China Energy Outlook 2020 - Flipbook - Page 97
In parallel with policies to promote NEVs, China has also proposed phasing out more than 1
million medium and heavy-duty diesel vehicles below the national III emission standards in JingJin-Ji by end of 2020, and to require heavy-duty diesel trucks meet national V emission
standards (State Council, 2018; MEE, 2019c). At the subnational level, cities and provinces
including Hangzhou, Nanjing, Beijing, Shenzhen, Jinan, Hainan, and Shaanxi have also set local
targets for phasing-out polluting gasoline and diesel vehicles below the national III emission
standards for 2018 through 2020, with varying levels of subsidies offered per vehicle. In
addition, the Ministry of Industry and Information Technology (MIIT) has initiated research into
setting a national timetable for the phase-out of conventional internal combustion engine
vehicles, but a specific timeline has not been set.
Case Study: Full Electrification of Shenzhen City Municipal Fleet and NEV Promotion
As one of the earliest NEV pilot cities, Shenzhen has been actively promoting the adoption of
NEVs in its municipal fleet and for private purchase through local programs and policies since
2009. In 2015, Shenzhen set a goal of achieving 100% pure electric buses in the city within three
years. By the end of July 2015, Shenzhen added 11,041 NEVs including 1,771 hybrid electric buses,
1,253 electric buses, 26 electric mini-buses, 175 electric fleet cars, 520 NEV government vehicles,
62 fuel cell vehicles, 850 electric taxis, and 6,374 NEV private cars (C40 Cities, 2018). For the
electric bus fleet, a 90% electrification rate was reached in 2016 with 14,695 electric buses and
the 100% electrification goal was met in September 2017 (Shenzhen Transportation Bureau,
2017). In addition, the city’s taxi fleet also reached virtual 100% electrification in January 2019
with over 20,000 electric taxis in the fleet (Sohu News, 2019).
For 2016 through 2020, Shenzhen plans to construct 8246 quick charging piles for electric buses,
10,800 public quick charging piles and 115,000 slow charging piles to meet its goal of 120,000
NEVs by 2020 (C40 Cities, 2018). In addition, minimum charging pile requirements will also be set
for new residential, public buildings and public parking garages as well as commercial and
industrial projects.
To support this rapid adoption of NEVs within its city boundaries, the Shenzhen municipal
government set up a 5 billion RMB (US$728 million)19 fund to subsidize NEV purchases, construct
charging infrastructure and establish systems for technical standards and research to support
NEV technical development (C40 Cities, 2018). Subsidies were offered for electric buses and
matching subsidies were offered for private purchases of NEVs. Investors for charging
infrastructure development can also receive a 30% investment subsidy. Preferential measures
were also introduced for electric taxis and logistics vehicles including fuel surcharge exemptions
for taxis from June 2018 onwards and preferential use of 24-hour passing lanes for logistics
distribution.
19
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