Firing up measures to ensure coal supply: China Daily editorial

Coal prices have risen to such an unreasonably high level that it is not only unprofitable for power plants to generate electricity, but the more electricity they generate, the more losses they suffer.

It is of the utmost importance to rein in coal prices as they will pose a threat to people's daily lives when winter sets in. The vicious circle between rising coal prices and the ever increasing cost of thermal electricity generation will also be a drag on industrial production, which will cast a shadow over the country's healthy economic growth.

In some provinces, the price of coal has more than doubled compared with that in the same period of last year, and the price has even tripled in a few places.

Having analyzed the situation, the National Development and Reform Commission, the country's major economic planner, has concluded that the unbridled soaring of coal prices is partly driven by those hoping to hit the jackpot by taking advantage of the power supply falling short of actual need.

With temperatures dropping and the need for heating increasing, the demand for coal is growing, providing an opportunity for speculators to hoard coal and make a fortune by raising prices as high as possible.

It is absolutely necessary for the government to do whatever it can within its discretion to squeeze out those pushing up coal prices in this way. There should be zero tolerance to the hoarding of coal, forging of chains to raise coal prices and other illegal activities in this regard.

However, having said that, it is a fact that the supply of coal has fallen short, and something has to be done to increase the production of coal. That is the way to solve the problem at its root.

That explains why the government has given the green light in recent days to more than 900 coal mines to produce coal. In such circumstances, supervision must be tightened on these mines to ensure safe production.

Repeated power cuts in some localities and the hiking of coal prices afterward should serve as a reminder that more needs to be done on the part of local governments to foretell a potential crisis and take preemptive measures.

Now, apart from taking the necessary measures to stabilize coal prices and restore them to reasonable levels and secure enough supply of coal, governments at all levels need to identify the weak links in the provision of heating for residents so that potential problems can be addressed in advance.

In that way, the promise of always placing the interests of the people first can be honored.