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Powering ahead

By Patrick Whiteley and Wang Chao | China Daily European Weekly | Updated: 2011-05-13 10:27
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China wants to be a global leader in electric vehicles despite their uncertain future elsewhere

The electric car revolution is firing on all batteries with the first mass-market electric vehicles (EVs) going on sale in selected cities around the world. And China, desperate to clear increasing smog over its car-crazed cities, has vowed to become the world leader of the revolution - last month, the government made a commitment to spend 10.5 billion euros over the next decade.

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Considering the staggering predicted growth of China's car industry, it needs to take immediate action. By 2020, China's Ministry of Industry and Information Technology estimates, there will be more than 200 million registered vehicles on the roads, compared to the 70 million today.

But while zero-emission EVs are being hailed as C02 saviors, doubts still linger about whether China's aspiring new drivers will embrace these new and un-tested cars.

EVs lack power and driving range, require lengthy recharging times and are unable to hold a charge in cold climate - a big concern for Chinese drivers during the nation's long winters.

High sticker prices and a limited supply of charging facilities for new motorists without home garages - representing a majority of Chinese drivers - are other major hurdles facing the fledgling industry.

Electric cars are not new. In 1900, electric batteries powered almost 30 percent of the 4,192 cars produced in the United States that year. But as new motorists wanted more power and drive longer distances, electric cars were soon abandoned for the combustion engine. More than a century on, the same consumer concerns about battery limitations remain.

Governments and the motoring industry say they will address these problems as the EV rollout occurs

A Volkswagen Blue-E-Motion concept car with a charging station at April's Shanghai Auto Show. [Ming Jianfei / For China Daily] 

over the next five to 10 years. But both groups are also banking on future EV products, with better battery technology, to help meet their very ambitious C02 reduction targets.

Two years ago the Chinese government announced a multi-billion euro plan, which envisaged up to 20 million new energy vehicles in the nations road over the next 10 years.

Under the plan, new high-tech companies are being set up to significantly improve EV batteries, which make up half the cost of the vehicle and price the car out of reach from the average Chinese car buyer. For example, the battery in Nissan's new 24,000-euro Leaf model costs about 12,400 euros to produce.

China's National Development and Reform Commission says the state is also looking to subsidize the purchases of at least 4 million energy-efficient vehicles during the first rollout of EVs.

Since June last year, the Chinese government has been offering 60,000 yuan (6,220 euros) subsidies toward full electric cars in EV trial cities of Shanghai, Changchun, Shenzhen, Hangzhou and Hefei. The trial EV network will later be expanded to 25 cities.

In these test cities, local authorities are building infrastructure and trialing EV taxis and buses as they fine tune systems, which if successful, could be duplicated across the nation.

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