NDRC denies 87 kwh threshold report

China's top economic planner denied media reports that it had set 87 kilowatt hours as the threshold for a progressive power tariff mechanism for residential uses.

The National Development and Reform Commission said today that power usage, income, and spending levels all vary dramatically in different areas. This makes it impossible to come up with a unified threshold. Each province should set its own standard, according to the local situation. They also need to listen to public opinion.

Progressive pricing mechanisms have been adopted by many countries. Japan sets basic power usage at 120 kilowatt hours per month, South Korea uses a 100 kilowatt hours benchmark, and Egypt starts out at 50 kilowatt hours.