Year of Horsepower: Car industry shifts gears

Subsidies for green vehicles continue

A new-energy car at Tsinghua University in Beijing. The new-energy cars will enjoy more preferential policies in China. [Wu Changqing/For China Daily]

The Ministry of Finance, the Ministry of Science and Technology, the Ministry of Industry and Information Technology and the National Development and Reform Commission on Nov 22 jointly announced a new round of subsidies set for alternative-energy vehicles in 28 cities and regions by 2015.

The cities include Beijing, Shanghai, Tianjin, Chongqing, Guangzhou, Shenzhen, Dalian, Ningbo, Qingdao, Wuhu and major provincial capitals. Also on the list are city clusters in Hebei, Zhejiang, Fujian, Jiangxi and Guangdong provinces.

The big cities on the list must have at least 10,000 new-energy vehicles in operation by 2015, while smaller cities need at least 5,000 units.

Owners of pure electric passenger vehicles are eligible for subsidies of 35,000 yuan ($5,745) to 60,000 yuan. The subsidy for plug-in hybrids will be 35,000 yuan.

Subsidies for pure electric buses will range from 300,000 to 500,000 yuan, while those for hybrid buses will be 250,000 yuan.

Fuel-cell vehicles will be the biggest beneficiaries, with subsidies of 500,000 yuan each.

The ministries urged local governments to use new-energy automobiles as official vehicles and in public transportation. The central government is requiring local governments to have at least 30 percent new-energy vehicles in their official fleets and mass transit systems.