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China to Break Electricity Distribution Monopoly Over Sales

  • Customers can negotiate directly with suppliers on price
  • State-owned grid operators to charge only a transmission fee
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China said it will end the monopoly of state-owned power distributors over electricity sales by allowing end users to negotiate prices directly with generators, pressing ahead with reforms the State Council flagged in March.

Generators will be able to sell power to customers through regional power trading platforms, the country’s top economic planning agency said in a statement on its website Monday. As part of the plan State Grid Corp. of China, China Southern Power Grid Co. and the Inner Mongolia Power Group Co. will operate networks and carry electricity for a government-set fee.