Economy, Fuel Tax and Vehicles

MIT study finds fuel economy standards are 6-14 times less cost effective than fuel tax for reducing gasoline use

Green Car Congress

FEBRUARY 21, 2013

In a study published in the journal Energy Economics , MIT researchers have found that a fuel economy standard is at least six to fourteen times less cost effective than a fuel tax when targeting an identical reduction in cumulative gasoline use (20% by 2050). —Karplus et al.

Fuel Economy

Fuel Economy MIT Fuel Tax Economy

Study finds that increased vehicle travel and decreased occupancy have undercut the impact of improving fuel economy over last 40 years

Green Car Congress

MARCH 6, 2013

From 1970 to 2010, vehicle distance travelled in the US increased by 155% (from 1.674 trillion km to 4.260 trillion km); however, because vehicle load (i.e., Sivak found that while the vehicle fuel economy of the entire light-duty fleet improved by 40% (from 13 mpg US to 21.6 mpg US, or from 18.1 l/100km to 10.9

Fuel Economy

Fuel Economy Economy Fuel North America

DOE: Average annual gasoline taxes paid per vehicle, by state, 2019

Green Car Congress

DECEMBER 3, 2019

According to the Federal Highway Administration, the average fuel economy for all light vehicles on the road today is 22.3 The Federal tax on gasoline is 18.4 cents per gallon, and each state has a gasoline tax, ranging from 8.95 Based on a vehicle with an average fuel economy of 22.3

Tax

Tax 2019 Gasoline Fuel Economy

Motor vehicle taxation brings in €440.4B for governments in major European markets

Green Car Congress

MAY 4, 2020

New data shows that motor vehicles generate more than €440 billion in taxation per year for national governments in the major EU markets plus the UK, the European Automobile Manufacturers’ Association (ACEA) reports. The top 5 countries with the highest motor tax revenues are: Germany ? —Eric-Mark Huitema, ACEA Director General.

Motors

Motors Motoring Motor Market

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

Green Car Congress

NOVEMBER 8, 2013

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.

Fuel Economy

Fuel Economy Economy Plug-in Plug

Obama climate plan calls for new fuel economy standards for heavy-duty vehicles post-2018; cleaner fuels and investment in advanced fossil energy

Green Car Congress

JUNE 25, 2013

Among the transportation-related elements of US President Barack Obama’s new climate action plan, which he is outlining today in a speech at Georgetown University, is the development of new fuel economy standards for heavy-duty vehicles post-2018. Climate Change Emissions Fuel Efficiency Fuels Heavy-duty Policy'

Obama

Obama Cleaner Fuel Economy Climate

Massachusetts Governor Proposes $0.19 Increase in State Fuel Tax to Support Transportation Projects

Green Car Congress

FEBRUARY 20, 2009

As part of a comprehensive reform plan to simplify the Commonwealth of Massachusetts’ transportation system, Governor Deval Patrick is proposing a fuel tax increase of $0.19 The increased fuel tax is intended to be in lieu of an increase in tolls. per gallon—a 81% increase of the current $0.235 per gallon.

Fuel Tax

Fuel Tax Massachusetts Tax Transportation

President Biden calls on Congress, States for fuel tax holiday; increase in refinery capacity

Green Car Congress

JUNE 23, 2022

To that end, following on Biden’s campaign promise to “end fossil fuel,” policy and investment signals are being sent by various federal agencies and allied state governments to the market about the refining industry: EPA just finalized a light duty vehicle standard that incentivizes at least 17% electric vehicle sales by 2026.

Congress

Congress Fuel Tax Tax Fuel

National Research Council Report Explores Improving Fuel Economy of Medium- and Heavy-Duty Vehicles; Recommends Immediately Beginning Developing a Regulatory Approach

Green Car Congress

APRIL 2, 2010

Comparison of 2015-2020 new vehicle potential fuel-saving technologies for seven vehicle types: tractor trailer (TT), Class 3-6 box (box), Class 3-6 bucket (bucket), Class 8 refuse (refuse), transit bus (bus), motor coach (coach), and Class 2b pickups and vans (2b). This is called load-specific fuel consumption (LSFC).

Fuel Economy

Fuel Economy Economy Fuel Vehicles

Australia PM Gillard announces carbon pricing plan; transport fuels exempt, but lowered fuel tax credits to bring carbon price to some businesses

Green Car Congress

JULY 10, 2011

Most Australians now agree our climate is changing, this is caused by carbon pollution, this has harmful effects on our environment and on the economy—and the Government should act. However, where applicable, an equivalent carbon price will be applied through changes in fuel tax credits or excise.

