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August 14, 2010

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Home » Business » Auto

More local subsidies for buying green cars

SHANGHAI will provide extra subsidies for the purchase of fuel-efficient new-energy vehicles in a bid to promote green cars and cut emission.

Besides the national subsidies, the city is planning to offer 20,000 yuan (US$2,954) to consumers who buy a plug-in hybrid and financial aid for a pure electric car is expected to be as much as 50,000 yuan, Liu Jianhua, head of the city's promotion of new-energy car office, said at an exclusive seminar.

"Shanghai's subsidy proposal has been submitted to the central government for approval and is likely to be announced within this year," Liu said.

The subsidy scheme will allow Shanghai to join other domestic cities such as Shenzhen to popularize cars powered by batteries, an alternative fuel that was previously less in demand because of high prices.

In June, China announced plans to subsidize purchases of energy-efficient cars in five cities with hopes to spur green car sales by more than 4 million units by 2012.

Liu said Shanghai aims to have a production capacity of 100,000 new-energy vehicles by 2012, including 60,000 passenger cars. That will boost the output value of the city's new-energy car industry to 30 billion yuan by then.

Also, the city plans to have 20,000 electric cars in 2012 with 25,000 charging poles and nearly 50 charging stations under cooperation with the State Grid Corp.

Trial operation will be carried out in some areas such as Jiading District at first.

Shanghai also plans to offer financial aid of no more than 20 percent, or 3 million yuan, for the construction of infrastructure and will provide a lower loan rate to battery-leasing companies.




 

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