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          BIZCHINA> Top Biz News
          Coal-to-electricity plan to expand
          By Yang Wanli and Meng Jing (China Daily)
          Updated: 2009-11-16 07:43

          A seven-year plan to replace polluting coal-fired heaters inside the Second Ring Road ended on Saturday, with 160,000 families switching to electricity or gas.

          Authorities are subsidizing the cost of electricity in order to encourage the use of cleaner heating sources in central areas like Dongcheng, Xicheng, Xuanwu and Chongwen districts.

          They have also upgraded the city's power grid.

          The Beijing environmental protection bureau said it would expand the "coal to electricity" project to other areas, but was still discussing the details.

          Coal-to-electricity plan to expand

          In 2009, it invested 7 billion yuan and covered 450 streets and 72,000 families, most of which were nearby the 19 cultural and historical relics in the downtown area.

          Beijing started the project in 2001. At the end of 2008, 94,000 families had switched to electrical heating following a 6 billion yuan government investment.

          Liu Wei, deputy director of the Beijing bureau's atmosphere department, told the Beijing News that coal sales decreased by more than 60,000 tons between 2005 and the end of last year.

          He estimated that during this winter's heating season, sulfur dioxide emissions would reduce by up to 190 tons while carbon monoxide emissions would reduce by more than 10,000 tons.

          However, an 85-year-old woman surnamed Yan, who lives in Xiaobanjie Hutong, Xicheng district, said she preferred coal-fired heating instead of the alternative.

          "I love coal-fired heating, it easier to use and much warmer," she said.

          The government is subsidizing the price of electricity during 10 pm to 6 am, from Nov 1 to March 31.

          The price per kilowatt-hour is now 0.1 yuan, 0.3 yuan cheaper than the normal price. The cheaper price includes all electrical appliances used within that time period.

          Related readings:
          Coal-to-electricity plan to expand China considers to raise wholesale hydropower prices
          Coal-to-electricity plan to expand Huaneng Yimin to hike coal output
          Coal-to-electricity plan to expand Coal-fired power plants urged to purchase coal abroad
          Coal-to-electricity plan to expand Coal consumption is slashed

          According to a survey commissioned by the Beijing bureau, the price of electrical heating in a 15 sq m room is about 1,500 yuan for the winter season. However, with the government subsidy, the price drops to about 500 yuan.

          A resident surnamed Gu in Wangpi Hutong, Chongwen district, said: "Coal prices have been rising continuously in recent years, using electrical heating will save some money and it is much safer."

          Now that the project has been completed, the annual coal consumption is expected to decrease by about 30,000 tons, which will contribute to a cleaner environment.

          From Nov 1, the city recorded 10 days where the air quality had reached the "blue sky day" standard. Beijing has recorded 255 blue sky days this year, five below the aim of this year.


          (For more biz stories, please visit Industries)
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