IN THE TRANSPORT SECTOR Glynda Bathan Deputy Executive Director - - PowerPoint PPT Presentation

CLEAN ENERGY TRANSITION IN THE TRANSPORT SECTOR

Glynda Bathan Deputy Executive Director Clean Air Asia

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• Lack of ambition in setting mitigation goals for the

transport sector in NDCs (i.e. they are not sufficient to bring the sector’s CO2 emissions in line with the 2 degree scenario)

• Limited uptake of policies that favor energy efficient

modes of transport (e.g. vehicle fuel economy policies, support and incentives for electric vehicles) but with a few countries starting to put policies in place

• Emissions increased 2.5% annually between 2010-

2015

Barriers clean energy transition in transport

Increasing CO2 emissions from transport

Number of vehicles * 1000

• 90%+ of growth in developing, emerging economies
• Opportunity for energy efficiency, green economy innovation

Source: IEA

Cars a growing reality in emerging and developing markets…

Motor vehicles ~ 1 billion today…

• ver 2.5 billion by 2050

5 Source: ITPS and CAA, 2014

Half a billion vehicles in ASEAN in 2050

Doubling the efficiency

• f the global car fleet by 2050
• Slowing improvement in OECD countries
• Increasing improvement in non-OECD but not enough
• Still far from meeting the GFEI target

Source: IEA/ GFEI, 2017

Average fuel economy in new cars in ASEAN is relatively high

New cars by size by country in 2015

Source: IEA/ GFEI, 2017. Working Paper 15

Target group: Consumer Manufacturer Monetary Fiscal instruments Regulatory Fuel economy or CO2 emission standards Consumer information Labelling

FE

Fuel economy policies & instruments

11 Source: UNEP, 2017 (unpublished).

Fuel economy policies work

2 4 6 8 10 12 14 2005 2007 2009 2011 2013 2015 2017 2019 2021 2023 2025 Liters per 100 kilometers (L/100km) normalized to NEDC Test Cycle

Baseline Light-Duty Vehicle Fuel Economy and Trends for New LDVs

Algeria Bahrain Chile China Costa Rica Cote d'Ivoire Egypt Ethiopia EU Georgia Indonesia Japan Kenya Mauritius Montenegro Morocco Peru Philippines Sri Lanka Tunisia Uganda Uruguay US

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• Hybrid and electric cars in 2014 was 56% of the total number of cars
• Hybrid-petrol, petrol and diesel vehicles attract 58%, 253% and 345%,

respectively, in excise tax

• Fully electric vehicles are levied at 25%.

Hybrid and Electric cars in Sri Lanka

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• Feebate scheme in 2011 = fee on cars above 158 CO2g/km starting

from 55$ per g/km to 137$ per g/km for cars over 290 CO2 g/km and a rebate starting from 27$ per g/km for cars with CO2 ratings from 91 to 158 CO2g/km and 82$ for cars from 90 CO2g/km and below

CO2-based Feebate Scheme in Mauritius

• From 7l/100km in 2005 to

5.8l/100km in 2014 and rapid increase of new hybrid vehicle sales from 337 in 2011 to 1418 in 2013

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Direct Fuel Economy Policies in ASEAN Member Countries

Feebate Scheme in Singapore

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National Environment Agency to introduce the Vehicular Emissions Scheme (VES) to replace the Carbon Emissions-Based Vehicle Scheme (CEVS) for all new cars, taxis and newly imported used cars with effect from 1 January 2018

Source: Singapore Land Transport Authority, 2017

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• Seven-seater cars and

smaller ones are required to carry energy rating labels

• Labeling for those with

more than seven seats to nine seats will be voluntary until December 31, 2017 and for motorcycles until December 31, 2019 and required on cars from January 1, 2018 and motorcycles from January 1, 2020

Vehicle Labeling in Viet Nam

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• Vehicle excise tax rates

in Thailand combines CO2 ratings and engine capacity

• Mandatory eco-sticker

Labeling and CO2-based Tax in Thailand

Types of Vehicles Fuel type / Tax rates

CO2/ engine capacity E10/ E20 E85/ NGV Hybrid Passenger vehicles – cars and vans with less than 10 seats ≤ 100 g/km 30 25

10

101-150 g/km 30 25

20

151-200 g/km 35 30

25

>200 g/km 40 35

30

>3,000 cc 50 50

50

~~~~~~ Electric vehicle/ fuel cell ≤ 3,000 cc (180 Kw) 10 > 3,000 cc (180 Kw) 50

Source: Energy Policy and Planning Office and Department of Alternative Energy Development, 2015

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Electric vehicles

But, comprises low market share globally (electric cars = about 0.2% of global car stock)

Source: OECD/IEA. 2016

• Support for charging infrastructure
• Fiscal advantages for EVs, tightened fuel economy standards,

measures that give preference to low emissions vehicles (e.g., zero emission zones in cities, access to high occupancy lanes, parking privileges)

• Fuel taxes that make conventional fuels more expensive

Source: OECD/IEA. 2016

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• Governments need to raise ambition levels in NDCs to

bring the transport sector back on track with the 2 degree scenario

• Implement fuel economy policies to substantially reduce

CO2 emissions from light duty vehicles but also for the under-regulated yet high-emitting transport sectors such as heavy-duty freight trucks

• Electric mobility initiatives in Asia should focus on modes

which are already less energy intensive (e.g. electric buses), taking care not to contribute to congestion, and more importantly using power from clean energy sources

• With these measures, we also reduce fossil fuel

consumption and national expenditures on fossil fuels and improve air quality and quality of life

Summary

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