Summer pricing for electricity has taken effect in Shanghai as of July 1, in a bid to regulate electricity consumption and facilitate energy saving in the summer peak period through the lever of pricing, said the municipal source.

The summer pricing for electricity will extend for a period of three months, with average price per kwh rising 0.035 yuan from the previous basis, the source said.

The summer pricing system will be excluded in the spheres of civilian use and agricultural production.

Meanwhile, the structure of summer pricing has been readjusted with a gap between peak and valley prices extending from 4:1 to 4.5:1.

The municipal source said that the peak period for summer electricity consumption has come ahead of time, due to climate rarely-experienced in the past 60 years.

According to local estimates, the peak load in Shanghai this summer will hit 19 million kw, representing an increase of 12 percent.

Source: Xinhua