The Difference in the Costs at Silicon Plants Diverged

SHANGHAI, Oct 26 (SMM) – The electricity price in multiple regions increased in October, but the reasons for the increase are different. The increase in Yunnan and Sichuan was caused by the end of rainy season. The electricity price soared in Hunan, Chongqing and Guangxi as the thermal power generation costs rose due to tight supply of coal and dual control policy of energy consumption.  The electricity price rose 16%-50%, with over 0.7 yuan/kWh in individual regions. The difference of the electricity cost in various regions can be 4,000 yuan/mt, and the cost difference even reaches 5,000 yuan/mt if added the raw material costs of silicon plants in various regions. 

Producers in Sichuan operate normally. Plants in Yunnan are likely to suspend production in November amid the shortage of power and energy consumption indicators.  The increase in electricity charges in various regions did not exert an impact on the production at silicon plants. Except for Yunnan, plants in other regions maintained positive operating rates under the suppression of high electricity prices.