Priority of development:

Integration of coal-electricity-phosphorus industry. Great efforts have been made to enhance the equipment of key phosphorus chemical enterprises and their supporting facilities so as to develop and make use of phosphorus resources in an orderly manner and improve the availability of phosphorus associated resources. Based on the development of high purity phosphorus and wet-process phosphoric acid purification, fine phosphorus chemical has become the priority to realize progressive utilization of phosphorus resources. Develop phosphate for the purposes of materials, food, electronics, medicine and feed as well as fire retardant products, fine phosphorus chemical products including new energy battery using phosphide. The scale of phosphate compound fertilizer will be further controlled.

Integration of coal-electricity-aluminum industry. We attach importance to raising the level of supporting capacities of monohydrallite development, alumina, electrolytic aluminum and aluminum as well as the competitiveness of these products. Aluminum processing parks will be built and advanced technologies, such as, high precision strip, will be promoted. All-out efforts will be exerted to develop high purity alumina to support LED industry and offer high-strength aluminum alloy for equipment manufacturing industry like aerospace, aviation and automobile industry. Aluminum intensive processing industry producing high performance aluminum plate, aluminum strip, aluminum foil, aluminum tube, aluminum bar, aluminum profile as well as aluminum wire will be further developed.

Integration of coal-electricity-steel industry. Iron and steel industry and the structure of products will be further upgraded and optimized. More efforts will be made to develop high-quality long steel products, prime special steel, special steel, prime steel plate, belt and coil. Accelerate the pace of integrating titanium and steel as well as the combination of titanium and chemical industry. We will give more attention to develop the following materials such as titanium sponge, electronic-grade high-purity titanium as well as high titanium iron, chemical products of high quality titanium, titanium alloy and processing of titanium products. Moderate efforts will be made to grow ferroalloy industry by regulating the overall production volume. Besides, the adjustment of manganeisen, ferrochrome, and ferrosilicon will be pressed ahead and the structure of industrial silicon will be adjusted focusing on reducing energy consumption and technological improvement. Meanwhile, high purity ferroalloy, nanocrystalline composite alloy and refining alloy will be developed.

Integration of coal-electricity industry. Efforts will be made to develop modern coal chemical industry, including coal liquefaction, gasification, coal to olefin and coal to alcohol ether. Priority will be given to grow coal-coking and intensive processing of tar. Traditional coal chemical industry will be upgraded and transformed and the production scale of coal-made fertilizer will be controlled. Chemical industry for making chlorine and alkali through calcium carbide method will be developed. Promote the industrial development of titanium, aluminum, and building materials through chlor-alkali industry. The progress of intensive processing for manganese and barium will be facilitated.

Development layout:

Pick up speed to build industrial cluster of coal-electricity-phosphorus industry. Efforts of key enterprises including Wengfu Group Co., Ltd., Kailin Group Co., Ltd. and Guizhou Jinlin Chemical Co., Ltd. will be supported to build projects for the integration of coal, electricity and phosphorus industry. More encouragement will be given to cooperation among SMEs. Industrial clusters of coal, electricity and phosphorus industry creating over 100 billion RMB output value will be built in Weng’an-Fuquan, Kaiyang-Xifeng and Zhijin areas. The development plans for those clusters and their neighboring areas shall be formulated by Guizhou Development & Reform Commission, Guizhou Economic and Guizhou Economic and Information Technology Committee, Guizhou Land Resource Department. Guizhou City, Qiannan Prefecture and Bijie City shall coordinate the efforts. At the same time, according to the requirement of rational layout, conditions shall be created for cogeneration and building an industrial cluster of coal, electricity and phosphorus industry bringing 100 billion in output value. More efforts shall be made to upgrade the technology in separating phosphorus and rare earth and the technological test of separated smelting to create more favorable conditions for the integration of coal, electricity and phosphorus industry.

Build an integrated industrial cluster of coal-electricity-aluminum industry. Support the integration of coal-electricity-aluminum projects of Chalco Guizhou Branch, Guizhou Galuminium Group, CPI Guizhou Jinyuan Group Co., Ltd. and Guizhou Qiya Aluminum Co., Ltd. The construction of Guiyang and Zunyi aluminum processing parks will be accelerated to attract intensive processing enterprises. Intensive processing of aluminum products can be promoted through the molten aluminum made by Chalco Guizhou Branch and Chalco Zunyi Alumina Company. Speed up aluminum resources exploration and mine construction in Qingzhen-Xiuwen, Zunyi County, Wuchuan-Zheng’an-Daozhen, southeast of Guizhou Province (Qiandongnan) and south of Guizhou Province(Qiannan) to ensure enough supply of resources. Guiyang shall coordinate efforts to plan the industrial parks in Qingzhen and Baiyun and offer supporting facilities, for instance, power supply grids. Besides, greater efforts shall be made to cogeneration and build industrial clusters of aluminum enterprise creating 100 billion RMB output value. Zunyi and Qiandongnan Prefecture are in charge of the planning of industrial parks in Heping, Xiangjiang, Goujiang and Lubi, pressing ahead the cogeneration and developing intensive processing of aluminum. In addition, they are responsible for the cogeneration units and the energy supply in Wuzhengdao Coal-Electricity-Aluminum Industrial Park. Depending on sufficient resources, Qianxinan Prefecture and Anshun City shall develop intensive processing of aluminum by alumina resources of other areas.

