China's coal power sector is facing higher risks of suffering losses as regulators say there is less space for more new projects in the coming years.

Nur Bekri, director of National Energy Administration, said, "Those projects with high resource consumption, high pollution and those that have not gotten approval should be halted. We should strictly carry out related approval rules, and stop all the construction that is not qualified."

According the the 13th five-year plan, China aims to control the total capacity of coal power at within 1.1 billion kilowatts by 2020. It's estimated that the capacity would reach about 950 million kilowatts by the end of 2016. Meanwhile, with increasing coal prices and large number of plants in operation, there are more risks for a loss in the coal power sector. Regulators say the country will cut more units that can't meet the environmental protection requirements.