Tax Credit

Tax Credit Fuel Tax Carbon Australia

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

Green Car Congress

MARCH 8, 2010

The study— Analysis of Policies to Reduce Oil Consumption and Greenhouse-Gas Emissions from the US Transportation Sector —finds that reducing CO 2 emissions from the transportation sector 14% below 2005 levels by 2020 may require fuel prices above $8/gallon by 2020. —Morrow et al. Adoption of all of the preceding policies.

Tax Credit

Tax Credit Tax Emissions Fuel

Global Fuel Economy Initiative Releases Roadmap Report on Achieving 50% Fuel Economy Improvement in LDV Fleet by 2050

Green Car Congress

MARCH 6, 2009

The IEA and ITF have developed a range of projections of possible “business-as-usual” scenarios around this, indicating the potential for a doubling (or more) of vehicle kilometers travelled (VKT) combined with modest improvements in vehicle fuel economy. Vehicle taxes and incentives. Click to enlarge.

Fuel Economy

Fuel Economy Economy Fuel Global

UK Government Pre-Budget Report Offers Tax Exemptions for EVs, £30M in Additional Support for Low-Carbon Vehicles; Annual Fuel Tax Increases and End of Duty Differential for Biofuels

Green Car Congress

DECEMBER 21, 2009

A 100% first year tax allowance will also be provided for the purchase of electric vans subject to State Aid clearance. million) to support low carbon vehicle development, including an expansion of the Technology Strategy Board’s ultra-low carbon vehicles competition. The PBR also has news of an additional £30 million (US$48.5

Tax

Tax Carbon Fuel Tax Fuel

Study finds behavior-influencing policies remain critical for mass market success of low-carbon vehicles

Green Car Congress

JULY 23, 2018

Policies to entice consumers away from fossil-fuel powered vehicles and normalize low carbon, alternative-fuel alternatives, such as electric vehicles, are vital if the world is to significantly reduce transport sector carbon pure-emissions, according to a new study. —McCollum et al. Share of EDVs in 2050.

Carbon

Carbon Alternative Fuels Market Vehicles

Belfer Center report calls for policymakers to begin taking steps to change policies for funding US transportation infrastructure

Green Car Congress

OCTOBER 23, 2010

users pay for the construction and maintenance of roads via a federal fuel tax. Revenues from the tax go into the federal Highway Trust Fund, which is independent of the General Fund; every five years or so Congress passes an authorization bill to allocate these revenues. States use similar mechanisms.

Transportation

Transportation Fuel Tax Tax Gasoline-Electric

Is A Tax On Electricity (kWh) Consumed The Best Way to Supplement the Fuel Tax for Electric Vehicles?

EV Adoption

JULY 4, 2022

As sales of electric vehicles begin to reach significant numbers across the US, states are exploring approaches to replace lost tax revenue since EV drivers don’t pay fuel taxes as drivers of gas-powered cars do at gas stations. Unfortunately there is currently no simple and agreed upon best replacement for the fuel tax.

Fuel Tax

Fuel Tax Tax Electric Vehicles Fuel

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

Green Car Congress

SEPTEMBER 20, 2012

IEA fuel economy readiness index status, 2010. New propulsion systems requiring new fuels, such as plug-in electric vehicle systems and fuel cell systems, are beyond the scope of this technology roadmap and are treated in separate roadmaps. Average fuel economy and new vehicles registrations, 2005 and 2008.

Fuel Economy

Fuel Economy Fuel Transportation Engine

With gas phase-out in view, Europe could lose $160 billion in fuel taxes

Teslarati

JANUARY 30, 2024

With Europe’s gas phase-out plans now within view, the countries there could be set to lose significant funding from fuel taxes in the coming years. Still, the change could have some latent effects, especially as most countries get crucial revenue from taxes on gas.

Fuel Tax

Fuel Tax Tax Europe Gas

Congressional Budget Office estimates US federal policies promoting EVs and other fuel-efficient vehicles will cost $7.5B through 2019; little or no impact on gasoline use and GHG in the short term

Green Car Congress

SEPTEMBER 21, 2012

Tax credits and gasoline prices necessary for various electric vehicles to be cost-competitive with conventional vehicles at 2011 vehicle prices. The electric vehicles that are the focus of this study fall into two broad classes: plug-in hybrid electric vehicles and battery-electric vehicles.

Tax Credit

Tax Credit Gasoline Tax Gasoline-Electric

Baker Institute report: China has positioned itself as a gatekeeper to the energy transition; nickel case study

Green Car Congress

APRIL 21, 2022

The global push to convert the world to electric vehicles will cause supply chain complexities that could undermine the alternative energy transition in the United States, according to a new report from Rice University’s Baker Institute for Public Policy. The detailed report— Need Nickel?

