Pricing move puts spark into power shares

Shares in mainland power and coal producers gained after Beijing's announcement of a new power and coal price linkage mechanism that frees coal prices from state intervention and lets power prices track coal price movements more closely.

But analysts warned investors that the move did not guarantee profit stability since Beijing retained the right to set power prices and intervene in the setting of coal prices "in times of unusual price volatility".

via Business feed http://www.scmp.com/business/commodities/article/1113885/pricing-move-puts-spark-power-shares