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Study Concludes Cash for Clunkers Program Is an Expensive Way to Reduce Carbon; Paying Nearly 10x the Projected Price of Carbon Credits

Green Car Congress

program is paying nearly 10 times the projected price of carbon credits per ton in the best-case scenario, according to an analysis of the implied cost of carbon dioxide reductions under the program by UC Davis transportation economist Christopher Knittel. do not discuss the merits of the program in terms of stimulus.

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Report from the REFF-Wall Street; Themes in Renewable Energy Finance

Green Car Congress

The stimulus package is designed to address the recession and in the short term people were anxiously awaiting two key components of the plan: clarification on the details behind “ grants in lieu of tax credits ” and awards of loan guarantees by the DOE from section 1705. Costs are also falling due to classic economics. Earlier post.).

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Plug-in cars: Moving Forward

Plugs and Cars

I suspect without some explicit direction from the top, prodded from those of us below, the automakers will do everything to achieve the requirements with conventional vehicles, eschewing the greater near term cost and long-term benefit of transitioning toward plug-in electric drive components and batteries.

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Coming Soon – The Electric City

Revenge of the Electric Car

Much of the attention on electric cars has been on the vehicles’ design, cost and performance. They cost drivers on average only 2.5 cents a mile for fuel, less than a third of the cost for a highly efficient gasoline car, according to proponents. If electric cars do take off, consumers and society could benefit.

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Has the cash for clunkers scheme failed? The Green Piece

Green Cars News

However, its overall merits are open for debate after a study by UC Davis transportation economist Christopher Knittel questioned the implied costs of reducing greenhouse gas emissions. With General Motors and Chrysler also showing signs of modest improvement, all looked rosy. A money saving scheme that’s proving costly.