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7 Policy Options
Pages 152-160

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From page 152...
... One possible pathway to meet the 2050 following: petroleum use and GHG emission reduction goals could be combining high LDV fuel economy with high levels of · Major improvements in existing LDV powertrains; drop-in biofuels produced using processes with low net GHG · Major reductions in the weight and other loads of all emissions. Another possible pathway could be a transition sizes and types of LDVs; to other alternative fuel and alternative powertrain technolo · Changes in the energy resources or fuels used to gies (e.g., plug-in hybrid electric vehicles [PHEVs]
From page 153...
... such as feebates for vehicles, and regulatory or would assist manufacturers in selling the more-efficient pricing policies directed at fuel supply sectors will likely be vehicles produced to meet fuel economy standards. essential to attaining the 2050 goals for reducing LDV petroleum consumption and GHG emissions.
From page 154...
... Until alternative fuels become cost competitive with petroleum 7.3  POLICIES TO REDUCE GHG EMISSIONS based fuels, quantity mandates for alternative fuels would ASSOCIATED WITH LDV FUELS require fuel producers to cross-subsidize their money-losing alternative fuels from their profitable petroleum-based fuels. Policies that reduce the overall energy demand of LDVs Creating and then maintaining the conditions necessary for through improving vehicle efficiency and lowering travel successful cross-subsidization would be difficult, politically demand contribute to a reduction in GHG emissions.
From page 155...
... The committee's scenario analyses suggest that significant ongoing fuel economy improvement is likely to play a very large role in meeting both the petroleum reduction and GHG emissions reduction goals (Greene, 2011; Allcott et al., 2012)
From page 156...
... , carbon taxation, or a cap-and-trade system that blends elements of regulatory and fiscal policies 7.4  POLICIES TO REDUCE THE RATE OF GROWTH by placing an economy-wide limit on GHG emissions and OF VMT propagating a price signal to motivate emissions reductions across multiple sectors. As shown in the previous chapter, increases in vehicle The EPA is beginning to pursue CAA regulation of GHG miles traveled by LDVs have offset much of the potential emissions; however, without new congressional authoriza- reduction in petroleum use and in GHG emissions caused tion, the agency might not pursue targets that are stringent by improved fuel economy over the last several decades.
From page 157...
... Other driving -- for example, increasing fuel taxes. Other possible powertrains and fuels, such as FCEVs, BEVs, hydrogen policies would be "pay at the pump" insurance, a means by fuels produced with low net GHG emissions, and biofuels which vehicle owners can pay for their car insurance through are at early stages of commercialization.
From page 158...
... and hydrogen, the committee suggests further efforts to develop accounting methods to account for GHG emis 7.5.3 Deployment sions that are applicable to the design of public policies for addressing these impacts. Many of the findings and policy options mentioned earlier in this chapter will encourage deployment of highly efficient or alternative vehicles and alternative fuels, and policy will 7.5.2 Demonstration be a critical driver of deployment.
From page 159...
... advanced vehicle, fuel, and energy supply technologies Determining technical and market readiness is challenging but also the response of the many LDV market actors and should involve an unbiased expert review of available to policies implemented for meeting goals such as those data, and consideration of the viewpoints of applicable stake- described in this committee's task statement. Therefore, holders.
From page 160...
... . · Assign relevant federal agencies having jurisdic- As noted elsewhere in this report, the committee has dif tion over LDV energy use and GHG emissions, fering views regarding the value of public promotion of spe in collaboration with the other relevant federal, cific alternative vehicle and fuel technologies, a difference of state, and local agencies, to carry out periodic view that carries over into public information policy.


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