my country further reduces general industrial and commercial electricity prices

The National Development and Reform Commission announced on the 15th the second batch of measures to reduce general industrial and commercial electricity prices. Among them, the price reduction space created by reducing the collection standards for major water conservancy project construction funds by 50% will be used to reduce general industrial and commercial electricity prices.

The notice requires that the depreciation life of fixed assets of power grid enterprises be appropriately extended and the average depreciation rate of fixed assets of power grid enterprises be reduced by 0.5 percentage points; after the value-added tax rate and the average depreciation rate of fixed assets are reduced, the re-evaluated power transmission prices for inter-provincial and inter-regional special projects are detailed in the attachment. The price reduction space caused by the price reduction of special projects shall be based on 1 between the power-transmitting province and the power-receiving province: 1 proportional distribution. All the price reduction space created by the above measures will be used to reduce general industrial and commercial electricity prices.

The notice is clear. Due to the reduction of the value-added tax rate to 13%, the price reduction space created by the non-market trading electricity of hydropower enterprises in the province and the non-market trading electricity of hydropower and nuclear power enterprises (except third-generation nuclear power units) across provinces and regions will be used to reduce the price reduction of general industrial and commercial electricity. electricity prices.

The notice proposes to actively expand the scale of general industrial and commercial users’ participation in power market transactions and further reduce power consumption through market mechanisms. Electricity costs.

The notice requires that the price authorities of all provinces (autonomous regions and municipalities) should promptly study and propose specific plans to use the above price reduction space to correspondingly reduce local general industrial and commercial electricity prices, and issue a document before the end of May in accordance with the procedures. It was officially implemented on July 1.

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