BEIJING (Reuters) - China will impose higher power costs for steel mills operating outdated production equipment, the country's economic planner said in a statement on Tuesday.
The National Development and Reform Commission (NDRC) ordered utilities to raise power prices by 0.5 yuan ($0.0719) per kilowatt-hour (kWh) on top of current prices for steel mills preserving equipment that ought to be eliminated.
Steel firms owning restricted equipment will be charged 0.1 yuan per kWh more than current power prices, without defining what restricted equipment is.
The policy aims at promoting capacity cutting in the steel industry.
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($1 = 6.9571 Chinese yuan renminbi)
(Reporting by Muyu Xu and Beijing newsroom; Editing by Christian Schmollinger)
(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
