Wednesday 2 June 2010

China to Subsidize Electric Cars and Hybrids

The Chinese government appears determined to electrify transportation, and it is putting money in place alongside its rhetoric.
To that end, the Chinese Ministry of Finance announced on Tuesday a pilot program in five cities to subsidize the purchase of electric and hybrid cars. It is unclear when the program will begin.
According to Xinhua, the official Chinese news agency, consumers in those urban areas will be able to get up to around $8,785 off the price of a battery car and about $7,320 off plug-in hybrids. The money will be paid directly to carmakers, which will reduce the vehicle price accordingly, the government said.
Nationwide, consumers will be able to access a much smaller subsidy of $439 if they buy fuel-efficient cars with engines under 1.6 liters.
Reuters reported that the government would subsidize the construction of charging stations and battery recovery networks in the five cities: Shanghai, Shenzhen, Hangzhou, Hefei and Changchun.
Directly subsidizing purchases could “jump start” the electric vehicle market in China, said Craig Giffi, an analyst at Deloitte.
Read this article @ http://www.evhub.in/news/38

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