All The Thermal Power Enterprises In The 10 Provinces Are In A Loss Of &Nbsp; The Power Plant Has No Money To Buy Coal.

The analysis and prediction report of the national electricity supply and demand and economic operation released in the first three quarters of 2010 released by the China Electric Power Enterprise Federation (hereinafter referred to as the "China Electric Power Corporation") shows that the whole country has existed for the first time in the first quarter of 2010.

In an interview with the economic reference daily, industry experts said, "market coal, plan electricity".

Plight of all 10 thermal power enterprises

The report shows that the overall benefit of the electric power industry has increased since the beginning of this year, but the operation of thermal power enterprises is more difficult.

From 1 to August, the total profit of the electricity industry was 97 billion 200 million yuan, up 108.5% from the same period last year, but the profit of thermal power enterprises decreased from 26 billion 800 million yuan to 22 billion yuan in the same period last year. Following the continued loss of thermal power enterprises in the central six provinces and Shandong Province, the thermal power enterprises in the three northeastern provinces also began to join the overall loss.

"As the continuous losses increase, the debt paying ability of power generation companies is significantly weakened, financing difficulties are increasing, and the risk of capital chain breaking increases significantly."

The report issued a warning for the current situation of electricity supply and demand in some areas. "At present, the power plants are beginning to store coal in winter in the northern heating season, but because of serious losses, some power plants have no money to buy coal, and there may be no risk of electricity and heat supply."

Xue Jing, director of the Statistics Department of China electric power alliance, told the Economic Information Daily reporters that the main reason for the serious loss of thermal power enterprises is that the price of electricity coal is rising too fast.

She said that with the fluctuation of the electricity market price in the whole country, the market price of coal increased by more than 100 yuan / ton this year, and the average price of the five major power groups to the standard coal price rose by more than 15%.

"Especially in Henan, Shanxi, Anhui and other central coal producing provinces, the loss of thermal power enterprises is particularly serious."

Xue Jing analyzed, "one of the main reasons is that the price of electricity coal is rising too high. On the other hand, the price of power grid is low.

Under the direction of two-way extrusion, the production and operation of electric power enterprises are in a predicament.

According to the China Power Investment Corp responsible person, the loss is more serious in the past is generally less than 300 thousand kilowatts of thermal power units, and now in some places even 600 thousand kilowatts of thermal power units also began to appear losses.

Information from the stock market confirms the current situation of the loss of thermal power enterprises.

The results of the first three quarters of the listed companies released recently showed that thermal power listed companies have ranked the top of the list of listed companies' losses.

For example, Huayin electric power, Zhang Ze power, Huadian International, Shennan electric power and ST Henan 5 thermal power enterprises are listed in the top 20 of the loss making enterprises, of which the top three enterprises are ranked first, third and four.

When analyzing the causes of losses, companies are putting the price of raw materials together in a leading position.

For example, the three quarter earnings report of Zhang Ze electric showed that the cumulative loss was 380 million yuan to 400 million yuan from 1 to September this year. The company said that the main reason for the loss is that coal prices remain at a high level, and that there is a certain uncertainty in the growth of electricity generation.

Baoxin's three quarter earnings report showed that the net profit of the company decreased by 53% compared with the same period last year, while the net profit of the three quarter before Hui Tian thermoelectric power dropped by 76% compared with the same period last year.

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Cause price mechanism and contradiction of management system

Industry analysts believe that the current electricity price formation mechanism is an important reason for the loss of thermal power enterprises.

The report of the CLP is more specifically attributable to the loss of thermal power enterprises in the price mechanism of "market coal and planned electricity".

It is understood that in order to resolve the contradiction between coal and electricity, the national development and Reform Commission promulgated the coal electricity price linkage mechanism in 2004.

A research report on coal electricity price mechanism made by the State Grid Energy Research Institute shows that in May 2005 and June 2006, the national development and Reform Commission implemented coal electricity linkage for the two time, the total sales price increased by an average of 5.02 cents per kilowatt hour. In 2008, when the price of electricity coal rose again, the NDRC adjusted the electricity price of power generation enterprises two times in July 1st and August 21st respectively.

The linkage mechanism of coal and electricity prices has also played an important role in maintaining the normal production and operation of power generating enterprises.

However, due to the fact that coal electricity price linkage is not in place, the rise in coal prices has always been higher than the increase in grid price, which makes the loss of power generation enterprises increasing.

Li Chengren, deputy director of the accounting and Auditing Institute of the State Grid Energy Research Institute, said, for example, the price of electricity coal continued to rise in 2007, and the increase was more than 5% of the coal electricity price linkage mechanism. However, considering the price CPI and many other factors, the electricity price had not been raised accordingly.

The current cost of fuel has accounted for 70% of the total cost of China's power generation enterprises.

Turning to the problem of coal electricity price linkage is not in place, Xue Jing told the economic reference daily, since 2003, China's coal prices continue to rise.

Taking Qinhuangdao's 5500 card coal as an example, it has risen more than 150%, while sales price has risen by only 32%.

Electric power enterprises have been unable to bear the rigid cost increase caused by the frequent rise of coal prices and the lag of electricity price adjustment, and the thermal power industry has suffered serious losses.

"The restriction of the management system is also an important reason for the aggravation of the contradiction between coal and electricity and the loss of thermal power enterprises."

