ICCT Releases New Report Comparing Global Fuel Economy and CO2 Standards
31 July 2007
With debate on light-duty vehicle fuel economy likely headed for the floor of the US House of Representatives, the International Council on Clean Transportation (ICCT) has released a new report comparing car and light truck fuel efficiency standards worldwide.
The report, which includes Feng An as an author, updates the 2004 An and Sauer study for the Pew Center on Global Climate Change that compiled GHG emission standards and passenger vehicle fuel economy from seven governments around the world.
|Actual and projected GHG emissions, adjusted to NEDC test cycle. Click to enlarge.|
The new ICCT report reflects changes in the development of vehicle standards in Japan, Europe, and the United States.
It also identifies new fiscal policies enacted in China and Canada that are designed to promote fuel-efficient vehicles and to discourage larger, inefficient vehicles.
Findings of the new report include:
Although Japan and Europe continue to lead the world with the most stringent passenger vehicle greenhouse gas and fuel economy standards (Japan’s being mandatory, with Europe poised to transition from voluntary to mandatory), the two are moving in opposite directions. In 2006, Japan increased the stringency of its fuel economy standards, while Europe is in the process of weakening its CO2 standards by shifting from a target of 120 g/km from the vehicle to 130 g/km from the vehicle.) As a result, Japan’s standards are expected to lead to the lowest fleet average greenhouse gas emissions for new passenger vehicles in the world (125 g/km) in 2015.
California’s GHG emission standards for passenger vehicles would achieve the greatest absolute emission per vehicle reductions from any policy in the world, although the emissions endpoint is still higher than that of a number of countries, including China, the EU and Japan.
US passenger vehicle standards continue to lag behind other industrialized nations, both in absolute terms as well as in the relative improvements required under current regulations to 2011. If targets under discussion in the Congress are enacted, the US could move ahead of Canada, Australia, South Korean and California by 2020.
Canada has established the world’s only active feebate program with significant incentives and levies for vehicles based on fuel consumption. At the same time, Canada plans to issue an attribute-based fuel economy regulation this fall to take effect in 2011, while it continues to implement its voluntary agreement with automakers.
The Chinese government warrants significant notice for reforming the passenger vehicle excise tax to encourage the production and purchase of smaller-engine vehicles, and to eliminate the preferential tax rate that applied to sport utility vehicles (SUVs).
South Korea is the only nation in the world with fuel economy standards for new passenger vehicles where fleet average fuel economy is projected to decline over the next five years. The South Korean government is considering policy options to address this negative trend.
|Per vehicle GHG emission reduction associated with the most recent regulations by country. Click to enlarge.|
In an attempt to partially control for the impact of variations in vehicle size, weight, technology penetration, and engine performance across countries, the report compared standards in terms of the absolute improvement required over each regulatory implementation period. That analysis yielded the conclusion that California’s regulations would achieve the greatest overall per vehicle reduction, even though the per vehicle emissions would still be higher than in other countries.
|Fuel Economy and GHG Emissions Standards Around the World|
|Canada||GHG||5.3Mt reduction||Vehicle class-based||New and in-use||US CAFE||Voluntary|
|California||GHG||g/mile||Vehicle class-based||New||US CAFE||Mandatory|
|US||Fuel||mpg||Single standard for cars; size-based for trucks||New||US CAFE||Mandatory|
|South Korea||Fuel||km/l||Engine size-based||New||US EPA City||Mandatory|
|Taiwan||Fuel||km/l||Engine size-based||New||US CAFE||Mandatory|
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