China’s National Development and Reform Commission (NDRC) said it would launch probes into energy price index providers following complaints that some of those providers had “manipulated price indexes” using false transaction prices, “hearsay” information, and “fabricated” price data. The NDRC said it would summon some providers without specifying their names. It also pledged to punish any irregularities with inclusion on a blacklist or suspension of publication.
Providers of coal pricing data in China include the China Coal Transportation and Distribution Association, the China Electricity Council, and Fenwei Digital Information Technology. Last month, a coal trading firm was banned from issuing daily prices and market news as authorities tried to regulate commodity markets and cool down overheated prices.
The NDRC urged coal producers to “strictly” meet contractual obligations in its latest efforts to curb soaring prices. The thermal coal futures contract for January delivery on the Zhengzhou Commodity Exchange settled down 7% at CNY1,305.6 ($204.42) per ton, having declined by 35% from last week’s record high of CNY1,982 ($310.33) per ton.
