Coal news and updates

China accelerates coal mining to ensure winter power supply

A general view of a coal mine, during a Huawei-organised media tour, in Yulin city, Shaanxi province, China April 24, 2023. REUTERS/Tingshu Wang/File Photo Purchase Licensing Rights, opens new tab

LONDON, Aug 28 (Reuters) - China has boosted domestic coal production and imports to record highs, even as surging power from hydro dams and solar farms has trimmed thermal generation during the summer heatwave.

Coal-fired generation remains critical to ensuring the reliability of electricity supplies - especially in the winter, when hydro and solar output is much lower and the system depends far more heavily on fossil energy.

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Despite a record deployment of wind and solar resources, coal still provides the largest share of generation at all times of year, rising to more than 75% in the winter months.

Sufficient stocks are therefore critical to ensure thermal generators have enough fuel on hand to run flat out in the coldest part of winter.

Generators are accumulating inventories to lay in adequate fuel and avoid a repeat of power shortages that plagued the country in the autumn and winter of 2021.