The Electric Car Market Has A 'Chicken Or Egg' Problem -- And China Is Solving It Electric Vehicle (EV) makers across the world face a classic “chicken or egg” problem. Concerned with the range of EVs and the availability of charging stations, consumers are reluctant to forsake their traditional internal combustion engine-powered cars in favor of those powered by batteries. Yet, building a charging infrastructure is expensive, and investors are understandably reluctant to commit capital until there is a market. So what will come first: the cars or the charging stations? In addition to providing a wide range of tax and financial incentives for the industry, China has increased emphasis on research development; exempted NEV buyers from license plate restrictions; and opened up its power sector, traditionally an industry reserved for state-owned companies, to private capital. Also, capital has been pouring into the industry to create the all-important charging infrastructure. At the end of June, there were approximately 81,000 public charging stations in China, up 65% compared to the end of 2015. During the same period, the number of private charging stations rose 12% to more than 50,000, according to the National Energy Administration. Going forward, China’s goal is to have 4.8 million charging stations in operation by 2020, capable of meeting the charging needs of 5 million EVs. Almost one-half of the charging stations will be located in three smog-affected regions of China—the Beijing-Tianjin-Hebei Area, the Pearl River Delta and the Yangtze River Delta. See http://ift.tt/2dfZMQj
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