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OECD: governments should make better use of energy taxation to address climate change; “meaningful” increases limited to road sector

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fuel taxes increased between 2012 and 2015 in some large countries, and first steps towards removing lower tax rates on diesel compared to gasoline are taken, but apart from that there are no signs that the polluter pays principle determines the energy tax landscape more strongly in 2015 than in 2012. of emissions.

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Belfer Center Study Concludes Reducing Car and Truck GHG Emissions Will Require Substantially Higher Fuel Prices; Income Tax Credits for Advanced Alt Fuel Vehicles Are Essentially Ineffective at Reducing Sector Emissions

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The key to obtaining significant reductions in transportation-related GHG emissions is to increase the cost of driving. The economy-wide CO 2 prices applied increase the cost of driving only marginally with respect to the business-as-usual case. Similar results hold for other macroeconomic indicators. —Morrow et al.

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GFEI report suggests $2T savings from fuel economy improvements in ICE vehicles through 2025 can help fund long-term transition to plug-ins

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The GFEI, a partnership of international agencies and top energy policy experts, suggests that these cost savings could in part be used to help offset the costs of developing a global market for electric vehicles over this time frame, since the savings are estimated to be at least four times bigger than these costs.

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Energy Learning Curve Survey Finds Americans Support Wide Array of Proposed Energy Policies, But Are Not Yet Ready to Make Tradeoffs

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However, the survey also found that the public may not yet be prepared for the tradeoffs and challenges needed to make these proposals a reality, with majorities rejecting measures such as a floor on gasoline prices, congestion charges, or higher fuel taxes. Anything that increases the cost of driving is soundly rejected by the public.

Energy 150
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IEA technology and policy reports outline paths to halving fuel used for combustion-engined road transport in less than 40 years

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The policy package includes a new fuel economy readiness index, which measures the extent to which countries have implemented steps that will fully exploit the potential of existing fuel economy technologies and maximise their use in vehicles. Policy package.

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Study Finds That Implementation of a Portfolio of Transportation Strategies Will Be Required for Significant Reductions in GHG from Transportation Sector; Pricing Strategies Have the Largest Potential

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per gallon fuel tax by 2050) could result in an additional reduction of 28% in GHG emissions. Strategies raise the costs associated with the use of the transportation system, including the cost of vehicle miles of travel and fuel consumption. carbon pricing) are considered. Cambridge Systematics, Inc.

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MIT Energy Initiative report on transforming the US transportation system by 2050 to address climate challenges

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However, the flexibility and lower costs of PHEVs appear to trump this simplicity, certainly in the nearer term. The overall strategy should include conserving energy through changes in travel behavior, improving conventional technologies, and transforming the transportation system to increasingly use lower carbon energy sources.

MIT 150