NDRC Continues Policy of Reducing Electricity Costs for Enterprises

The National Development and Reform Commission (NDRC) recently issued a circular (Fa Gai Jia Ge No. 994 [2020]) on extending the policy of the provisional reduction of electricity costs for enterprises. In order to implement the policy deployments of the Central Authorities and the requirements of the Government Work Report, make overall plans for advancing the work of epidemic control and prevention and social and economic development, and promote the reduction of production and operation costs of enterprises, the NDRC decided that power-grid companies must uniformly continue to settle prices at 95% of the actual price originally paid by users when calculating and collecting electricity tariff between 1 July and 31 December 2020. The scope of implementation of this policy continues to include electricity users currently paying tariff at rates for general industry and commerce, other rates and rates for big industries except users in the high energy-consumption industries.

The circular also requires the price regulators in all localities to guide power-grid companies in conscientiously grasping the implementation of the policy of the provisional reduction of electricity consumption costs of enterprises.

Source: National Development and Reform Commission