Accelerate the pace of building industrial cluster of coal-electricity-steel industry. We encourage the following projects: restructuring of old factory of Shuicheng Iron & Steel Group and improvement of technology and equipment, coal-electricity-steel integration of coal-electricity-steel of Shouqian Company in Panxian County, relocation and technological renovation of Guiyang Special Steel Co., Ltd., industrial transfer of coal-electricity-steel of Hezhang County and Dushan Stainless Steel Basic Stock Development. New coking facilities or current ones will be built or further utilized and cogeneration units will be installed. Pick up speed of building coal-electricity-steel industrial parks in Shuiyue of Zhongshan District, Zhazuo of Xiuwen County, Jichangping of Panxian County, Zhushi Town and Zhijie Town of Hezhang and Mawei in Dushan County. To ensure supply of power and enhance competitiveness of ferroalloy enterprises concentrated in Qiannan, Qiandongnan, Qianxinan and Tongren and major enterprises in line with national industrial development policy and permission criteria, efforts will be exerted to explore direct transaction of electricity, build cogeneration units and utilizing the energy of local small-scaled hydropower plants.

Accelerate the building of industrial cluster of coal-electricity industry. In those areas with rich coal reserves such as Bijie, Liupanshui, Qianxinan, Zunyi, modern coal chemical industry and chlor-alkali industry shall be developed including intensive processing of coal, especially coal liquefaction, gasification and coal-to-olefin, coal-to- alcohol ether. Priority will be given to the following projects of coal-electricity integration, including coal-to- olefin and coal-to- alcohol ether projects of Sinopec in Zhijin; coal-to-glycol of Guizhou Qianxi Coal Chemical; coal-to- olefin project of Panjiang Investment Holding Group; coal-to-glycol of Bijie Region, Guizhou Yufu Energy Development Co., Ltd.; Qianxinan coal liquefaction; chemical processes for making chlorine and alkali of China Power Investment Suiyang Chemical Co., Ltd. and Guizhou Jinhong Chemical Co., Ltd. Speed up the construction of coal-electricity bases in Zhijin, Dafang, Qianxi, Jinsha, Puding, Liuzhi, Shuicheng, Panxian, Xingren, Xingyi and Tongzi as well as the chlor-alkali chemical industry base in Qianbei. Based on relevant industrial planning, multiple methods can be taken to guarantee energy supply by building cogeneration units, direct transaction of electricity and making use of local small-scaled hydropower plants. Promote the development of refined processing of manganese and barium in areas with large amount of manganese and barium reserves, for example, in Zunyi and Anshun. Coal-fired power plants are encouraged to engage in flue gas desulfuration and denitration efforts.

Development measures:

Encourage corporate reorganization and combination. To set up a system for industrial division and cooperation, corporate reorganization is supported to facilitate the flow of production factors and interactive development of industries based on the requirements of capitalization and securitization of asset and diversification of equities. Leading enterprises in and out of Guizhou, specialized in coal, electricity, iron & steel, aluminum and phosphorous are encouraged to scale up and form industrial bases, promote integrated development momentum and realize cooperative production. Therefore, they can set up a profit-sharing mechanism focusing on ownership, connected by capital. Through which, the holding, control of stocks and acquisition can be achieved. These moves can bring into large enterprises in various regions with different scopes of businesses and ownerships and enterprises can be closely linked to each other. Big coal enterprises are encouraged to cogenerate power and realize integrated operation through capital reorganization. Resource exploration enterprises and intensive processing ones are supported to set up corporate groups or consortiums based on capital. This measure is able to enhance the level of cooperation and competitiveness of industrial integration.

Improve the way of supplying power for integrated industries. To ensure power supply, multiple ways shall be formed, which are mainly dominated by large power grids and complemented by cogeneration of different enterprises, comprehensive utilization of waster heat and excess pressure and local small-scale hydropower plants. Plan in advance the industrial clusters for coal-electricity-phosphorus industry, coal-electricity-aluminum industry, coal-electricity-steel industry and coal-electricity industry and corresponding power supply facility in the industrial parks. The power supply and comparative advantages of integrated enterprises shall be substantively improved. Pricing mechanism for direct transaction of electricity shall be established. While enhancing the competitiveness of integrated industries on the market, efforts shall be paid to take into account the benefits of power grid enterprises and confirm the price for power transmission and distribution in a reasonable manner. The newly-increased load of qualified enterprises and industrial parks may be included in pilot programs of direct transaction of electricity.

Establish an operation and management mechanism of cogeneration. Major enterprises of integrated industries are incented to build cogeneration units and other qualified companies are also supported to participate in the process so as to increase the demand for co-generating power and steam load in stable demand. This is conducive to enhancing the utilization of resources, strengthening the momentum of development and redoubling market competitiveness.

Key projects of recycling economy will be carried out. Meanwhile, demonstration bases for comprehensive utilization of resources and recycling industrial parks will be planned and built. These projects are built in line with the specifications of recycling economy for integrated industries. These measures are designed to use associated minerals in a more comprehensive way. In addition, they can scale up the utilization of large quantities of industrial wastes such as desulfurized flue gas, coal ash, red mud, ardealite, flue gas desulfurization gypsum, acetylene sludge, yellow phosphorus slag and yellow phosphorus tail gas. The aim is to turn wastes into resources.

Strive to introduce investment into advantageous resources. Encourage competitive enterprises from China and abroad to invest by building up industrial chains…Relying on resources, industrial cluster of integrated enterprises can be built to provide better investment environment. Besides, a fair, transparent and predictable market environment shall be created so that businesses with different types of ownerships can use production factors, participate in market competition and be treated as equals under law.

Enterprises or groups of coal-electricity-phosphorus industry, coal-electricity-aluminum industry, coal-electricity-steel industry and coal-electricity industry are encouraged to be pioneers in merger and reorganization.