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New measure enhances mining efficiency

By Te Kan | China Daily | Updated: 2007-03-16 07:13

Coal mines conventionally measure their output in tons. The bigger the output, the higher the profits expected by the coal company.

But this formula does not always work in the market.

After all, what buyers want from their coal purchase is heat rather than weight. High coal output with a low calorie content thus cannot bring good fortune for the company.

The conventional means of measuring coal output cannot quantify heat energy, which is an essence of coal, and thus fools producers into pursuing raw output and ignoring product quality, experts say.

Such inefficient mining, focused on quantity above quality, does more than reduce coal miners' revenues. More importantly, it is an irretrievable waste of declining natural resources.

Amid such a scenario, Yongcheng Coal and Electricity Group Co Ltd has created a new means of measurement that introduces a new standard unit and takes into consideration the heat that one ton of coal will generate.

According to this innovative measuring system, raw coal cannot be deemed as output when heat produced by it is below the stipulated figure.

In contrast, when heat exceeds the stipulated figure, one ton of coal is converted into more than one standard unit.

As pay is linked with converted coal output, pursuing high-quality coal has become a common goal for the company's workers. With improvement of coal quality, the company's sales revenues have grown significantly, which in turn has benefited workers.

Experts say that the new measuring formula creates a standard unit according to market demand.

Thus, buyers' requests are passed on to miners, providing an immediate link between production and the market.

Further, valuing mining efficiency promotes rational use of energy resources.

Experts suggest that this healthy growth mode should be promoted across the entire coal industry.

(China Daily 03/16/2007 page19)

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