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Alternative energy vehicle Double-point system faces on-coming implementation and BEV models will be intensively launched in the latter half of year

Biwen Wang From 盖世汽车| July 31,2017

Average Fuel-consumption Alternative Energy Vehicles’ point systemAverage Fuel-consumption system, Alternative Energy Vehicles’ point system

Zheng Lixin, spokesman of Ministry of Industry and Information Technology, said last week that, double-point system for alternative energy vehicles would be released recently.

State Council released Parallel Regulation for Passenger vehicle companies’ Average Fuel-consumption and Alternative Energy Vehicles’ Point System (Draft) in June, requiring that the alternative energy vehicles’ point proportion for passenger vehicle companies should reach 8%, 10% and 12% respectively in the year 2018 to 2020. Fuel-consumption points could be transferred and deducted from alternative energy vehicles’ points, while alternative energy vehicles’ points should be obtained by producing alternative energy vehicles or buying points.

Under the new regulation, auto companies should increase production and sales volume for alternative energy vehicles, or they could only buy points from other companies. Companies could sell surplus points to obtain profits.

Self-independent brands will compete directly with joint-venture brands in alternative energy market, when the new regulation is implemented. Currently, SAIC GM has domestically produced Velite 5, and it announced to invest RMB 26.5b to develop advanced power plants and alternative energy technologies in the future five years. It would launch at least 10 PHEV models, including one domestic alternative energy model every year.

Beijing Hyundai will launch Elantra EV in the latter half of year. Volkswagen, Toyota, Mitsubishi, Honda and other joint-venture companies will also launch alternative energy vehicle models to conform to the regulation.

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