Shenzhen limits new car licence plates to fight congestion and pollution

Shenzhen residents were angered last night when authorities imposed a quota on new car number plates without public consultation or advance notice nearly a year after the mayor had ruled out such a move.

The municipal government issued a statement at about 5.45pm announcing that from 6pm, the city would issue 100,000 number plates each year via auctions or lotteries.

Until yesterday, any Shenzhen resident with a valid driver's licence could buy and register a private car. Shenzhen now joins other major cities that have imposed quotas to help curb the growth in private car ownership.

According to the city's transport commission, 60,000 plates will be issued via lottery, including 20,000 for fuel-efficient cars and the remainder for conventional cars. The remaining 40,000 plates, for conventional cars, will be auctioned.

Government organisations and institutions in the city will be only permitted to apply for new plates with official approval.

The commission said the policy was necessary to battle congestion and air pollution in a city where the number of private cars had risen by 16 per cent a year, to 3.14 million, but with only 1.04 million parking spaces available.

The announcement caught residents off guard, and their surprise quickly turned to anger over a broken official promise. At the People's Congress of Guangdong in January, Shenzhen Mayor Xu Qin pledged there would be no limits on car purchases or licence plates in the city.

In July, however, the Shenzhen Transport Commission released a draft plan to raise charges at all commercial car park to as much as 300 yuan (HK$379) per day to discourage people from using their cars. The typical daily parking fee across the city is about 60 yuan.

"The mayor's words made the front page of local newspapers at the time. Within a few months, officials have broken their promise," said Lin Zixiang, an IT engineer who was planning to buy a car next year.

"The move was announced in such a hurry, with no public consultation. It took effect just a few minutes afterwards. The city authorities are treating citizens as fools," said resident Wang Gang. Both Lin and Wang rushed to car showrooms but dealers were either rejecting orders or had sharply increased prices.

Shenzhen joins Beijing, Shanghai, Guangzhou, Tianjin and Guiyang , the capital of Guizhou province, in restricting vehicle registration. Beijing and Guiyang issue plates through lotteries while Shanghai uses a bidding scheme. Tianjin and Guangzhou have adopted a hybrid system.

On December 15 last year, Tianjin residents were furious when the municipal government announced at 7pm that restrictions on car purchases would be imposed at midnight.