Backed by Local Policy, China’s Auto Manufacturer BYD is to Expand Its Infrastructure Facilities

Gasgoo.com(Shanghai Oct.19)- According to China Business, Shenzhen Municipal government plans to construct EV supporting equipment, including 10,000 public charging posts. Among all the enterprises involved in the plan, BYD is by no doubt a big name and gains many priorities. Besides, the newly-veiled Guidelines on Promoting the Construction of Charging Facilities for EV by the State Council of China will also benefit BYD’s nationwide efforts to construct charging facilities.

In fact, BYD has already invested in charging posts and large-scale charging stations in major pilot cities, including Shenzhen, and provided supporting charging facilities for electric buses, electric taxis and individual vehicles there, which has been an effort to popularize and promote its EV. But the construction has been in deep waters owing to BYD’s solitary endeavor. Fortunately, for this time, aids and assistance from Shenzhen Municipal Government and relevant departments are believed to bring BYD much hope.

According to a recent document Measures to Promote the Popularization and Application of Alternative Vehicles in Shenzhen released by Shenzhen Municipal Government, when it comes to charging facilities construction and service, social investment is welcome: the Government will specially authorize relevant enterprises to provide charging services, formulate corresponding standards for charging service fees, and subsidize investment into concentrated charging facilities at a rate of 30%.

At the same time, according to Temporary Regulations on Fund to Assist the Popularization and Application of alternative vehicles in Shenzhen, ten or hundred thousand yuan will be granted as subsidies to both the purchases and utilization of alternative vehicles and the investment into charging facilities. To be more specific, the subsidies on car purchases can be as much as 500,000 yuan, and those for charging facilities can be at the rate of 30%.

An insider of BYD said,“ We can read from the current policies that Shenzhen Municipal Government is now creating a favorable climate for the booming of alternative vehicles through subsidies and the construction of supporting facilities. And it will also, to some extent, provide certain solutions to the problems like overly-high price and immature environment, which will lead to a gradually-opening market.”