The People’s Republic of China reportedly has plans to open an electricity trading market for hydropower and nuclear power generators, according to a recent official statement from the country’s state planner, the National Development and Reform Commission (NDRC).
The statement also announced the country’s intentions to speed up the process for coal-fired power plants to join the market. Additionally, the NDRC encouraged local authorities and grid companies to take down barriers hindering cross-regional power trading.
The NDRC is also promoting all forms of power generators that are able to meet energy consumption and emission standards to participate in the trading market. This would include, among other things, captive power plants at industrial plants, according to Reuters.
Moreover, the region’s leading economy intends to jettison power consumption and generation limitations imposed this year on coal, steel, non-ferrous and construction materials companies, which will enable them to trade in the power market unfettered.
“No printed prices will be carried out at power consumers in the key sectors,” the NDRC said in its official statement. “Consumers will be encouraged to negotiate power prices and sign long term trading contracts with power generators.”