Xinhua reported that China Huaneng Group, the country largest power producer posted a profit of CNY 6.1 billion last year despite losses in the thermal power business.

Mr Cao Peixi president of Huaneng said losses totalling CNY 6.5 billion in the group thermal power plants were offset by other business gains resulting in a 21.7%YoY profit decline on the balance sheet.

He attributed losses in thermal power plants to the state price control over electricity while thermal coal prices are largely determined by the market.

Mr Cao expected power consumption to slow in 2012 amid an economic slowdown and a nationwide industrial restructuring.

The group business revenue amounted to CNY 270.3 billion up by 18.5%YoY.

Huaneng installed power generating capacity rose 10.5%YoY to 125.38 million kilowatts in 2011 accounting for 11% of the country total.

(Sourced from Xinhua)