The Chinese government introduced policies this year to boost the new-energy auto industry.
Hefei is one of five cities in the pilot program for the new subsidies. The other four are Shanghai, Changchun, Shenzhen and Hangzhou.
According to the new policy, the central government pays a subsidy of up to RMB50,000 (US$7,510) on a plug-in hybrid vehicle (PHEV) and RMB60,000 for an all-electric, or battery-electric vehicle (BEV). And the subsidy could be higher, depending on the locality.
The government aims to have more than 500,000 BEV and PHEV cars on the road by 2015 and 5 million by 2020.
Gasgoo reports China will help create one or two automakers that can each produce more than 1 million green cars per year by 2020, and three to five automakers which can each produce more than 500,000 such vehicles per year.