China's central bank said it has increased the targeted re-lending quota for the coal industry by another 100 billion yuan (about $15.11 billion) to support the clean and efficient use of coal, according to an announcement issued on May 9.
The new quota will be specially used to support the development and utilization of coal and enhance coal reserve capacity, according to the People's Bank of China (PBOC).
Financial institutions are encouraged to provide credit support for carbon emission reduction and clean and efficient use of coal, which will help ensure the security of energy supply while supporting the economic transition to green and low-carbon, and help achieve carbon neutrality in a scientific and orderly manner, PBOC said.
The move will help smooth production and storage and ensure supplies to coal-fired power plants, which is conducive to stabilize industrial supply chains and keep the country's major economic indicators within an appropriate range as a complex global environment and fluctuating international energy prices pose mounting uncertainties and challenges to China's energy security, according to the PBOC.
In late November, the country decided to carry out a targeted re-lending program with a quota of 200 billion yuan to make coal use cleaner and more efficient amid efforts toward green and low-carbon development.
(Writing by Emma Yang Editing by Tammy Yang)
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