Charging pile infrastructure added to NPC's work report

Country's leaders look to an integrated future of powering electric vehicles

For the first time, charging piles for electric vehicles were included in China's initiative on new infrastructure development in the country's government work report, released on May 22 at the third session of the 13th National People's Congress.

It will help the new energy vehicle charging pile industry make up for its shortcomings with digital and intelligent technologies, insiders said.

According to this year's government work report, China is scheduled to strengthen the development of new infrastructure; develop new-generation information networks; expand the use of 5G; build charging piles; promote NEVs; stimulate new customer demand and help upgrade industries.

New infrastructure development covers three aspects; first, information infrastructure like 5G, internet of things, industrial internet, artificial intelligent, cloud computing; second, integrated infrastructure such as smart transportation infrastructure and smart energy infrastructure; and third, innovation infrastructure to support scientific research, technology development and product development, according to the National Development and Reform Commission.

The new infrastructure development gives the charging pile industry a new meaning. The industry will evolve into an interconnected charging network in the future, an executive of the charging station operator Star Charge was quoted as saying by Beijing Business Today.

Charging piles can be integrated with communication, cloud computing, smart grid and vehicle connectivity technologies. With the help of digital and intelligent technologies, charging piles are expected to form an intelligent charging network, the executive added.

CCID Consulting President Sun Huifeng said that by using new technologies to improve the efficiency of infrastructure, new infrastructure development will help improve the usage and profitability of charging piles.

"Charging piles will be linked to the charging network, rather than an isolated charging facility," said Sun. The technologies involved in new infrastructure development are needed in the diverse processes of the charging pile industry, including the distribution of charging piles and the operation and safety analysis of them.

A development plan for the NEV industry, issued by the Ministry of Industry and Information Technology in 2019, projects that China's NEV sales will account for 25 percent of total car sales in 2025.

It is estimated that there will be a gap of 63 million charging piles in China by the next 10 years, which is expected to create a market worth 1.02 trillion yuan ($142.96 billion).

The huge potential market has lured a raft of charging pile operators to invest in the industry, which turned out to be difficult in making profits.

The aggressive expansion of some enterprises led to a large number of idle charging stations. The problem with this uneven distribution is that it pushed the usage rate even lower, according to an executive with a charging pile enterprise.

The incompatibility of charging facilities and diverse modes of payment also set back the development of the industry, the executive added.

Data show that there were some 300 charging pile companies in China in 2017. However, at least 50 percent of them have now quit, Beijing Business Today reported.

Some domestic charging pile operators have been constructing interconnected charging networks to explore a new profit model.

China's charging infrastructure providers－Qingdao Tgood Electric, State Grid Corp of China, Star Charge and China Southern Power Grid－joined hands to found a company focusing on NEV charging services, named Uniev, last year.

The startup released a new platform designed to connect NEV drivers, charging service providers and power grid services in June 2019.

By April, Uniev had its platform connected to more than 270,000 charging facilities, covering 310 cities nationwide.

To promote the interconnectivity of charging piles nationwide, Uniev is about to shift its business from serving individuals to serving the industry, according to CEO An Jing.

A large number of small charging pile operators are unable to offer online and offline promotions. Uniev can help them by offering data guidance, technical solutions and advertising promotion, An added.

Looking ahead, insiders said that the construction of charging facilities should be combined with the construction of smart cities, as charging piles connect vehicles to the city's facilities and grid.

Xu Heyi, chairman of BAIC Group and a member of the 13th Chinese People's Political Consultative Conference, proposed that there is a need to integrate vehicles, artificial intelligence and urban development.

Automobiles are expected to develop into a new intelligent terminal that connects people with urban facilities, and play a role in the construction of smart cities, Xu noted.