5 Million Electric Cars in China 2020?

Policy to promote electric vehicles (EVs) in China has stepped it up notch with a suite of new incentives to reach the ambitious goal of "500,000 electric vehicles on the road by 2015 and 5 million by 2020" as reported in the Australian Financial Review.

Local governments have now said that license plates for EVs will be free, which for other cars cost about $11,600 US.  There's also a further subsidy of about $16,000 US per approved vehicle.  On the other hand, EVs are more expensive than other cars, so these subsidies help reduce the gap - but not eliminate it.

China has a strong interest in EVs, not just to continue to promote their economy as a 'green production superpower' but also because some Chinese cities are experiencing hazardous levels of pollution.

5 million electronic cars by 2020 could be tough to achieve given that current production rates will have to work hard to even come through on the supply end. Charging points is also an issue- this infrastructure will have to be in place for a goal like this to be achievable.

These issues aside, it is good to see that the World's most populous nation gearing up EVs - even if a small percent of people take it up, given the sheer population of China, it's a considerable step in the direction of moving away from petrol based travel, not to mention advancing technology in this area.

The full article is available here (but you can only see it if you're a subscriber - sorry!)


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