China’s government plans to reduce coal power production in the north-west of the country by at least a quarter, in a bid to tackle overcapacity in an industry seen as a threat to reducing global carbon emissions.
Five of China’s centrally controlled power suppliers will aim to cut coal power capacity by a quarter to a third across the provinces of Qinghai, Gansu and Shaanxi, and the regions of Xinjiang and Ningxia, according to state media.
The three-year pilot project by the State-owned Assets Supervision and Administration Commission of the State Council, or Sasac, is expected to be the first in a multi-stage initiative to make coal production more efficient across the country.
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