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Shandong: Ensuring the supply of factors needed for fertilizer production and improving the capacity utilization rate of manufacturing enterprises. Author/Source: Sinochem New Network. Date: November 26, 2021. Clicks: 37. Recently, various departments including the Shandong Provincial Development and Reform Commission jointly issued a notice on taking concrete measures to ensure the supply of fertilizers and stabilize their prices this coming spring, outlining specific plans for achieving this goal. The Notice requires that efforts be made to ensure the supply of factors required for fertilizer production. All cities and organizations must attach great importance to fertilizer production, strengthen organizational coordination and scheduling to ensure the supply of production factors such as raw materials and energy for fertilizer manufacturers, and give priority to those enterprises that help maintain domestic market supply. It is necessary to actively guide key raw material suppliers in the region, such as those providing coal, sulfur, and sulfuric acid produced as a by-product of metallurgical processes, to enter into long-term supply contracts with major fertilizer manufacturers. Efforts should be made to increase the rate of compliance with these long-term contracts, thereby ensuring an adequate supply of raw materials for fertilizer manufacturers and price stability. Urban gas supply companies must strictly fulfill the natural gas supply contracts signed with fertilizer manufacturers. While ensuring an adequate supply of gas for domestic use, they should minimize the reduction in gas supply and the duration of such reductions for those industrial users in fertilizer plants whose operations can be suspended, during the heating season. At the same time, they should work to establish a win-win cooperation mechanism with these fertilizer manufacturers. Power grid companies should give priority to ensuring electricity supply for fertilizer production. The Notice requires efforts to improve the capacity utilization rate of fertilizer production enterprises. Relevant departments should give priority to ensuring that key fertilizer plants with a production capacity of 600,000 tons per year (in terms of physical volume) or more have the necessary energy quotas and supply for the production of marketable fertilizers in the domestic market. Appropriate preferential treatment should be provided to such plants regarding coal consumption controls; for new production capacities, the corresponding coal consumption quotas must be increased accordingly. Fertilizer manufacturers should be allowed to operate at full capacity, and all necessary quotas should be secured through thorough coordination. Fertilizer production enterprises of grades A and B are allowed to be managed as enterprises related to people’s livelihood protection, and can independently reduce emissions during periods of severe air pollution in autumn and winter. In addition, the Notice also sets out specific requirements regarding the regulation of fertilizer reserves, transportation and distribution, market supervision, as well as efforts to reduce consumption while improving efficiency.