Review the need for incentives

A recent investigation by the Ministry of Finance into government subsidies for new energy vehicles revealed five manufacturers of such vehicles, including two in Suzhou, East China's Jiangsu province, got the subsidies through deceptive means.

Gemsea, a new energy vehicle-maker in Suzhou, cheated the government of 261.56 million yuan ($39 million) in subsidies by claiming to have sold 1,131 such vehicles by fabricating materials purchase documents, and original papers of vehicle sales and registration. Another company in Suzhou fleeced the government of an extra 519.21 million yuan in subsidies by issuing registration certificates for 1,683 vehicles that, in fact, it had failed to assemble by the end of 2015.

The other three companies used similar means to cheat the government.