China tells provinces to up guzzlers' power tariffs
BEIJING, April 16 (Reuters) - China's top economic planning agency has
ordered provincial governments to fall in line with its policy of
charging energy-guzzling industries more for electricity, the official
Xinhua news agency said on Monday.
The National Development and Reform Commission told local governments
they had until the end of the month to implement a directive it
introduced in September, which raised power prices for energy-intensive
industries including cement, aluminium, steel and ferro-alloy, Xinhua
said. Not only had many local governments failed to implement
the measures properly, but 14 of them continued to offer preferential
power tariffs for such industries, Xinhua said. Xinhua did not
name the provinces, but said that inspection teams would visit them in
May to check on their progress in implementing the measures. Those that
failed to comply could see applications for new power plants rejected,
it said. Grid companies that flouted the measures would also be
punished, with individual managers held individually responsible, it
said. China aims to cut the amount of energy it uses per dollar
of national income by 20 percent by 2010 as part of a drive to curb
growing pollution and dependence on foreign oil, but failed to meet its
target last year. It has recently stepped up efforts to improve
efficiency in the power sector, saying earlier this year that it would
require firms that want to build new coal-fired power plants to shut
down smaller, older generating units at the same time. In a sign
of its growing clout, the State Environmental Protection Administration
(SEPA) announced in January that it had suspended new environmental
permits for many companies, including power firms Huaneng Group and
China Guodian Corp. It later lifted the ban on the two firms after they shut down or cleaned up polluting plants.
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