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Xu Chaoqian: breaking local protectionism a must to speed up NEV development

HEFEI, Anhui – To promote new energy vehicle development, local protectionism must be broken up, said Xu Chaoqian, deputy director general of the Department of High and New Technology Development and Industrialization under the Ministry of Science and Technology.

Xu made such remark at the 2016 China New Energy Vehicle Promotion Forum which was held on April 21-23 in Hefei, Anhui Province.

Practices of local protectionism should be rooted out, Xu said. The industry saw a wild growth on the number of NEV producers and vehicles at present for which local protectionism played a vital role. The expansion is not an innovative one however. To promote healthy industry development, inspections should be made to check local governments’ efforts on cracking down such practices.

According to Xu, starting from 2009, four ministries had participated in two rounds of energy-saving and new energy vehicle promotion campaigns. By the end of 2015, about 383,000 units of NEVs were sold in 39 piloting areas. More than 3,600 EV charging and battery swapping stations as well as over 49,000 public charging poles were built nationwide. Some 40 policies on technology development and industrialization, industry admission, infrastructure and NEV purchase subsidies were published and 80 criteria regulations released.

Xu said that in the 13th Five -ear Plan period (2016-2020), a fund of ¥3 billion ($470 million) would be allocated on R&D to solve technical bottlenecks on industry and technology chains. By 2020, it is expected comprehensive NEV technology system and industry chains be formed to support the government target of 5 million NEVs.

Local stimulus policies should be released as soon as possible, Xu suggested. To supplement policies enacted by the central government, local policies should focus on gearing up inner energies of enterprises, rather than to fit into subsidy policies.

Xu also suggested governments at all levels to speed up infrastructure construction, improve the usage of public charging facilities, strengthen monitoring system for safe operation of vehicles, and carry out more promotion campaigns to boost NEV sales.

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