New energy car subsidies likely to be expanded
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Subsidies for new energy vehicles are likely to be expanded to the manufacturing and usage sectors as the government releases preferential fiscal and taxation policies, said Xu Changming, head of information resource development at the State Information Center during an interview with China Business News on Wednesday.
Xu said as electric car charging stations will be installed at parking areas, subsidies will be provided to the State Grid Corp of China and China Southern Power Grid. Users of new energy cars will enjoy preferential policies when paying road tolls, parking fees and charging fees. Moreover, manufacturers of new energy cars may receive subsidies if they apply new technologies to the production, he added.
China has been enhancing the subsidies for new energy vehicles since 2009, but the existing policies were all restricted to the purchasing stage.
In January 2009, the Chinese government first provided subsidies of up to 600,000 yuan per unit to public bus and government car purchases.
In June 2010, the central government decided to grant subsidies of up to 60,000 yuan to buyers of new energy vehicles in the five cities chosen for the pilot program, which are Shanghai, Changchun, Shenzhen, Hangzhou and Hefei. Local governments also had additional subsidies for individual new energy vehicle buyers.
