Power Pulse #12: Guangdong spot tariff rebound; coal cost and hydro headwinds

Research evidence excerpt

Power Pulse #12: Guangdong spot tariff rebound; coal cost and hydro headwinds

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Power - China

Power Pulse #12: Guangdong spot tariff

rebound; coal cost and hydro headwinds

Industry Overview

Key charts on China power utilities 15 June 2026

Power Pulse provides key charts on China’s power & renewables. Spot tariffs in Equity

Guangdong softened in May but rebounding in Jun, with tariff increases mainly in China

Southern and Eastern coastal regions. Weather forecasts suggest below-average Electric Utilities

national temperature and rainfall in summer. Our channel checks suggest solar / wind Gary Tsang >>

installation fell -89% / -80% YoY in May in the State Grid region, hurt by the rush Research Analyst

installation before Jun 2025. Onshore wind turbine tender price uptrend is intact, while Merrill+852 3508Lynch6825(Hong Kong)

solar supply chain prices may see more headwinds from rising production and weak gary.tsang@bofa.com

demand. Charlotte Xia >>

Research Analyst

Tariff: GD spot px down in May, rebounding in June Merrill+852 3508Lynch5029(Hong Kong)

Spot tariffs in Guangdong and Yunnan retreated from around 40% above the benchmark charlotte.xia@bofa.com

in April to 1–3% below the benchmark in May. Zhejiang, Shanghai and Guizhou were the Cissy Guan >> Research Analyst

only 3 out of 31 provinces with spot tariffs slightly above the benchmark in May. Merrill Lynch (Hong Kong)

Entering June, Guangdong spot tariffs are rising 59% YoY to RMB47c so far, up from cissy.guan@bofa.com

+24% YoY in May. Spot tariff increases happen mainly in Southern & Eastern coastal

regions. Outlook depends on El Nino impact as forecasts still point to below-average

temperature in Jun/Jul with weak rainfall. User-side power tariff fell -13% YoY or RMB5c