Lu Qizhou, general manager of China Power Investment Corp, said in an interview with the economic reference daily that at present, China's power generation group is a central enterprise, while coal enterprises are mostly local management.

Low electricity prices "low" to the central government, high coal prices "high" to the local government, so some big coal provinces are quietly taking the policy of "raising coal prices and lowering electricity prices".

This is the reason why the thermal power enterprises in Shanxi, Henan, Anhui and other coal producing provinces are losing a lot of money.

In addition, the high cost of coal pportation links is also considered to be a major factor contributing to the loss of thermal power enterprises.

Li Chengren told reporters that for a long time, due to tight railway capacity and other reasons, the two sides had to bear the "gray cost" which was approved by the state.

Data show that from Shanxi coal to Qinhuangdao less than 1000 kilometers, according to the normal freight should be around 100 yuan / ton, but in fact, in Shanxi, the output price of coal is about 500 yuan / ton of coal, and in Qinhuangdao it becomes 700 yuan / ton, and the cost of circulation is as high as 200 yuan / ton.

The report of the CLP has issued an appeal to implement the coal electricity linkage policy as soon as possible and speed up the reform of the electricity price mechanism.

The report recommends that, in the course of the formation of a reasonable pricing mechanism, continue to adhere to the principles and mechanisms of coal electricity linkage; at the same time, accelerate the pace of reform of the pricing mechanism of resource products, and study the scientific and reasonable pricing mechanism in line with the laws of the market and adapt to China's national conditions as soon as possible.

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Ways to solve the loss dilemma

Zhou Dadi, deputy director of the national energy expert advisory committee and vice chairman of the China Energy Research Association, said in an interview with the economic reference daily that the key to solving the loss of power generation groups, especially thermal power enterprises, is to speed up the reform of the electricity price mechanism and fundamentally solve the predicament of "market coal and planned electricity". At the same time, from the enterprise level, the power generation enterprises should also accelerate the pace of structural adjustment, develop clean energy such as hydropower, wind power and nuclear power, and promote the integration of coal and electricity, and actively take the road of self rescue.

"The reform of China's electricity price mechanism is quietly starting."

Shu Yinbiao, deputy general manager of the national Power Grid Corp, delivered a keynote speech at the Forum on energy, economy and development in Beijing in October 30th. He said that the "ladder pricing scheme" recently launched by the national development and Reform Commission has opened the curtain for the reform of the electricity price mechanism. But it is confusing that many people have criticized and even disapproved the voice.

Shu Yinbiao introduced that the step price reform plan set the household electricity consumption 110 degrees as the first level, that is, the basic electricity price; the 110 to 210 degree is the second gear, and the electricity price is 5 cents per kilowatt hour.

Many people have opinions on how to spend more than 30 yuan per month on average electricity per household and 1.5 yuan per month for electricity consumption per household.

"Our reform needs to be understood and supported by ordinary people.

It costs more than 1.5 yuan to say more than two words with a friend. Why can't we have more support for electricity price reform?

From the enterprise level, in recent years, under the promotion of the national energy conservation and emission reduction policy, and at the same time, under the "forced" of the current price mechanism, the adjustment structure of China's power enterprises led by the five power generation groups has been increasing.

On the one hand, a large number of high energy consumption and high pollution small thermal power units were shut down.

According to the data released by the state energy administration, during the "11th Five-Year" period, the country has closed down 70 million 770 thousand kilowatts of small thermal power units, overfulfilled the original goal of shutting down 50 million kilowatts, and saved 81 million tons of raw coal per year.

On the other hand, hydropower, wind power, nuclear power and other clean energy power generation has increased rapidly.

The report of the CLP shows that as of the end of September this year, the proportion of hydropower and wind power in the country increased by 0.51 and 1 percentage points respectively over the same period last year, and the proportion of thermal power decreased by 1.51 percentage points.

In the first three quarters of this year, investment in hydropower, nuclear power and wind power increased by 6.23%, 15.48% and 54.94% respectively. The total investment in hydropower, nuclear power and wind power reached 61.96%, a 4.03 percentage point increase over the same period last year, reflecting the continued increase in investment in clean energy.

At the same time, many power generation groups are seeking to break away from the loss predicament and actively seek breakthroughs in the "upstream" to explore the way of integration of coal and electricity.

Among them, the most successful and representative group is the CIC group.

At the beginning of 2002, at the beginning of the separation of plant and network, CIC's investment from asset quality to enterprise efficiency was a real "little brother". However, in the first half of 2010, the data released by the SASAC website showed that CIC jumped to be the top ranked "big brother".

Analysis of the reasons for the growth and development of enterprises, Lu Qizhou said: "we have in recent years broke out a" electricity based, coal based, industrial integration and coordinated development "new way.

But at the same time, Lu Qizhou believes that promoting merger and reorganization and realizing the integration of coal and electricity is actually a "non market move" "helpless measure".

He said that under the perfect market economy system, the cost of specialization is the lowest. Coal enterprises are good at digging coal, and power generation enterprises are engaged in generating electricity.

However, under the framework of the current energy management system and price formation mechanism, power generation companies are trapped in electricity prices and have to seek joint ventures in upstream coal and pportation areas to expand their survival space stations.