Power sector in favor of cheap coal price

Thứ ba, 18/11/2008 | 16:26 GMT+7
The Ministry of Finance has released a decision to raise the price of coal for large production organizations in the field of cement, paper, fertilizer and so on. However, coal price is remained the same for power sector.

Power production will be given a favor of stable coal price and the increase of coal price will be regularly adjust alongwith the roadmap of the increase of electricity tariff.

With stone coal which is used for fertilizer production, the price will increase by about 81% in the first two weeks of November.

According to the content of this new decision, since quarter II/2009, the price of coal for the production of cement, paper and fertilizer will be adjusted to comply with the market price. Particularly, power production will be given a favor of stable coal price and the increase of coal price will be regularly adjust along with the roadmap of the increase of electricity tariff.

As explained by the Ministry of Finance, the price adjustment is an important phase in managing coal price in line with the market price under the observation of the Government to ensure the national energy security.

The current coal price for 4 larger coal consumers is lower than the price of each coal type (which is from only about 38% to 79% of the price for each type), lower than the price for retailers (which is from only about 30% to 60% of the domestic retail price) and much lower than the export price.

Source: VTC News