Economic Analysis And Decision-making Model Of Coal And Electricity Integration

In recent years, with the continuous increase of the needs of coal, electricity and other energy, the coal price rises continually, and the shortage of coal supply becomes more serious, resulting a more intense confrontation between coal producer and generation enterprise. However, the government can not find an effective solution on the coal industry chain. For a long time, an agreement on the coal price between the coal companies and electric power companies can not be reached. From the whole industry, the coal industry is facing severe challenges, and the vertical relationship of the industry chain is complex; separately, the contradiction between the coal companies and power companies is difficult to reconcile. Therefore, it is necessary to find out solutions to the contradiction of the shortage of coal and electricity, and to the price formation mechanisms and the coordination of interests.On the basis of the analysis of the coal industry chain status and the research results in recent years, this paper firstly summarized the contradiction between the demand and the supply of coal and electricity, the price formation mechanisms, and the game among companies. Then made a systematical discussion and analysis on the contradiction between coal and electricity, on severe situation that the coal and electricity industry can not handle the contraction effectively neither short-term nor long-term.This paper analyzed the basic theory and influencing factors of the coal and electricity integration strategy, and pointed out that the internal and external transaction costs have an important influence on it, from the following three aspects: the structure of integration strategy, the economic theory of power generation companies to implement coal and electricity integration, and the decision factors of power generation to implement coal and electricity integration.Use of coal and electricity integration strategic decision-making model, the numerical example shows that the integration strategy choice is reasonable and feasible, it can be achieve better economic efficiency. In the market economy is not developed countries such as China and Vietnam coal, electricity and other energy industry continue to carry out reform and innovation, the integration of coal industry reform as an industry strategic choice.