New policies target electric cars
Print Edition
CHINA’S top economic planner yesterday announced several preferential policies regarding electricity prices to encourage use of electric cars in the country.
Electricity prices for charging stations and heavy industrial use will be the same and exempt from basic fees until 2020, the National Development and Reform Commission said.
Local governments were urged to subsidize the infrastructure required for charging stations to help bring down operating costs. The commission said electric cars would be more competitive if costs are kept at a reasonable level since the savings would be passed on to consumers.
It added the cost of connecting a charging facility to the grid should be included in the electricity price.
As the electric car market matures, the market will eventually determine charging prices, the commission said.
Sales of electric cars and hybrid vehicles totaled 20,477 units in the first half of this year. Though more than doubling the comparable figure from last year, it’s not enough to reach the country’s goal of having 500,000 new energy cars on streets by next year.
Earlier this month, the State Council released a guideline that calls on all regions to remove trade barriers holding the country back from making “green” progress. With production localization set as an unwritten rule for entering a new market entrance, electric carmakers find it extremely difficult to expand beyond their manufacturing base.
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