Chinese Updates: China to charge more to subsidize green energy (3 Sep 2013)

China to charge more to subsidize green energy
2013-09-03

China will raise tariffs on power to collect subsidies for renewable energy from September 25 in a bid for better quality air, the country's economic planner said on Friday.

China will raise tariffs on power to collect subsidies for renewable energy from September 25 in a bid for better quality air, the country's economic planner said on Friday.

The price adjustment will exclude residential and agricultural power, the National Development and Reform Commission (NDRC) said.

The additional charge on power for clean energy will be 0.015 yuan (0.0024 U.S. cents) per kilowatt-hour from current 0.008 yuan per kilowatt-hour.

The cost for renewable energy is relatively high and international practice is to subsidize the sector at its outset, Li Caihua, deputy head of pricing at the NDRC, said.

China has charged a levy on wholesale power to build subsidy funds for renewable energy and the charging standard has increased from 0.001 yuan per kilowatt-hour in 2006 to 0.008 this year.

The NDRC can collect an additional 20 billion yuan (3.24 billion U.S. dollars) annually now, but there has been a shortfall in recent years as renewable energy has been growing quickly.

The fund reported a shortfall of 10.7 billion yuan at the end of 2011 which was forecast to hit 33 billion yuan in 2015, Li said.

The NDRC also announced on Friday it would improve subsidies for power plants on denitration from 0.008 yuan per kilowatt-hour to 0.01 yuan per kilowatt-hour and add a new subsidy of 0.002 yuan per kilowatt-hour to power plants which cut dust emissions below 30 milligram per cubic meter.

The pricing will mainly be made at wholesale levels and retail prices will not be affected as coal prices have been falling, Li said.

Source: http://english.mep.gov.cn/News_service/media_news/201309/t20130903_259452.htm

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HK's Updates: Application for replacement subsidy for catalytic converters and oxygen sensors on petrol and LPG taxis and light buses to begin soon (31 Jul 2013)

Application for replacement subsidy for catalytic converters and oxygen sensors on petrol and LPG taxis and light buses to begin soon

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     The Environmental Protection Department (EPD) announced today (July 31) that the subsidy programme for the replacement of catalytic converters and oxygen sensors on petrol and liquefied petroleum gas (LPG) taxis and light buses will start on August 15. Vehicle owners will be able to submit applications and make reservations for replacement service in phases according to the year of manufacture of their vehicle. The programme aims to reduce emissions from taxis and light buses and therefore improve roadside air quality.

     The programme is being conducted on a voluntary basis and the subsidy will cover the necessary components and associated replacement work. The suppliers of components and vehicle repair workshops for the replacement service were selected through open tenders held by the Government. The levels of subsidy are being set according to the tender results. A total of 52 vehicle repair workshops and three suppliers of components have joined the programme. The appointed contractors can request vehicle owners to pay for the difference if their charges exceed the levels of subsidy. Details of the appointed contractors for the programme and their charges have been uploaded to the EPD's website at

www.epd.gov.hk/epd/tc_chi/environmentinhk/air/prob_solutions/LPG_Catalytic_Converter_Replacement.html(Chinese version only).

     To ensure that the replacement programme runs smoothly, eligible vehicle owners who wish to join the programme should take with them the vehicle and a copy of the Vehicle Registration Document and submit their application as well as make a reservation for replacement service according to the year of manufacture of the vehicle (see Appendix) at one of the designated vehicle repair workshops. Vehicle owners are allowed to make their own choice of supplier for components. The subsidy will not be granted to vehicle owners who fail to submit their applications and complete the replacement within the designated period. The whole programme will be completed by March 31, 2014.

     A spokesman for the EPD said, "At present, the catalytic converters of some 80 per cent and 45 per cent of road-running taxis and light buses respectively are worn out, causing excessive emissions. Replacement of worn-out catalytic converters can reduce vehicle emissions by as much as 90 per cent."

     The spokesman appealed to eligible vehicle owners to join the programme. He added, "To improve roadside air quality, starting from April next year, the EPD will use roadside remote sensing equipment to step up monitoring of any excessive emissions by petrol and LPG vehicles. Vehicles found to be emitting excessively will be required to pass an advanced emissions test with the aid of a dynamometer within a designated period of time. Otherwise, the vehicle licence will be cancelled."

      For further information on the programme, applicants can also call the EPD hotline on 3618 7670.

Ends/Wednesday, July 31, 2013
Issued at HKT 16:01

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Source: http://www.info.gov.hk/gia/general/201307/31/P201307310345.htm

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