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In the fifth year of promoting the marketization of coal prices, the on-site convergence restarted and the intervention of coal prices, analysts believe that it is a helpless action under price pressure.
According to sources, this year's coal production and transportation needs to be linked to the on-site contract summary meeting may be held in Dalian in late December, the scale will be similar to the contract summary meeting held in Fuzhou in 2008. A person from a coal group sales company in Shanxi told China Securities Journal that from December 14th to 15th, the relevant departments will hold a preparatory meeting for the production and transportation in Beijing.
According to the documents issued by the National Development and Reform Commission at the end of 2009, in the 2010 capacity allocation framework, the total connection capacity is 906.5 million tons, of which the power coal allocation is 721.6 million tons, accounting for nearly 80%.
According to the growth of railway capacity, it is expected that the total number of connections in 2011 will increase on the basis of 2010.
According to reports, although the key contract coal price is likely to be "frozen", both coal-fired power companies will agree on the new year's coal supply and related coal quality requirements. Power companies are worried that coal companies may reduce the supply of key contract coal, or reduce the quality of coal supplied, or even limit production to push up market prices.
According to the requirements of the National Development and Reform Commission, in 2010, the coal production and transportation needs to be connected by the enterprise to choose the appropriate method at the specified time, and the government departments and industry organizations may not stipulate the connection mode of the enterprise, and must not force the enterprises to concentrate on the connection, ending the history for 16 years. The coal “ordering meeting†and “contract summary meeting†were seen as the beginning of the complete marketization of coal prices.
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The coal-based production and transportation needs contract will be launched soon. The National Development and Reform Commission will issue the guidance and capacity allocation framework for the inter-provincial coal production and transportation needs in 2011. The source disclosed to the China Securities Journal reporter that this year's production and transportation needs to be linked to the on-site contract summary meeting that was cancelled last year. The National Development and Reform Commission will require the price of key thermal coal contracts in 2011 to remain at the 2010 level.