China orders increased electricity output from coal mines after power outages

In the wake of repeated power outages that have shut down factories, Beijing has ordered Chinese coal mines to increase production.

Coal Mining

Chinese media reported that three key provinces have agreed to increase the mining of coal.

Numerous provinces throughout China have been bearing the brunt of power outages since mid-September.

Electricity demand has shot up following the easing of countrywide curbs on power usage.

Over seventy mines in Inner Mongolia, Northern China’s autonomous region, have received instructions to ramp up yearly production by almost 100 million tons, according to the Reuters news agency, quoting a government representative.

Inner Mongolia is the second-largest coal producing region in China.

The planned production spike of 100 million tons will represent nearly three percent of the coal used in Chinese power plants annually.

This step is the most recent effort that authorities are making to increase coal stocks amid prices soaring to all-time-high levels, coupled with reductions in electricity supplies, compelling energy companies to restrict power supplies across the country.

In the first week of October, Chinese economic planning agency, the NDRC, urged mining, as well as power companies, to sign pacts aimed at addressing the shortages.

Since September 2021, several power outages have compelled firms to lower production or halt operations.

Production centers in the north-eastern Chinese region have especially borne the brunt of the outages.

The recent weekly reports on power shortages in China have triggered concerns worldwide, including in the United Kingdom, Continental Europe, and the Indian nation.