NDRC cancels electricity price concessions in 22 provinces and districts

According to a Reuters report, the National Development and Reform Commission of China stated on Friday that in order to ensure the realization of the “Eleventh Five-Year Plan” (2006-2010) energy-saving and emission reduction targets, as of July 14th, all 22 provinces, municipalities and municipalities have been cancelled. Preferential electricity price measures implemented by high-energy-consuming enterprises involved more than RMB 15 billion yuan.
"This cancellation of preferential electricity prices is of great significance to promoting national energy-saving emission reduction and eliminating backward production capacity," said a press release on the website of the National Development and Reform Commission. At present, all high energy-consuming companies begin to implement new differential pricing policies.
China's energy saving target in the Eleventh Five-Year Plan is that the energy consumption per unit of GDP has dropped by 20%, and it has decreased by approximately 15.6% in the first four years. In the first half of this year, the index has increased by 0.09% year-on-year.
The National Development and Reform Commission stated that in order to prevent the energy-intensive enterprises from rebounding in electricity use, efforts will be further intensified to track and supervise the cancellation of overprivileged tariffs in various regions. The issue of self-concessions for private power plants and local independent power grids that exist in some places will be discussed. Strictly urge local authorities to correct them in a timely manner to ensure that the policy is implemented.
In addition, the long-term supervision mechanism will be established and strengthened, accountability will be strengthened, and timely notification of illegal locations and units will require not only severe economic penalties but also the supervision department to investigate the administrative responsibilities of the person-in-charge and the main responsible person.
The National Development and Reform Commission had previously issued a notice that it will strictly implement the differential tariff policy for high-energy-consuming enterprises, correct the implementation of preferential tariffs for local ultra vires, and investigate the behavior of power companies that do not implement the national electricity tariffs and desulfurization policies.

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