The three major issues of car point trading

From July to September this year, Chinese passenger car companies will usher in the first round of concentrated point transactions. How does the company's negative points return to zero? How to sell positive points? It has become a major concern of the recent automotive industry.

The “Parallel Management Measures for Average Fuel Consumption and New Energy Vehicle Points for Passenger Vehicle Enterprises” (hereinafter referred to as “Double Integration Method”) was officially implemented on April 1, 2018, and it was clearly stated that passenger vehicle enterprises will follow the passenger The car's average fuel consumption score and the new energy vehicle's share-point "double-point" system are evaluated. On March 12th and April 10th, the Ministry of Industry and Information Technology announced the double points of each passenger car company in 2016 and 2017.

According to the "Double Integration Method", before June 30, the Ministry of Industry and Information Technology will issue a double-point accounting report. If a passenger vehicle enterprise has an average fuel consumption negative integral and a new energy vehicle negative integral, it shall submit it to the Ministry of Industry and Information Technology within 60 days after the release of the average fuel consumption of the passenger vehicle enterprise and the new energy vehicle point accounting report. The average fuel consumption negative integral and the new energy vehicle negative integral compensation report, and the negative integral compensation zero return within 90 days after the release of the accounting report. That is, the first concentrated transaction of the points will be ushered in the third quarter of this year.

Recently, the "Three Revolutions in Transportation Sector and the China-US Points Trading Policy Seminar" co-sponsored by the China Electric Vehicle 100-members and the Sino-US New Energy Vehicle Policy Lab were held in Beijing. Wu Zhixin, director of the China Automotive Technology and Research Center, said that China's dual-point policy is a new policy that combines the US CAFE regulations with California's ZEV regulations and combines and innovates. The construction of the double-point system and the design of the follow-up program China still needs to learn from the experience of some developed countries and learn from their lessons to improve the level of policy research in China. At the seminar, domestic and foreign experts, scholars, and business people compared the California carbon credit and zero emission management measures with China's "double points method" to make recommendations on China's upcoming double point transaction. Focusing on the issue of double-point transactions, the discussion focused on three major issues.

Whether imported cars and domestic cars are treated equally

Jiang Rencai, director of foreign affairs and public policy of Daimler Greater China Investment Co., Ltd., proposed that in the management of passenger car double points, whether it is imported cars or domestic cars, whether it is foreign companies or state-owned enterprises, I hope to have an equal competition mechanism.

As one of the important drafters of the double-points policy, Zhao Dongyu, deputy chief engineer of the Data Resource Center of China Automotive Technology Center, said in the keynote speech of the "China New Energy Vehicle Integral System in the Proposal" that the reward and punishment mechanism of the double-point method is applicable to domestic Cars or imported cars are treated equally. The penalty for non-standard enterprises is currently an administrative penalty. For the management of 3C certification and announcements, whether it is a new product or a product, as long as the negative points are not completed on September 30, the product announcements that the relevant fuel consumption is not up to standard will be stopped. If the negative score clearing work is still not satisfied on the 31st of the month, it will affect the management of the products in the production.

Is there a clear price for the point transaction?

In the point transaction, the company is most concerned about the price issue, and many discussions are concentrated here.

According to Colin Murphy, Transportation Policy Manager at Nextgen Police in the United States, in the US carbon credit transaction, the government will design a minimum benchmark for carbon trading, on which to carry out related carbon control and carbon trading. However, from the actual operation in recent years, there has also been a phenomenon that is lower than the government's lowest price. The penalty for excessive carbon emissions is $5,000 per minute. Tesla, as the actual participant in the United States to talk about the points policy, Tao Lin, vice president of China, said that the US penalty standard is the highest price limit for corporate carbon trading. The price of the points will not be higher than $5,000, otherwise the company will not have to buy points. Companies will negotiate on the basis of penalties and market supply and demand to buy and sell points.

As for the specific price of each point transaction between enterprises, it is confidential in the United States. Tao Lin said that the parties to the transaction need to sign a confidentiality agreement. This confidentiality is not necessarily that the price is completely unknown to third parties. For example, if a transaction needs to be taxed, the government needs to know how much the transaction is earning and how much tax it needs to pay. But in theory the transaction price is not a completely open price. They suggest that the recent transaction price will be announced on the China Points Trading Platform for a reference. But in fact, it is similar to bulk trade, for example, how much the price of aluminum bought last year depends on supply and demand last year. Last year's price was not necessarily related to this year's price. The amount of each transaction in this industry is still relatively private.

