The Chinese government is pushing for increased use of renewable energy, particularly in its public transport, and the automotive industry in general.
In its ‘Implementation Opinions Concerning Hastening the Promotion and Usage of New Energy Vehicles Within the Transportation Sector’, the ministry of transportation of China has set an ambitious target for clean energy use by public sector transport.
The goal is to get at least 300,000 new energy public buses and taxis on China’s roads by the end of the decade. That is, at least 200,000 buses that operate on renewable energy and 100,000 taxis using such fuel.
Two days ago, the country rolled out the world’s first hydrogen powered tram car in China’s eastern Shandong Province. In the ‘Opinion’ the authorities have categorized vehicles that completely depend on renewable energy sources, hybrid EVs, fuel cell-based electric vehicles and those that use alternative fuels under “new energy vehicles”.
They have proposed to convert at least 35 percent of public buses, taxis and urban logistics vehicles to “new energy sources” in Tianjin, the highly polluted conurbation of Beijing, and adjacent parts of Hebei province.
The areas have high levels of air pollution.
Proposals to incentivize transportation companies that introduce new energy vehicles in their operations have also be outlined in the Opinion. Also, in a bid to reduce traffic congestion, certain restrictions on the usage and purchase of new energy vehicles stand to be removed in jurisdictions where road space rationing is employed.
Besides adoption of new energy vehicles, the Opinions have emphasized creation of necessary fixed infrastructure to support introduction of electric or hybrid automobiles.
The Opinions have placed emphasis on introducing recharge points or equipment for new energy vehicles and hopes the creation of recharging equipment would be expedited in key areas such as passenger transportation hubs, public transportation hubs, taxi ranks, and urban logistics centers.
Companies such as BYD, the largest electric bus company in China, should benefit from the implementation of the Opinions. Ride-sharing company Uber is already helping BYD test its vehicles as part of a recent agreement.
Ajith Kumar S
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