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China’s new energy bus goal is only 38 percent complete

BEIJING – China has set a goal to put 24,220 new energy buses in demonstrative operation by the end of 2012 and up to date the goal is only 38 percent completed, according to a report released at the recent 2011 Global New Energy Vehicles Conference in Beijing.

The report, which surveys both 25 national NEV pilot cities and 12 non-program-included cities, shows that 14 cities have completed their goals by more than 50 percent. Several cities in Shandong Province including Qingdao, Liaocheng and Linyi, have well carried on with their own new energy bus demonstration relying on independent local finances.

The report said some of the cities are slack in operating new energy buses due to high cost and the short-term difficulties in commercialization. Regional protectionism is hampering full market competition in cities which have their own local bus manufacturers.

It is also pointed out that the demonstration program is mainly propelled by government efforts. Once the government cuts off the incentives, it is hard to predict whether the program will be greatly affected.

As the deadline is approaching, the report said there may be a big growth in 2012 as pilot cities would gear up to put more clean buses into operation to fulfill their goals.  

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