Wednesday 20 April 2011

China’s EV investment is ‘second to none’

China is emerging as an important test-bed for innovation in EV, according to a new study financed by the World Bank.

Entitled The China New Energy Vehicles Program: Challenges and Opportunities, the report looked at the country's government policies and strategies to encourage greater electric vehicle use.

Ede Ijjasz, Sustainable Development Manager for the World Bank in China and Mongolia said: "From policy to technology to new business models, China is innovating on all the building blocks needed to successfully deploy electric vehicles. China's plan for US$15 billion in government investment in vehicle electrificationisremarkable and second to none."

Consultancy firm PTRM conducted the study in Beijing in 2010, analysing China's New Energy Vehicles Program, as well asthe Ten Cities, Thousand Vehicles Program, which was launched by the Chinese government in 2009 to stimulate electric vehicle development through large pilots, initially in ten cities, and now in 25 Chinese cities.

PRTM gives as one example the fifth largest car maker in China, Beijing Automotive Industry Holding Corporation, which is creating a new company devoted to EV with plans to build 150,000 EVs and HEVs (hybrid electric vehicles) by 2015.

China is committed to policies to address climate change and has announced a target to lower its carbon intensity, the amount of carbon dioxide emitted per unit of GDP, by 40-45 percent by 2020 compared to 2005.

The study found that China is well advanced in the deployment of electric vehicles.