China ratchets up electricity rates to cope with shortages and losses
The National Development and Reform Commission (NDRC) plans to raise on-grid power prices in several Chinese provinces to try an eliminate power shortages and boost local power companies' flagging profits according to Xinhua.
Jiangxi, Hunan and Guizhou will see rates riuse by 0.02 yuan per kilowatt-hour while prices will rises of 0.005 yuan per kwh in Henan and Hubei. Consumer prices will, however, remain unchanged in order to avoid increasing China's already high rate of inflation.
China's five major power producers reported 10.57 billion yuan (1.62 billion U.S. dollars) in losses during the first four months of this year, according to the China Electricity Council.
The NDRC already raised on-grid power prices in 16 provincial areas in April.