China to create world’s largest power utility

China has announced the merger of Shenhua Group with China Guodian Group to create a power utility estimated to worth $271 billion.

With combined assets, Shenhua-Guodian merger will be the world’s largest power company by installed capacity, according to Bloomberg New Energy Finance, reports EBR.

China Guodian Group is one of the top five state-run power generators in the country.

The new company will be known as National Energy Group.

With this deal Chinese authorities are aiming to reduce excess capacity in the industrial sector.

Source: EBR