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6 Policies for Reducing GHG Emissions from and Petroleum Use by Light-Duty Vehicles
6 Policies for Reducing GHG Emissions from and Petroleum Use by Light-Duty Vehicles
Pages 131-151
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From page 131... ...
This chapter reviews policy are sometimes implicit. Failure to recognize the interrelationoptions, including those analyzed in Chapter 5 (for example, ships between policy arenas could result in poor coordinavehicle fuel economy and GHG standards and renewable fuel tion or even contradictions among policy signals.
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From page 132... ...
Consumers ultimately pay for all aspects of any sions, programs that support or constrain the expansion of transport system, with taxes or other user fees supporting croplands and managed forests used for sourcing biofuel the publicly provided elements. feedstocks or for carbon sequestration through afforestation and grassland restoration are another important aspect of 6.1.3 Energy Policy land-use policy.
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From page 133... ...
The LDV fleet became a key target, and neighborhood-electric vehicles expired at the end of 2011, as vehicle efficiency standards known as the Corporate Average did a credit for converting conventional gasoline and diesel Fuel Economy, or CAFE, standards, were enacted as part vehicles to plug-in hybrid or all-electric propulsion systems. of the Energy Policy and Conservation Act of 1975 (P.L.
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From page 134... ...
the different arenas of public policy that influence the LDV 5 For example, the average on-road fleet fuel economy would have to sector -- transportation, land use, environmental protection, exceed 180 mpg if vehicle energy intensity were the only parameter targeted energy, and technology -- underscores the complexity of the for reducing LDV petroleum use; see footnote 2 in Chapter 2.
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From page 135... ...
users to the suppliers of transportation-related products and services, most notably, the automobile industry and the 6.3.2 U.S. CAFE Standards motor fuels industry.6 In most cases, policies designed to influence decisions about motor vehicle purchase and use The initial CAFE standards were enacted as part of the are directed at these entities rather than at the consumer.7 For 1975 Energy Policy and Conservation Act (see Figure 2.1 example, motor vehicle fuel economy standards are imposed for historical and projected LDV vehicle fuel economy)
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From page 136... ...
Although subject to revision agreement with automakers and other parties to develop a under the mid-term review, the rates of increase proposed single national program for CAFE standards in coordination for the second phase of the program, covering MY2022with federal and California LDV GHG emissions standards, MY2025, are 4.7 percent per year for light trucks and 4.2 a more ambitious target date was set, requiring that a 35.5 percent per year for passenger cars. The projected average mpg CAFE-equivalent (counting non-fuel-economy-related annual rate of fuel economy increase for the recently finalGHG emissions)
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From page 137... ...
Table 6.1 shows the variance in motor fuel taxes In its early years, the gas guzzler tax was effective in helping for several major developed countries, in 1990 and in 2010. to motivate fuel economy improvements in the least efficient Fuel prices impact both vehicle purchase decisions with cars in the fleet (Khazzoom, 1994; DeCicco and Gordon, respect to fuel economy and how much vehicles are driven.
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From page 138... ...
Fuel economy improvements reduce motor fuel tax rev- If the market price fell below $85/bbl, the surtax would enues, all else equal, because under current law the amount of increase, and if the market price rose above $90, then the tax per gallon of fuel is constant. Inflation also erodes the real surtax would be zero.
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From page 139... ...
6.3.7 Assessment of Vehicle Fuel Economy Improvement An example of a policy change that discourages a shift in Strategies fleet mix is the 2007 legislation updating the CAFE program. Before then, CAFE standards were set for and had to be met The various policies described above each have demonby each of four fleets (U.S.
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From page 140... ...
For the reluctance in the United States to raise taxes of any kind, example, the storage of carbon in soil by perennial consumers' undervaluation of fuel economy, and the level to bioenergy feedstocks depends on prior land condition which taxes would have to be raised to achieve results com- and is difficult to estimate with high certainty. parable to those seen with fuel economy standards, especially · A significant portion of the GHG emissions impacts if supplemented by feebates, make their use problematic.
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From page 141... ...
The combination of high cost, the potential waiver, and the clause described above Renewable Fuel Standard17 6.4.3 have undermined the effectiveness of RFS2 in driving an increase in cellulosic biofuels. RFS2 was intended to move the United States "toward greater energy independence and security" and to "increase the production of clean renewable fuels" (110 P.L.
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From page 142... ...
If the United States is to limit the GHG emissions impacts 6.4.5 California's Low Carbon Fuel Standard of LDVs and their associated fuel supply systems (as opposed to A regulatory effort to encourage the use of alternative their direct tailpipe emissions only) , then policies are needed to fuels, with the specific intent of lowering GHG emissions, address the GHG emissions from other sectors upstream from is California's LCFS.
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From page 143... ...
6.5 POLICIES TO IMPACT VEHICLE MILES TRAVELED The principal findings of the 2009 study can be summarized as follows: Since 1970, increases in U.S. LDV vehicle miles traveled have more than offset improvements in LDV on-road fleet · Developing more compactly, that is, at higher resifuel economy (see Figure 6.1)
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also examined a range of additional policies deemed to attentive, significantly improve the fuel economy they expehave the potential to reduce the future rate of VMT growth. rience on the road.
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From page 145... ...
technologies appear in the market. This section examines the There is an even stronger case to be made for publicly different stages of the innovation process to address the ques- funded R&D to reduce greenhouse gas emissions and tions about the role of government in this process.
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other synthetic fuels, electricity, hydrogen, or combinations Vehicles pose a different demonstration issue. Manufacthereof with low net GHG emissions impacts.
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economies of scale during the early stages of comThis is likely to be particularly challenging in the case of mercialization, and vehicles using non-liquid fuels, such as grid-connected- · The coordination of commercial deployment of AFVs electric, natural gas, or hydrogen fuel cell vehicles, Even with the fueling infrastructure for those vehicles. after successful completion of the demonstration phase, potential vehicle purchasers would need to be convinced Nevertheless, given the uncertainties involved, technologythat the technology is reliable and that the form of energy it specific deployment programs may not be needed.
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Analysis performed today and petroleum reduction goals for the LDV fleet is critical can be suggestive but is never dispositive about what techto achieving public support of same. nologies will succeed in the future.
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2007. Passenger policies that have resulted in varying degrees of progress on Vehicle Greenhouse Gas and Fuel Economy Standards: A Global the impacts of LDVs.
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Washington, D.C.: Congres- gas emissions and Corporate Average Fuel Economy Standards. Federal sionial Budget Office.
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DRU-1514-VW/VROM/EZ. Leiden, The Netherlands: hicle size created from the US footprint-based fuel economy standards.
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