Impact of New Energy Vehicles on Average Fuel Consumption of BYD Auto’s Passenger Vehicles

The impact of new energy vehicles (NEV) on average fuel consumption of automakers’ passenger vehicles in China，is a question that has not been clearly addressed. In this paper, average accounting fuel consumptions and average real fuel consumptions of BYD Auto (hereinafter referred to as "BYD")’s passenger vehicles, as well as average fuel consumptions of BYD’s NEV and average fuel consumptions of BYD’s conventional energy vehicles (CEV) from 2016 to 2021, were calculated. Then the impact of production multiplier of NEV and low average fuel consumption of NEV were distinguished to reveal the path and extent of NEV’s impact on average fuel consumption of BYD's passenger vehicles. The results showed that, Production multiplier of NEV and low average fuel consumption of NEV are key factors by which NEV promoted the decline of average fuel consumption of BYD’s passenger vehicles. Production multiplier of NEV caused the difference between average accounting fuel consumption and average real fuel consumption of BYD’s passenger vehicles, Low average fuel consumption of NEV caused the difference between average real fuel consumption of BYD’s passenger vehicles and average fuel consumption of BYD’s CEV, and the total impact of NEV on the average accounting fuel consumption of BYD’s passenger vehicles was equal to the sum of the above two differences, which is equal to average accounting fuel consumption of BYD’s passenger vehicles minus average fuel consumption of BYD’s CEV.