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April 2, 2016

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Charging poles to tap e-car growth

SHANGHAI will accelerate development of charging infrastructure for new-energy cars, and is set to follow the central government in cutting sales subsidies to turn the sector into one driven by market forces.

The number of charging poles in the city will grow nearly 10 times in the next five years to 210,000 by 2020, up from 21,700 at the end of last year, to serve 260,000 new-energy cars, the Shanghai Transport Commission said yesterday.

The figure means a growth of 4.5 times the population of Shanghai’s officially recognized new-energy cars, which include purely electric cars and plug-in hybrid cars.

The sales of green cars last year alone rose over four times in Shanghai to 44,247 units and brought their combined sales since 2013 to 55,406 units.

But as Shanghai follows the central government to trim green-car subsidies, an enhanced user experience with great convenience of charging is expected to be the focus to offset the reduced grants.

Shanghai will slash the local subsidies for purely battery vehicles and plug-in hybrids this year by up to 30,000 yuan (US$4,638), the government said yesterday.

From January 1, 2015, buyers of purely battery cars with mileage between 100 and 150 kilometers get 10,000 yuan in subsidies in Shanghai. Owners of such cars with mileage of over 150km get 30,000 yuan in grants.

Previously, the city government gave subsidies of 40,000 yuan to owners of all pure battery cars with mileage of over 80km.

Shanghai’s subsidies for plug-in hybrids will be cut by 20,000 yuan to 10,000 yuan. But a bonus of 14,000 yuan will be given if the hybrid meets three more conditions: engine displacement no bigger than 1.6 liters, fuel consumption no higher than 5.9 liters per 100km, and a fuel tank no bigger than 40 liters.

The delay of Shanghai’s 2016 subsidy plan caused the city’s new-energy car market to halt throughout the entire first quarter. Almost all related market players suspended their new-energy car sales in the period, pending the new policy.




 

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