China is accelerating the expansion of its national new energy vehicle charging station infrastructure this year. The country is aiming to reach at least 5 million EV charging piles spread across the nation by the end of the year to reach a one to one EV to charging station ratio.
The move is in response to the government's push for the development of a high-tech infrastructure that will support equally high-tech products. As of December of last year, the country had around 1.24 million new energy vehicle charging piles. Around 531,000 of those charging stations are for public use, while the rest of the 712,000 stations are for private use either by specific companies or for specific vehicle brands.
The addition of more EV charging piles is expected to stimulate the country's new energy vehicle sector by providing an additional incentive for buyers. By providing buyers with the convenience of having easy access to charging stations where ever they go, consumers will be more inclined to choose new energy vehicle models over their gasoline-powered counterparts.
In accordance with the government's pledge to expand the infrastructure, more than 3.75 trillion or roughly $529 billion will be made available as special local government bonds this year. Projects that involve the construction of EV infrastructures will be given priority.
A study conducted by Bloomberg New Energy Finance estimates that China could have more than 162 million new energy vehicles by 2040. The government needs to be a step ahead in order to provide ample charging stations for the country's growing number of EVs.
To tackle the issue of power, state-owned electric utility firm the State Grid Corp of China is working together with 51 local companies to help its develop the underlying infrastructure needed for a national charging network. All players will have to work together to create an interconnected grid of charging facilities that will span the entire country.
State Grid Corp will also be working with major electric providers such as Qingdao TGOOD Electric Co Ltd, China Southern Power Grid, and Star Charge to provide ample supply to the further charging network. The three companies had previously established a new company called UniEV, which was specifically tasked with EV-related projects.
The cooperation between the companies has so far resulted in the establishment of more than 390,000 publicly accessible charging stations in China as of November 2019. Stat Grid announced this month that it will be expanding its projects to foster more partnerships within the sector to support the country's infrastructure development.
