National Development and Reform Commission, Regulation of the Coal Business Procedures

Promulgated: December 27 2004
Effective: 30 days from the date of promulgation
Applicability: For the purposes of the Procedures, the term "coal business" refers to the wholesale and retail of raw coal and processed products thereof, as well as the processing and distribution of coal for daily use (Article 3).

Main contents: Article 7 concerns the requirements for establishment of coal business enterprises. The registered capital of a coal business enterprise shall be Rmb50 million or above (Article 8). A coal business shall eliminate any irrational intermediate stages. The state advocates conditional direct sale by coal mining enterprises, and encourages large-scale coal mining enterprises and enterprises with large consumption of coal to sign medium- to long-term direct sales contracts (Article 30). Train stations, ports and other transport enterprises engaging in coal transportation may not, by making use of the transportation capacity they possess, participate in coal businesses (Article 35).
Related legislation: PRC Coal Law, Aug 29 1996; Administrative Licensing Law and PRC Contract Law, Mar 15 1999, CLP 1999 No.4 p19
Repealed legislation: Administration of Coal Business Procedures, Jun 22 1999, CLP 1999 No.9 p10