electricity for agricultural production, small & medium-sized fertilizer production and electricity for lighting remains unchanged, the price for other users is increased by RMB0.0271/kWh. The price of electricity utilization settlement between Shendong Coal Company and Yulin Power Supply Company is subject to RMB0.4271/kWh.

6. The wholesale price of Shaanxi Power Grid is totally increased by RMB0.0138/kWh.


Arrangement and implementation

(1.) The above adjusted price of Shaanxi Power Grid will be implemented from July 1, 2005 for any recorded meter reading of electricity used.

(2) Each unit must focus on leadership, carefully organize, and deeply understand the documents, and be well-prepared for the activities in implementing the electricity price adjustment, for ensuring the electricity price policy performed timely and accurately.

(3) Each unit must make great efforts in publicizing and explaining activities, and contact the department concerned for any problems found in the execution.



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