"Coal overcapacity reduction should be achieved through market and law-based means," said Lou Yangsheng, governor of Shanxi, adding that mergers and reorganizations would be encouraged.
Central Hubei Province said that it would close all its coal production firms in two years. Southwestern Guizhou Province will slash 15 million tonnes of coal capacity by closing 120 coal mines this year.
As part of the reform, local governments will also focus on handling poor-performing zombie companies.
Eastern Zhejiang Province plans to close 300 zombie companies and 1,000 firms with outdated capacity this year. Southern Guangdong Province aims to close 74 private zombie firms after it closed more than 2,000 state-owned zombie companies and 39 private companies in 2016.
China achieved its 2016 target of cutting 45 million tonnes of steel and 250 million tonnes of coal production capacity, affecting nearly 800,000 workers.
This year the tasks will be heavier, and zombie companies will be focused on, according to Xu Shaoshi, head of the National Development and Reform Commission, the country's top economic planner.
So far, 27 provinces have unveiled growth rates for last year and their targets for 2017 at local annual legislative sessions.
Among them, 23 had growth rates higher than the national 6.7 percent,with the southwestern Guizhou, Chongqing and Tibet all above 10 percent. Beijing and Shanghai both reported 6.7 percent.
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