China sets target coal price in bid to ease power crunch - sources

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China sets target coal price in bid to ease power crunch - sources
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China's state planner has set an immediate price target for thermal coal in its most direct intervention yet to cool the market for the key power-generating fuel amid a severe power crunch, trading and power firm sources told Reuters

It did not disclose a price level, but three major coal producers said on Wednesday they would fix ceilings for prices of thermal coal at 1,200 yuan a tonne for the winter heating season.

"We're anticipating Beijing to take unprecedented steps to ease the power/coal crisis, though the power rationing risk may persist over the winter while coal price may continue going down from current level." Wednesday's meeting also aimed to identify firms deliberately inflating coal prices, the state planner said.

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