China

China Energy Indonesia Power Grid

New Zealand simplifies Road User Charges system, extends exemption for light electric motor vehicles from 2013 to 2020

Green Car Congress

JUNE 14, 2012

In New Zealand, diesel and electric-powered vehicles pay for their road use through road user charges. Since some 36% of diesel is used off-road, such as on farms, by manufacturing, industrial and commercial ventures, and boats, a fuel tax for road use would impose an unfair burden onto these sectors, the government says.).

New Zealand

New Zealand Light 2013 2020

Sen. Baucus draft for energy tax reform focuses on clean production of electricity and fuels; repeals plug-in vehicle credits

Green Car Congress

DECEMBER 19, 2013

It also would repeal a number of current tax incentives, including those for plug-in electric vehicles and fuel cell vehicles. Clean fuels tax credit. This staff discussion draft focuses on developing two simple, technology-neutral tax incentives for domestic production of clean electricity and clean fuels.

Tax

Tax Tax Credit Clean Cleaning

Study finds CO2 emissions trading more effective path to automotive CO2 reduction in Europe than tailpipe standards

Green Car Congress

NOVEMBER 11, 2016

The goal of this paper is to assess the resulting CO 2 emissions, energy, and economic impacts of the EU CO 2 mandates, and compare them to an alternative scenario where vehicle emissions are part of an emission trading system designed to meet Europe’s announced economy-wide targets. —Paltsev et al.

Standards

Standards Emissions CO2 Europe

Fuel economy standards to hit fuel tax

Green Cars News

MAY 3, 2012

There may be one negative knock-on effect of improving the fuel economy standards of our vehicles: fuel tax revenues could slump massively. In the US this [.].

Fuel Economy

Fuel Economy Fuel Tax Tax Economy

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

Green Car Congress

JULY 29, 2009

Although innovations in vehicle and fuel technology will have a substantial effect on reducing greenhouse gas emissions from transportation in the US, those gains will largely be offset by increases in travel along with growth in the US population, according to a new report from transportation consultancy Cambridge Systematics.

Transportation

Transportation Price Fuel Economy Economy

CEPS task force report identifies tightening emissions standards as key policy to hit EU 60% reduction in transport GHG; full life-cycle emissions optimal metric

Green Car Congress

JULY 1, 2013

The report argues that the biggest component of total transport reductions could come from more energy-efficient vehicles, combined with the gradual introduction of low-carbon fuels and new engine technologies. Improving the energy efficiency of vehicles (including hybridization) has “ huge potential ”, both in the short and long run.

Emissions

Emissions Transportation Standards Climate Change

UC report to CalEPA outlines policy options to decarbonize California transportation by 2045

Green Car Congress

APRIL 22, 2021

A team of transportation and policy experts from the University of California released a report to the California Environmental Protection Agency (CalEPA) outlining policy options to significantly reduce transportation-related fossil fuel demand and emissions. These vehicles are responsible for 70% of transportation emissions.

Transportation

Transportation California Davis Carbon

We Need More Than Just Electric Vehicles

Cars That Think

AUGUST 20, 2022

The total cost of purchasing and driving one—the cost of ownership—has fallen nearly to parity with a typical gasoline-fueled car. Scientists and engineers have extended the range of EVs by cramming ever more energy into their batteries, and vehicle charging networks have expanded in many countries.

Electric Vehicles

Electric Vehicles Vehicles West Virginia Electrical

EV Road Usage Fees: A 3-Step Guide for States

Plug in America

JULY 26, 2023

States rely on gas taxes to fund road improvements and repairs. Since electric vehicles (EVs) don’t use gas , they don’t contribute to this fund. Step 1: Identify Revenue Replacement Baseline Since all states have a gas tax in place, let’s not recreate the wheel. a year in gas taxes. But who pays for these roads?

Tax

Tax Arizona Gas-Electric Gas

Fuel duty increase: Greenwash or green right?

Green Cars News

SEPTEMBER 1, 2009

Many a motorist will grumble today as they get to the pumps and notice a jump in the fuel prices, following the two pence per litre increase in fuel duty, however environmental pressure group, Friends of the Earth (FoE) think the increase is necessary to coax us out of our cars.

Green

Green Fuel Petrol Fuel Tax

Study: air pollution caused 1.1M deaths across Africa in 2019, toll from outdoor pollution rising

Green Car Congress

OCTOBER 11, 2021

Cities are expanding, economies are growing, and life expectancy has almost doubled. Fossil fuel combustion has driven an increase in outdoor air pollution that in 2019 killed 29.15 Fossil fuel combustion has driven an increase in outdoor air pollution that in 2019 killed 29.15 billion in 2020 to 4.3 billion by 2100.

