The contracted coal price increase in 2012 must not exceed 5%

The National Development and Reform Commission issued a notice on the 14th, requesting the relevant units to do a good job in the convergence of coal production and transportation in 2012, and earnestly implement the "National Development and Reform Commission's Notice on Strengthening the Control of Coal Prices for Power Generation." According to the notice, the growth rate of contracted coal prices in 2012 must not exceed 5% of the contract price in the previous year. The NDRC requested the relevant parties to complete the signing of the contract within 15 days of the notification.

The notice encourages both sides of the supply and demand of coal to enter into long-term contracts to lay a good foundation for the establishment of a long-term stable supply-demand relationship. Accelerate the establishment of a coal market system with the national coal trading center as the main body, supplemented by the regional market, and the network technology as the platform, which is conducive to the government's macro-control and free market trading.

The notice stated that support for coal mines and end-consumer companies directly sign contracts to reduce intermediate links. It is strictly forbidden that coal mines with incomplete licenses and illegally operating companies and users will participate in the connection.

In the coal purchase and sale contract signed by the two parties, the product quality, price and liability for breach of contract shall be clearly defined. The quantity of the contract shall be determined in accordance with the 2012 inter-provincial coal transportation capacity allocation directive framework. In principle, except for the adjustment of the framework, the number of other contracted coals shall not remain the same as the previous year. Change, and mines and power plants remain relatively stable. It is forbidden to enter into false contracts that are separated from the actual production and demand, and will be seriously dealt with once detected.

The NDRC also expects that the supply and demand of coal will remain basically balanced in 2012, but due to a variety of unfavorable factors, there will be imbalances in the supply and demand of electric coal in some areas and at certain times.

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