China Coal Transport and Distribution Association director David Fang told Bloomberg the daily coal use at generators linked to the State Grid of China Corporation’s network had fallen to 1.69 million tonnes, referencing data from the grid operator, reportedly 17% down from the same time last year.

While electricity consumption has been falling over the past months, China Daily reported the China Electricity Council as forecasting the nation’s power consumption to grow by 5% in 2009 with the expected slump in the first half of the year to be offset by growth in the second half.

In November, the Chinese government announced a 4 trillion yuan ($US585.74 billion) economic stimulus package to bolster national housing, roads, railways and airports development with effects of the package tipped to kick-in during the second half of the year.

The Chinese New Year day was not in January last year, falling instead on February 7.