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Consumer-Oriented Policy towards Diffusion of Electric Vehicles: City-Level Evidence from China

Author

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  • Guoqiang Zhang

    (School of Economics, UCAS, 80 Zhongguancun East Road of Haidian District, Beijing 100190, China)

  • Yanmei Xu

    (School of Economics, UCAS, 80 Zhongguancun East Road of Haidian District, Beijing 100190, China)

  • Juan Zhang

    (China EV100, 17F Tower A, TusPark Haidian District, Beijing 100084, China)

Abstract

Public policy is crucial for the diffusion of green innovation, and debates exist about the effects of different policies. This paper explores appropriate types of policy instruments by explaining the quick rise in sales of electric vehicles (EVs) in China. Based on a three-year longitudinal dataset across 88 cities, the study shows that consumer-oriented policies are able to significantly promote EV diffusion. Consumer-oriented policies target consumers to facilitate their usage of cars and lower the lifecycle cost, and typical examples include electricity charging and traffic management. This paper contributes to the literature of clean technology policy in two ways. Firstly, it reveals and empirically tests the importance of consumer-oriented policy instruments for the deployment of green innovation. Secondly, it is one of very few scholarly works offering a detailed review of city-level policies in China’s EV industry, which will be useful for scholars who are also interested in similar topics.

Suggested Citation

  • Guoqiang Zhang & Yanmei Xu & Juan Zhang, 2016. "Consumer-Oriented Policy towards Diffusion of Electric Vehicles: City-Level Evidence from China," Sustainability, MDPI, vol. 8(12), pages 1-16, December.
    • Handle: RePEc:gam:jsusta:v:8:y:2016:i:12:p:1343-:d:85654
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    2. Li, Peilin & Zhao, Pengjun & Brand, Christian, 2018. "Future energy use and CO2 emissions of urban passenger transport in China: A travel behavior and urban form based approach," Applied Energy, Elsevier, vol. 211(C), pages 820-842.
    3. Austmann, Leonhard M., 2021. "Drivers of the electric vehicle market: A systematic literature review of empirical studies," Finance Research Letters, Elsevier, vol. 41(C).
    4. Jiali Yu & Peng Yang & Kai Zhang & Faping Wang & Lixin Miao, 2018. "Evaluating the Effect of Policies and the Development of Charging Infrastructure on Electric Vehicle Diffusion in China," Sustainability, MDPI, vol. 10(10), pages 1-25, September.
    5. Xiaoli Wang & Yun Liu & Yanbing Ju, 2018. "Sustainable Public Procurement Policies on Promoting Scientific and Technological Innovation in China: Comparisons with the U.S., the UK, Japan, Germany, France, and South Korea," Sustainability, MDPI, vol. 10(7), pages 1-27, June.
    6. Jack N. Barkenbus, 2020. "Prospects for Electric Vehicles," Sustainability, MDPI, vol. 12(14), pages 1-13, July.
    7. Zulfiqar Ali Lashari & Joonho Ko & Seunghyun Jung & Sungtaek Choi, 2022. "Choices of Potential Car Buyers Regarding Alternative Fuel Vehicles in South Korea: A Discrete Choice Modeling Approach," Sustainability, MDPI, vol. 14(9), pages 1-17, April.
    8. Cailou Jiang & Ying Zhang & Maoliang Bu & Weishu Liu, 2018. "The Effectiveness of Government Subsidies on Manufacturing Innovation: Evidence from the New Energy Vehicle Industry in China," Sustainability, MDPI, vol. 10(6), pages 1-11, May.
    9. Weixing Liu & Hongtao Yi, 2020. "What Affects the Diffusion of New Energy Vehicles Financial Subsidy Policy? Evidence from Chinese Cities," IJERPH, MDPI, vol. 17(3), pages 1-15, January.
    10. Jacobus Nel & Roula Inglesi-Lotz, 2022. "Electric Vehicles Market and Policy Conditions: Identifying South African Policy ``Potholes"," Working Papers 202257, University of Pretoria, Department of Economics.
    11. Han-Shen Chen & Bi-Kun Tsai & Chi-Ming Hsieh, 2018. "The Effects of Perceived Barriers on Innovation Resistance of Hydrogen-Electric Motorcycles," Sustainability, MDPI, vol. 10(6), pages 1-15, June.
    12. Li, Jingjing & Jiao, Jianling & Tang, Yunshu, 2020. "Analysis of the impact of policies intervention on electric vehicles adoption considering information transmission—based on consumer network model," Energy Policy, Elsevier, vol. 144(C).
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