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Commodities

China's state planner urges release of coal capacity for summer

FILE PHOTO: A worker shovels coal at a freight yard in Hefei, Anhui province, January 13, 2013. REUTERS/Stringer/File Photo

BEIJING (Reuters) - China’s top planning body has urged coal mines to speed up the release of high-grade coal capacity to help ensure electricity supply during peak hours and to key regions in summer, the state-backed Security Daily reported on Wednesday.

The document issued by the National Development and Reform Commission (NDRC) also called for “the expansion of direct electricity transactions and the optimization of electricity supply.”

Earlier this month, the NDRC said China would allow some coal mines to increase capacity as part of efforts to boost supply for summer.

China’s most-active coal futures rose to a record high last week of 585 yuan ($86.11) per tonne, fueled by concerns of supply shortages during the summer months from June to August.

Reporting by Muyu Xu and Beijing newsroom; Editing by Richard Pullin

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