Pollution

Pollution Africa 2019 Ethiopia

Automotive Market Research Perspectives on Selling Green in a Try-to-Survive Market

Green Car Congress

MAY 2, 2009

Strategic Vision shared data that only a small portion of consumers in the US are “ truly green ”, which means the customer is willing to pay significantly more for a green vehicle. Miller of Synovate believes that in the US “ 20% of the people are willing to pay up to 10% of the vehicle’s purchase price more (i.e.

Market

Market Green Prius Hybrid

FedEx and VW EV Plans, Second GM Battery Factory – EV Week in Review: Mar 2 – Mar 8

EV Adoption

MARCH 9, 2021

sales to be electric vehicles by 2030 – The German automaker said more than 70% of its Volkswagen brand’s European sales will be EVs by 2030, up from a previous target of 35%. The announcement is specifically for VW-branded vehicles and does not apply to other brands in the VW portfolio (Audi, Porsche, SEAT, Bentley, etc.).

GM

GM Hummer GMC Battery

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

Green Car Congress

MARCH 16, 2016

According to the report, “On the Road Toward 2050: Potential for Substantial Reductions in Light-Duty Vehicle Energy Use and Greenhouse Gas Emissions,” each element is separately important, but must collectively be pursued aggressively to achieve necessary emissions reductions. —“On the Road Toward 2050” Click to enlarge.

MIT

MIT Transportation Climate Energy

EV Driven

MIT study finds fuel economy standards are 6-14 times less cost effective than fuel tax for reducing gasoline use

Study finds that increased vehicle travel and decreased occupancy have undercut the impact of improving fuel economy over last 40 years

DOE: Average annual gasoline taxes paid per vehicle, by state, 2019

Motor vehicle taxation brings in €440.4B for governments in major European markets

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

Obama climate plan calls for new fuel economy standards for heavy-duty vehicles post-2018; cleaner fuels and investment in advanced fossil energy

Massachusetts Governor Proposes $0.19 Increase in State Fuel Tax to Support Transportation Projects

President Biden calls on Congress, States for fuel tax holiday; increase in refinery capacity

National Research Council Report Explores Improving Fuel Economy of Medium- and Heavy-Duty Vehicles; Recommends Immediately Beginning Developing a Regulatory Approach

Australia PM Gillard announces carbon pricing plan; transport fuels exempt, but lowered fuel tax credits to bring carbon price to some businesses

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

Global Fuel Economy Initiative Releases Roadmap Report on Achieving 50% Fuel Economy Improvement in LDV Fleet by 2050

UK Government Pre-Budget Report Offers Tax Exemptions for EVs, £30M in Additional Support for Low-Carbon Vehicles; Annual Fuel Tax Increases and End of Duty Differential for Biofuels

Study finds behavior-influencing policies remain critical for mass market success of low-carbon vehicles

Belfer Center report calls for policymakers to begin taking steps to change policies for funding US transportation infrastructure

Is A Tax On Electricity (kWh) Consumed The Best Way to Supplement the Fuel Tax for Electric Vehicles?

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

With gas phase-out in view, Europe could lose $160 billion in fuel taxes

Congressional Budget Office estimates US federal policies promoting EVs and other fuel-efficient vehicles will cost $7.5B through 2019; little or no impact on gasoline use and GHG in the short term

Baker Institute report: China has positioned itself as a gatekeeper to the energy transition; nickel case study

New Zealand simplifies Road User Charges system, extends exemption for light electric motor vehicles from 2013 to 2020

Sen. Baucus draft for energy tax reform focuses on clean production of electricity and fuels; repeals plug-in vehicle credits

Study finds CO2 emissions trading more effective path to automotive CO2 reduction in Europe than tailpipe standards

Fuel economy standards to hit fuel tax

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

CEPS task force report identifies tightening emissions standards as key policy to hit EU 60% reduction in transport GHG; full life-cycle emissions optimal metric

UC report to CalEPA outlines policy options to decarbonize California transportation by 2045

We Need More Than Just Electric Vehicles

EV Road Usage Fees: A 3-Step Guide for States

Fuel duty increase: Greenwash or green right?

Study: air pollution caused 1.1M deaths across Africa in 2019, toll from outdoor pollution rising

Automotive Market Research Perspectives on Selling Green in a Try-to-Survive Market

FedEx and VW EV Plans, Second GM Battery Factory – EV Week in Review: Mar 2 – Mar 8

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

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