NDRC Publishes Action Plan for "12th Five-Year" Coal Industry Development Plan to Control Coal Output

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Researched by Industrial Info Resources (Sugar Land, Texas)--The National Development and Reform Commission of China recently published the 2012 Action Plan for "12th Five-Year" (2011-15) Coal Industry Development Plan.

According to the Action Plan, the first key task of the year is to promote the merging and reorganization of coal mining enterprises nationwide. Through merging and reorganization, the number of coal mining enterprises nationwide will be restricted to 8,000 units. The average production capacity shall be promoted to about 450,000 metric tons per year. By the end of 2012, seven large-scale coal enterprises (with production capacity at 100 million metric tons per year) and 12 enterprises (at 50 million metric tons per year) will be established. The output of large-scale coal enterprises will account for more than 53% of the total output.

According to the Action Plan, the pre-stage preparations for about 160 million metric tons per year of large-scale coal mines will be accelerated. In 2012, about 150 million metric tons per year of large- and middle-size new coal mines will kick off construction in proposed large-scale coal bases. Through rational organization in coal production, the national coal output will be restricted within 3.65 billion metric tons in 2012. Of which, the output of Inner Mongolia, the top coal producer in China, will be restricted within 920 million metric tons. For Shanxi, the second-largest coal producer in China, the respective expected coal output is set to be 810 million metric tons. In Shaanxi, the expected coal output for 2012 is set to be 400 million metric tons.

In 2012, a total of 625 small-size coal mines (which have a total production capacity of 23.47 million metric tons per year) will be closed, including 100 small-size coal mines with annual production capacity of 9 million metric tons in Guizhou, and 120 small-size coal mines with annual production capacity of 3.66 million metric tons per year.

China is the largest coal producer in the world. Its coal output reached 2.7 billion metric tons, 2.91 billion metric tons, and 3.2 billion metric tons and 3.52 billion metric tons in 2008 to 2011, respectively. Based on the new target set for 2012, the growth rate of coal output in 2012 will be the lowest rate in recent years.

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