China is poised to become one of the prominent markets for electric buses, according to Research and Markets, a Dublin-based research database provider.
The electric bus market in China is expected to grow at a 27 percent compound annual growth rate for the period between 2015 and 2020.
China is projected to purchase about 34,100 electric buses by 2022, according to a survey conducted by Frost & Sullivan. The second-largest market is South America, which is expected to buy 12,300 in that time frame. North America is on target to buy just 3,300 by 2022, lagging well behind China, South America, India, and Europe.
The technology has improved drive quality and power, and its use in commercial applications is expanding.
“The critical advantage of an electric bus is the low maintenance it carries throughout the lifespan of the bus,” said a statement from Research and Markets. “The investment can be amortized over the first eight years and from the subsequent years, the income generated goes to the hands of the carrier. Most of the electric buses available are for urban use, and these are majorly hybrid electric, but there are many companies that also offer pure electric buses. The classification of electric buses is also done on the basis of electric vehicle type.”
China government initiatives have been instrumental in fueling this hunger for electric buses, Research and Markets claims.
“The market for hybrid electric buses is driven by increased investments from venture capitalists and support from the Chinese government to build plug-in hybrid electric bus infrastructure,” said the R&M statement.
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