Does China have the minimum or maximum price limit for points transactions? Zhao Dongxuan said that enterprises most want the government to give a guide price, but unfortunately the conditions and timing are not mature. The price is determined by market supply and demand. Whether it is the ceiling price or the minimum price, the government is unlikely to give it, let everyone dispel this idea, take the initiative to talk, and try to sell their scores a good price. The Automotive Technology Center also released some guidance prices in the early stage, including the price range for the 2016 and 2017 points is 1000-1500 yuan / min. Although the guide price is released, it may actually be lower than this price.

According to Zhao Dongxuan, from the perspective of the overall industry pattern, both the positive score of CAFE (average fuel consumption) and the positive score of new energy are relatively abundant. At present, there are several companies with CAFE negative points in the industry. Nearly 2 million points are concentrated in the top ten enterprises. The point of the point transaction is very small, which is between 20 companies. In addition, if the point transaction price can reach 1000 yuan / min, it will reach the previous expectations, but the current feedback in the industry may be less optimistic than we expected, the total amount of positive points in the two years will be more . After the official point trading in July, the activity level of the transaction can be judged. The volume of the transaction and the trading company may not be as optimistic as we expected, and the pressure may be released in September.

China has two purposes in formulating the "double points" policy. First, it hopes that it can be used as a development tool for the macro-control of the new energy automobile industry. The proportion of specific regulation can be adjusted by the ratio of CAFE points and new energy points. At present, the ratio of the two is 1:1, which can be adjusted to cope with the development of the new energy automobile industry in the future. Second, it is hoped that it can be used as a more favorable means to undertake the subsidy of new energy vehicles. It is hoped that the price of the points will reflect its value. Zhao Dongxuan said, "In the past few years, basically, the amount of subsidies for new energy bicycles is about 30,000 yuan. From this absolute point of view, the price of this year's points is not easy to reach this value, but in the next few years, for example, 2020 In the concentrated transactions in the second half of the year, the price of the points will be much better than the price seen this year."

How to trade between companies?

In July, the Ministry of Industry and Information Technology originally planned to officially launch the point trading platform. All enterprises involved in CAFE's carry-over, transfer and new energy vehicle's point transactions were all carried out on the trading platform, including online and offline transactions. If the offline enterprise is directed or privately traded, the results of the final transaction, including the process, transaction volume, transaction price, etc., need to be uploaded to the trading platform for filing. Zhao Dongxuan said that this point trading platform is actually a system of two functions. The government regulates various transactions through processes to improve management efficiency; passenger car companies improve transaction efficiency and reduce communication, time and transaction costs.

In the same accounting year, in order to ensure that each transaction can be fully bidding and legally completed, the company and the platform must proceed according to the process throughout the transaction process. The flow chart of the point transaction is roughly as follows: (It is best to make a picture of the US and have a picture reference)

Start - point inquiry (enterprise) - release transaction declaration (enterprise) - declaration information disclosure (platform) - price application (enterprise) - transaction matching (platform) - matching result confirmation (enterprise) - - Signing the agreement (enterprise) - Completing the compensation report (enterprise) - Submitting the materials (enterprise) to the Ministry of Industry and Information Technology - Audit (platform) - Preparation for the next year (platform) - End

In order to give more and more flexible trading methods to different types of enterprises, the integration platform design has three types of transactions: one is directed transactions, not public information; the other is bidding transactions, public, the unit price is not fixed; the third is pricing transactions, public, points The price is fixed. The point trading platform matches all types of transactions in order of price priority, quantity priority, and time priority. According to regulations, CAFE point transfer can only be completed through targeted transactions between affiliates.

The penalties for enterprises that meet the standards are only administrative penalties. China has not introduced relevant economic penalties, which means that the issue of enterprises calling for price limits has not been fundamentally resolved. The double points policy needs to be further refined and supplemented. The implementation of the "Double Integration Method" shows that the promotion of new energy vehicles in our country has changed from fiscal incentives to corporate restructuring. The implementation of this policy will gradually form a long-term market for traditional vehicles to feed new energy vehicles. mechanism. Experts predict that after 2021, China's fiscal and taxation subsidies for new energy policies will completely decline, how to ensure the development of new energy vehicles, may be in addition to the "double points method" may also study a set of non-taxation policies to support new energy car.