Zhang Hong: unswervingly deepen the structural reform of coal supply side

On December 14-15, the 2020 China steel market outlook conference was held in Shanghai. At the Theme Conference on December 15, Zhang Hong, Secretary of Discipline Inspection Commission and Deputy Secretary General of China Coal Industry Association delivered a speech. Zhang Hong said that China's macro-economic development has changed from a long-term high-speed development to a medium high-speed development, the growth rate of energy consumption has slowed down, and the growth rate of coal consumption has declined significantly. In the first three quarters of 2019, in China's energy consumption structure, the proportion of clean energy increased by 1.2%, and the proportion of coal consumption decreased by 1.7%. "The pace of China's economic restructuring has accelerated. The proportion of the primary industry has dropped significantly, the proportion of the secondary industry has dropped, and the proportion of the tertiary industry has increased significantly.

The drop in the proportion of the second industry, the drop in fixed asset investment and the drop in the growth rate of high energy consuming industries such as power, metallurgy, building materials and chemical industry are the direct reasons for the sharp drop in the growth rate of coal consumption. " Zhang Hong said. In fact, China's energy structure adjustment, rapid development of new energy and renewable energy, increased consumption proportion, and gradually enhanced the role of coal substitution. The growth rate of product output of major coal consuming industries fell sharply. The consumption of some industrial products has entered the peak platform period, and the direct driving force for coal consumption has declined significantly; the new coal chemical industry is expected to become a new driving force for coal demand. However, at present, the development of new coal chemical industry still needs relevant policy support. At present, the pace of coal industrial restructuring is accelerating. Zhang Hong said that the number of coal mines across the country has been greatly reduced; large modern coal mines have become the main body of coal production across the country. By the end of 2018, 48 large-scale coal mines of 10 million tons have been built in China, with a capacity of 770 million tons / year. There are 23 coal mines of 10 million tons under construction, with a capacity of 299 million tons / year. There are 71 coal mines with a total capacity of 1.07 billion tons / year. In addition, the benefits of the coal industry rebounded, the business operation improved, and the coal mine safety production situation improved significantly.

For the difficulties and challenges faced by the development of the industry, Zhang Hong said that the factors such as the double control of total coal consumption and intensity, the control of ecological environment and air pollution in the mining area, as well as the different social understanding of the role of China's coal position and the impact of a large number of imported coal were superimposed, forming a double pressure of cost increase and market price competition for coal enterprises. "China's economic structure has accelerated optimization and adjustment, its industrial structure has accelerated transformation and upgrading, its energy structure has undergone revolutionary changes, and its technological structure, led by the fourth industrial revolution, is undergoing rapid changes." Zhang Hong believes that coal is the main energy in China, and the coal industry is an important basic industry in China. In the great changes that haven't happened in a century, coal industry has profound influence and severe challenges. With regard to the opportunities and prospects for the development of the industry, Zhang Hong pointed out that through nearly four years' efforts, the structural reform of the coal supply side has achieved remarkable results. Moreover, coal, as the main energy in China, is difficult to change in the short term. Considering the improvement of large-scale modern coal mine construction standards, the total investment scale of coal industry construction in the next 20 years will be about 4.0 trillion-6.0 trillion yuan. For the future, Zhang Hong said that he will unswervingly deepen the structural reform of the coal supply side, accelerate the merger and reorganization of coal enterprises, and improve the industrial concentration; study policy measures and institutional mechanisms, promote the mutual control and holding of the upstream and downstream coal enterprises, promote the coordinated development of the coal industry chain and effectively reduce the tax burden of coal enterprises.