China electric car mandate inspired by California’s program

China electric car mandate inspired by California’s program

According to reports, the electric-car sales system which is being adopted by China is similar to the one applicable in California. China’s electric car mandate seems like the one inspired by California’s program, and has taken shape after years of collaborative efforts between the Chinese and Californian officials.

Despite their respective liberal and authoritarian politics, both California and China have taken a top-down approach to bring about a shift in energy and transportation for combating climate change. California is aiming at 5 million emission-free vehicles on the road by 2030, while China wants 7 million electric vehicles on the road by 2025.

China is looking to launch a cap-and-trade system for lowering fuel consumption and reducing its dependence on oil imports. The system is devised on the lines of California’s cap-and-trade program for reducing emissions from factories, power plants, and fuel suppliers.

Automakers in the Asian economic and manufacturing powerhouse will have to manufacture electric cars in order to earn new-energy vehicle credits, as other subsidies will be gradually phased-out. Automakers can qualify for new-energy vehicle credits if they have at least 10 percent of vehicles sold in 2019. Automakers that are unable to meet the requirement will either have to pay penalty or will be able to buy credits from competitors.

About China’s efforts to promote electric-car sales, Yunshi Wang -- Director of the China Center for Energy and Transportation at the University of California at Davis -- said: “China has referenced and learned from California.”