Strategies to reduce carbon dioxide emissions from road traffic

Panel: Panel 5. Transport

Author:
Gunnar A. Eriksson, Nordplan and Lawrence Berkeley Laboratory, USA

Abstract

The debate about instruments to reduce carbon dioxide emissions from road traffic is to a large extent focused on carbon dioxide fees and standards for fuel economy taxes. Some tranqortation demand management and traffic management measures can decrease emissions to low costs; however, their applicability is limited. A general carbon dioxide fee can theoretically be shown to be the superior instrument to reach emission reductions, given a Öperfect market.Ë Market imperfections and political obstacles are the main arguments for vehicle standards or fuel economy taxes. The authorÉs past work as well as a current literature review indicate market imperfections. Vehicle purchasers tend to mdervalue fuel costs. In combination a carbon dioxide fee and a fuel economy tax on new vehicles are suggested as the main instruments in a strategy to reduce carbon dioxide emissions from road traffic.