Review of Coal Overcapacity's Genetic Mechanism and Its Governance Policies in China

With the constraints of resource endowment, production safety, mining technology, environmental pollution and economic benefit of coal industry, the issues of coal's scientific capacity are being closely watched, and the coal scientific productivity is increasingly becoming a key factor to guide market balance. According to the literature reviewed, the article analyzes the coal overcapacity's genetic mechanism and its corresponding governance policies in China. It shows that: (1)Most existing researches confused the concepts of surplus of products, overproduction and overcapacity, while the study of coal scientific capacity should take into consideration the effects of resources, environment, economy, science and technology, security constraint, and so on;(2)a lot of researches have been made on the evaluation of coal overcapacity, which are mostly based on subjective judgment or a single indicator analysis, while quantitative analysis of scientific evidence is almost blank, with missing data as the fundamental obstacle;(3)many studies on the causes of excess coal production capacity mechanism, have not yet formed a logical analysis framework, while future studies should be based on the perspective of the main stakeholders from the enterprises' profit-seeking behavior, impulsivity local development, changes in market supply and demand as well as the game between central and local government and other aspects to be analysis;(4)based on scientific productivity, the effective governance policies need to be designed, particularly in light of the composite targets for resources, security, science and technology, environment, economic and so on, while the coordinating-development regulation polices for stakeholder of China's coal productivity still need to be improved.