The Chinese government is planning to establish five to seven
major coal producers over the next five years.
The bid to step up restructuring is intended to accelerate
technological modernization in the industry and to meet projected
growth in demand.
Each of the giants will have an output capacity of 100 million
tons of coal annually under the proposals in the country's 11th
Five-Year Plan (2006-2010).
The restructuring policies for the coal industry worked out by
the National Development and Reform Commission allow for mergers,
renovation and regrouping of small mines.
By 2010, China's coal output capacity is expected to hit 2.45
billion tons, up 16 percent from 2005, to realize the goal of an
overall balance of supply and demand. Last year, China's coal
output stood at 2.26 billion tons.
By 2010, the output of large and medium-sized coal mines should
account for 75 percent of the country's total, compared with the
current 56 percent.
Meanwhile, mechanization should be completed in 95 percent of
large and 80 percent of medium-sized mines, compared to 30 percent
of small mines.
Industrial safety and environmental protection are also key
targets in the industry's restructuring.
The government aims to cut the ratio of fatalities to every one
million tons of coal produced to fewer than 1.6 deaths by 2010 from
2.81 deaths in 2005.
Last year, 5,938 people were killed in 3,341 coal-mine related
accidents.
The government has intensified its crackdown on small and
illegally operated coal mines this year.
(XInhua News Agency May 3, 2006)