China: NDRC steps in to raise coal production, results still awaited

China’s state planner, National Development and Reform Commission (NDRC) has relaxed conditions for coal mine capacity hikes, as per latest reports. Miners who apply for increasing capacity before 31 Mar’22 are required to just agree to work out a plan to replace ‘outdated’ mines within three months after receiving approvals. This move may quicken coal production as mines would be allowed to raise capacity first before having to identify the old and inefficient mines they would have replace. However, such efforts would take time as mines that have recently been granted land use rights will likely gradually ramp up output this month, while other mines that have been permitted to raise capacity may still need a few months before they start producing more coal.


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