Beijing suspends approval for new coal plants

BEIJING: China will suspend approvals for new coal-fired power plants in 29 provinces to reduce overcapacity in the sector, the official China Securities Journal reported yesterday.

The National Energy Administration (NEA) had put as many as 25 provinces on “red alert”, meaning that new projects would create severe overcapacity or environmental risks, while another four regions were put on “orange alert”, said the newspaper.

The NEA said utilisation rates at coal-fired power plants were falling as a result of slowing growth in power consumption, and it established the warning system to identify regions that need to curb overcapacity. Reuters