Newssummary: Xinjiang Aluminum Smelters Benefit as Local Power Rate Cut Far Outweighs Nationwide

SHANGHAI, Apr. 21 (SMM) – Xinjiang decided to cut power tariffs by an average 0.093 yuan (￠1.5)/Kwh for local industrial and commercial power users, starting on April 15, 2015, China Securities reported. 

 

The cut is more than five times sharper than the national average cut of 0.018 yuan/Kwh. 

 

Rich coal resources allow power tariffs in Xinjiang to be lower than the rest of the country. This, together with the recent power tariff cuts, will substantially cut power costs for aluminum smelters in Xinjiang, which drives nearly half of the growth in China’s new aluminum capacity, China Securities added.