(ECNS) -- Beijing has increased the quota for new energy cars to 60,000 for 2016, doubling last year's 30,000, but experts say bottlenecks remain in boosting new energy segment development.
The city on January 7 unveiled this year's quota for passenger vehicles, totaling 150,000, with 90,000 for conventional vehicles and the rest for new energy cars. The latter will no longer be subject to a lucky draw in order to get a license, while allocation will be based on a "first apply first approved" principle. If the number of applications exceeds the quota, those who fail to get a license this year will be given priority next year.
Despite policies aimed to encourage the use of new energy cars, charging problems and low performance remain as bottlenecks that hinder the sector's development, experts say.
Jia Xinguang, managing director of China Automobile Dealers Association, said an increase in the quota will help boost the sales of new energy cars. However, charging will not be as convenient compared to conventional gas-fueled cars, for it is unfeasible for gas stations to provide many charging piles while such facilities are also mainly located in parking lots.
Another factor is performance, Jia added. "Users are still not very satisfied with the performance of new energy cars."
Song Jian, a professor at Tsinghua University, said new energy vehicles still lag far behind conventional cars in terms of performance and that the new energy sector should focus on improving this aspect to win the market.
Expensive battery and high heating costs in winter are additional problems that may dampen customer resolve, Song said.
