The 14th Five-Year Plan is progressing steadily, and the development of China's coal industry is accelerated in the 14th Five-Year Plan of the National Development and Reform Commission and other departments. At the 2021 National Coal Trade Fair and China Taiyuan Coal Trade Conference (hereinafter referred to as the "Trade Fair"), which opened on December 8, continue to deepen the structural reform of the coal supply side, accelerate the adjustment of production capacity structure, build reserve capacity, improve the trading system, To achieve transformation and upgrading, the planning and construction of a number of large modern coal mines and coal reserve projects have become the focus. Industry insiders believe that industry concentration will further increase, and the pattern of "large groups + small listed companies" will create good opportunities for asset injection.

Speed up the reorganization and integration of coal state-owned enterprises

After just two months, Jinneng Holding Group, which has basically completed the restructuring task, participated in the fair for the first time. At the opening ceremony, it signed a five-year medium and long-term cooperation agreement with eight customers, with a total contract volume of 520 million tons.

"Integration and reorganization will change the past pattern of multiple, small, and fragmented coal industry concentration, voice and market competitiveness are enhanced, supply is more secure, and many downstream customers are also willing to cooperate." Jinneng Holding Group Party Committee Liu Jing, deputy secretary and vice chairman of the board, said in an interview with a reporter from the Economic Information Daily. According to Guo Jingang, Secretary of the Party Committee and Chairman of Jinneng Holding Group, the company’s total assets of 1.1 trillion yuan, 473,000 employees, nearly 400 million tons of coal production capacity, 38.14 million kilowatts of electricity installed, and total equipment manufacturing assets of 36.8 billion yuan, are The world's third largest coal company.

Liu Jing revealed that in the next step, these three main businesses will promote the integrated development of the industry in accordance with the model of group management and control, sectorized operation, and professional development. At the same time, they will strive to achieve talent, management, team, culture, etc. through various internal reforms. Integration, play a 1+1>2 effect, create a world-class high-tech, high-efficiency, intelligent, environmentally-friendly modern energy flagship powerhouse, by the end of the "14th Five-Year Plan", to achieve 600 million tons of coal output, 6000 Business sales of 100 million yuan and a profit target of 60 billion yuan.

This kind of reorganization and integration is not alone in Shanxi. According to reports, Shanxi has vigorously promoted the strategic reorganization and professional integration of provincial coal mining enterprises. It has also established the Shanxi Coking Coal Group. At the same time, it has promoted the joint reorganization of Taiyuan Iron and Steel Group and China Baowu to increase the stainless steel production capacity to 10 million tons.

A new round of mergers and acquisitions among large coal companies in Shandong and other places is also speeding up. After the reorganization of Shandong Energy and Yankuang Group, Shandong Energy Group is positioned as a state-owned capital investment company in the energy industry of Shandong Province. On the evening of November 30, the announcement of its listed companies showed that the strategic restructuring of the two companies has met the delivery conditions.

Speed up the adjustment of coal production capacity structure

Speeding up the reorganization and integration of coal state-owned enterprises is a microcosm of the deepening of structural reforms on the coal supply side. Li Yunqing, director of the Bureau of Economic Operation and Regulation of the National Development and Reform Commission, stated that during the "14th Five-Year Plan" period, we must insist on increasing the size of the large and suppressing the small, increasing the advantages and eliminating the inferior, continue to consolidate the results of capacity reduction, and unswervingly promote the adjustment of capacity structure. On the premise of insisting on capacity replacement, maintain a specific capacity utilization rate and form a certain supply strength. At the same time, scientifically and rationally plan the construction of a number of large modern coal mines.

Lu Junling, director of the Coal Department of the National Energy Administration, emphasized that in this process, more attention should be paid to the use of market-oriented and rule-of-law methods. At the same time, it is necessary to adhere to the principle of first standing and then breaking to ensure stable supply in the market, and no coal is available due to capacity reduction.

While accelerating the adjustment of the production capacity structure, the next step is to accelerate the construction of reserve capacity and accelerate the realization of transformation and upgrading. According to reports, in 2020, the National Development and Reform Commission supported the construction of more than 30 million tons of coal reserve projects in accordance with the principles of government dispatch and market-oriented operation. In 2021, we will continue to support the construction of a batch of coal reserve projects in various regions.

Li Yunqing believes that for a period of time in the future, the proportion of coal consumption as a whole will continue to decline, gradually forming a multi-dimensional coordinated development of coal, oil, gas, new energy and renewable energy, a safe and efficient energy supply system, but coal should be used as an energy supply system. Fundamental energy reserves are guaranteed. Therefore, energy companies must act in response to the situation, accurately position their development directions, and exert greater efforts. At the same time, they must accelerate integrated development to seize opportunities in the context of energy structure adjustment.

Intelligence is one of the important directions. Lu Junling said that by the end of the "14th Five-Year Plan" period, that is, by the end of 2025, large coal mines and mines with severe disasters across the country will be basically intelligent.

Improve the medium and long-term contract system to ensure supply and stable prices

At the opening ceremony of the trade fair, upstream and downstream coal companies have signed medium and long-term coal contracts of 740 million tons, and the total amount of contracts is expected to exceed 1 billion tons. At the same time, China Coal Market.com also released the price index of the symbol coal of the main producing area (Shanxi, Shaanxi, and Mongolia).

Li Yunqing also emphasized that during the "14th Five-Year Plan" period, it is necessary to accelerate the construction of the coal trading system and further improve the medium and long-term contract system. For example, to further improve the price mechanism of land direct coal, at the same time, it is necessary to sign early, multiple, real, and long-term coal contracts. In addition, establish a sound credit supervision mechanism, and strengthen supervision of contract performance.

Liang Jiakun, party secretary and chairman of the China Coal Industry Association, also requested the coal industry to consolidate the results of supply-side structural reforms, adhere to the medium and long-term coal contract system, deepen the construction of a modern coal market system, innovate the coal trading market system and mechanism, and promote the upstream and downstream of the coal industry chain Companies in the industry build strategic partnerships that are mutually beneficial and win-win and work together to improve the operating quality of the coal trading market system, and promote high-quality coal supply and smooth operation of the coal market.

Data shows that in recent years, the medium and long-term contract coverage has expanded from building materials to metallurgy and chemical industries. The contract between the supplier and the demander has remained above 2 billion tons, and the contract volume between the producer and the demander has increased year by year, and this year has exceeded 900 million tons. The performance of contracts has become more and more standardized, and the overall national compliance rate has remained above 90%. Especially in the unfavorable situation of this year's epidemic that has caused a greater impact on coal supply and demand, the implementation rate of medium and long-term coal contracts has reached more than 95%.

The “Notice on Doing a Good Job in the Signing and Performance of Medium and Long-term Coal Contracts in 2021” issued by the National Development and Reform Commission on December 7 clarified that the supply and demand parties must further increase the proportion of medium and long-term contracts signed, and strive to basically complete the contract signing by the end of December 2020 jobs. The number of medium and long-term contracts signed by coal enterprises above designated size should reach more than 80% of their own resources. Since 2019, the proportion of nuclear increase coal mines signed should reach more than 90%. The number of medium and long-term contracts signed by power companies above designated size should reach 75% of the annual coal consumption. For power plants that use imported coal, 80% of the domestic coal consumption must sign medium and long-term contracts. Editor/Xu Shengpeng