Coal stocks of electricity producers in China reached the highest level in the last 2 years

It has been reported that the stocks of power plants producing electricity from coal in China have reached the highest level in the last 2 years.

According to the news of Caixin, China Electricity Council (CEC), in its weekly report prepared with the information gathered from electricity producers, stated that the stocks reached 107.26 million tons in the first week of December.

In the report, it was noted that the stocks that could operate the power plants for 21.1 days reached the highest level in the last 2 years.

The stock amount was sufficient for 15.5 days at the end of October.

56 percent of electricity production in China is provided by coal-fired thermal power plants. The country has been trying to alleviate the problem of coal-based energy production due to the rise in global prices, by increasing supply and stocks in recent months.

Due to the rising prices in the country, there were problems in the supply of coal and electricity production due to it. Producers had to stop their electricity supply due to the loss of input costs, which resulted in intermittent power outages in 20 of the 31 provinces and territories in mainland China in September.

In the northeastern states, where household electricity is mostly supplied by coal-fired power plants, there were unannounced power cuts in many cities, and intermittent electricity supply to many factories and workshops in the inner, southern and eastern states caused disruptions in production.

Due to the outages, large global companies such as Apple and Tesla, as well as many small and medium-sized enterprises that have an important role in global manufacturing chains, had to pause production.

China's economic planning body, the National Development and Reform Commission (NDRC), had ordered coal mines to operate at full capacity in the fourth quarter, increasing their daily coal production to 12 million tons. The commission announced that coal production reached 12 million 50 thousand tons on 10 November, reaching the set target.

China Coal Transport and Distribution Association also announced that coal stocks in power plants reached 95.69 million tons in the week of October 24, with an increase of 17 million tons compared to the end of September.