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China's power sector reported 14.46 billion yuan in net profit in 2006, a sharp increase of 43 percent year on year, according to figures released by the National Development and Reform Commission (NDRC) on Wednesday.

 

Sales revenue totaled 2.08 trillion yuan, up 20 percent, on the back of hefty demand and an electricity price hike, the NDRC report said.

 

State-owned power generators notched up sales revenue of some 1.87 trillion yuan, up 20 percent year on year. Their net profits jumped 43 percent to 12.11 billion yuan.

 

The installed electricity capacity of the sector reached 6.22 trillion kilowatts, a rise of 20.3 percent from a year ago.

 

China raised electricity retail prices by an average of 2.49 cent (0.31 US cents) per kwh on June 30 last year in response to higher coal prices.

 

Power demand continued to rise last year, with national electricity consumption soaring 14 percent from a year ago to hit 2.82 trillion kilowatt-hours, up 0.4 percentage points from 2005, the report said.

 

Power strains in some areas have been largely overcome. Two major power systems -- the State Grid and the Southern Grid -- saw blackouts fall 97 and 85 percent respectively.

 

Seasonal strains on power supply have also been alleviated with summer peak power shortages dropping nearly 50 percent to 13 million kilowatts.

 

The report pointed out that some regions, in particular resource-hungry Shanxi and Tangshan, still faced an inadequate power supply.

 

(Xinhua News Agency March 9, 2007)