China will release its Energy Saving and New Energy Vehicle Development Plan (2011-2020), which aims to reduce environmental pollution, this month after its release was postponed in November.
Chen Quanshi, director of the Automotive Research Institute at Tsinghua University, was quoted by Shanghai Securities News as saying the plan will give priority to plug-in hybrids and pure electrical vehicles with lithium ion batteries.
Liu Zhiquan, an official with the Ministry of Environmental Protection, said China has 199 million motor vehicles and about one-fifth of the country’s cities are suffering from serious air pollution from car emissions.
Reve reported Chen as saying China has an advantage in developing electrical cars. "First, China has abundant renewable energy, including wind power, since the country lacks oil resources. China also has ample lithium and rare earth metals, two ingredients essential to the development of electric vehicles."