(Yicai) Aug. 12 -- China will accelerate the optimization of the coal industry during the 15th Five-Year Plan period (2026-2030), including advancing the intelligent upgrade of coal mines, facilitating the green and low-carbon transformation, and promoting the substitution of clean energy to achieve peak coal consumption.

China will consolidate the dominance of Shanxi province, West and East Inner Mongolia Autonomous Region, North Shaanxi province, and Xinjiang Uygur Autonomous region in coal production, focusing on building high-standard large modern coal mines, according to a national plan jointly released by the National Development and Reform Commission and the National Energy Administration on Aug. 10.

By 2030, the total output of the above five major production regions is expected to account for over 80 percent of the national total, the plan predicted.

Meanwhile, China will accelerate the phased elimination of outdated coal production capacity, including closing coal mines in western regions with outdated technology in ecologically sensitive areas and those in central and eastern regions that have experienced severe disasters and resource depletion.

To enhance the intelligence level of coal mines, the plan proposed to advance the systematic application of artificial intelligence in various scenarios, such as exploration and design, construction and production, operation and maintenance, and safety management, and promote robotic operations to replace hazardous and labor-intensive jobs.

The plan also called for the promotion of low-carbon mining areas, which includes establishing a carbon emission and carbon footprint monitoring system for coal production. It encourages the use of electric and hydrogen heavy-duty trucks to replace traditional fuel-powered ones in mining areas and the development of wind, solar, and geothermal power projects in suitable mining regions.

Through these efforts, large modern coal mines and intelligent coal mines will likely account for 87 percent and 75 percent, respectively, of China’s total capacity by 2030. There will also be significant improvements in the safety, green development, and clean, efficient utilization of coal resources by then.

As the coal industry shifts from scale expansion to quality improvement, small- and medium-sized mining enterprises lacking the capability for intelligent transformation will face significant pressure to adapt, Lin Boqiang, dean of the China Institute for Studies in Energy Policy at Xiamen University, told Yicai. Meanwhile, leading coal miners with resource advantages and an early-mover advantage in intelligence will likely expand their market share, he added.

Editors: Dou Shicong, Futura Costaglione