Coal Prices Hold Firm at High Levels as LNG Costs Rise, Spot Power Prices Diverge Across Provinces
Under the combined influence of high-temperature demand, renewable output and fuel costs, provincial spot markets showed increasingly divergent trends during the week, with price centres moving higher in Shandong, Guangdong and Jiangsu, but lower in Inner Mongolia and Shaanxi. Shanxi, meanwhile, recorded weaker day-ahead prices but a marked rise in intraday prices toward the end ...
During the week of September 14-20, China's provincial spot power markets exhibited divergent trends, with prices rising in Shandong, Guangdong, and Jiangsu, while falling in Inner Mongolia and Shaanxi. Shanxi saw weaker day-ahead prices but significant intraday price increases at week's end. High temperatures throughout the week, particularly in Shandong, Guangdong, and eastern regions, drove demand for cooling, which in turn boosted power prices.
CCTD Qinhuangdao 5,500 kcal thermal coal prices remained firm at RMB 754/mt and 5,000 kcal at RMB 684/mt, while 4,500 kcal coal dipped to RMB 616/mt. In Guangdong, LNG prices surged to RMB 6,205/mt, while the SMM China LNG arrival price fell from USD 29.74/MMBtu to USD 27.19/MMBtu. Shandong's spot price center rose due to heat-related demand and coal-fired generation costs, peaking at RMB 518.58/MWh by September 18.
Guangdong's day-ahead generation-side average price climbed from RMB 443.67/MWh to RMB 529.19/MWh, a 12.5% increase from the previous week. Real-time prices were even more volatile, reaching RMB 583.15/MWh at week's end. Eastern Guangdong LNG prices also increased, driving higher gas-fired generation costs. In Jiangsu, both day-ahead and intraday prices strengthened, with intraday prices surging to RMB 474.48/MWh, a 15.3% rise from the week before.
Inner Mongolia's market was highly sensitive to renewable output, with prices ranging from RMB 145.22/MWh to RMB 586.10/MWh. The system-wide arithmetic average declined to RMB 374.09/MWh, down 18.4% from the previous week. Wind and solar generation's high share meant the market was highly volatile, with prices plummeting sharply when renewable output increased.
Written by urgent.news from Hellenic Shipping News's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
