Incentives for quick penetration of electric vehicles in five European countries: perceptions from experts and stakeholders.

On the basis of 143 responses from experts and stakeholders from Germany, Austria, Spain, the Netherlands and the UK, we assess the perceived impact of a range of incentives for the uptake of electric vehicles (EVs). We find that the incentive that most respondents consider to have a positive impact is the development of charging infrastructure, with 75% stating so. This is followed by purchase subsidies, to narrow the difference in price of an EV and that of an internal combustion engine vehicle, with 68% of respondents stating that they have a strong or at least a partial positive impact. Pilot/trial/demonstrations of EVs, to expose potential buyers to EVs, are also perceived to have a positive effect, with 66% of respondents stating so. Tax incentives, which like purchase subsidies, narrow the gap between the total operating cost of an EV and that of a conventional vehicle, are also perceived to have a positive impact by 65% of respondents. Other incentives that are perceived to have a positive influence include climate change and air quality policies, consumer information schemes and differential taxation applied to various fuels and energy vectors

Urban Congestion Charging: Theory, Practice and Environmental Consequences

The theory of road pricing developed for single links suggests time andlocation varying charges equal to the marginal congestion cost at the efficientlevel of traffic. The second-best network counterpart is derived, but would beinfeasible to implement. Cordon tolls are feasible, and their optimal levelcomputed for eight towns. A cost-benefit study showed that with a suitablechoice of location, all schemes were socially profitable, though with widevariations across towns. The environmental benefits of cordon tolls aremeasured and shown to correlate with optimal congestion tolls, but to bemodest in size and not to affect the optimal toll.road traffic congestion, road pricing, congestion charging, cordontolls, environmental taxes.

Road taxes, road user charges and earmarking

The UK Road Fund was set up in 1921 and financed by earmarked taxes, but was unsuccessful as a form of road finance and abandoned in 1937. The paper examines why earmarking failed and what problems arise for replacing road taxes by hypothecated road charges. These charges would need to be regulated and could evolve into a more efficient system of road pricing. The paper claims that recent experiences with regulating capital-intensive network industries make road user charging and the commercialisation of the public highway both feasible and desirable, but that recent government proposals for local earmarked taxes are inadequate.

Estimating Urban Road Congestion Costs

Economists wishing to analyse road congestion and road pricing have usually relied on link-based speed-flow relationships. These may provide a poor description of urban congestion, which mainly arises from delays at intersections. Using the simulation model SATURN, we investigate the second-best proportional traffic reduction and find that linear speed-flow relations describe network flows quite well in eight English towns, though the predicted congestion costs and charges overstate those apparently required in our second best model. We then confront the results with feasible optimal cordon charges, and find them reasonably correlated, but imperfect predictors.

Road fuel taxes in Europe: Do they internalize road transport externalities?

All countries in Europe have road fuel taxes and these account for roughly half of the net fuel price. We compare current road fuel taxes and corrective taxes, estimated on the basis of negative externalities from road transport for 22 European countries, taking into account the effect of fuel taxation on fuel efficiency. We focus on cars running on diesel or petrol and commercial vehicles running on diesel. If fuel taxes were intended to internalize all road transport externalities, then a number of countries could be considered to be on the right path already in what respects petrol taxation. Diesel, on the other hand, seems to be under-taxed in all 22 countries. Petrol tax increases would be in order in some countries and diesel tax increases would be in order in all 22 countries, at least as a bridge until fine-tuned policies, such as widespread peak congestion pricing or pay-as-you-drive insurance can be put in place

Sustainability and shared mobility models

Shared mobility or mobility in the sharing economy is characterised by the sharing of a vehicle instead of ownership, and the use of technology to connect users and providers. Based on a literature review, the following four emerging models are identified: (1) peer to peer provision with a company as a broker, providing a platform where individuals can rent their cars when not in use; (2) short term rental of vehicles managed and owned by a provider; (3) companies that own no cars themselves but sign up ordinary car owners as drivers; and (4) on demand private cars, vans, or buses, and other vehicles, such as big taxis, shared by passengers going in the same direction. The first three models can yield profits to private parties, but they do not seem to have potential to reduce congestion and CO2 emissions substantially. The fourth model, which entails individuals not only sharing a vehicle, but actually travelling together at the same time, is promising in terms of congestion and CO2 emissions reductions. It is also the least attractive to individuals, given the disbenefits in terms of waiting time, travel time, comfort, and convenience, in comparison with the private car. Potential incentives to encourage shared mobility are also discussed, and research needs are outline

Road transport and CO2 emissions: What are the challenges?

In order for the world to stay within the safety threshold of a 2�C increase in average temperature agreed by virtually all governments, the transport sector needs to be decarbonized. The two main obstacles that have prevented this from happening have been the absence of a global legally binding deal and the high relative cost of clean vehicle/energy technologies. The Paris Agreement, which commits countries to reductions of GHG emissions, has virtually solved the first problem and paved the way for countries to implement environmental taxes and subsidies in order to change the relative costs of clean alternatives, which would solve the second problem. These policy actions combined with investment in clean infrastructure and regulation can decarbonize the transport sector

Composite indices of development

This chapter reviews the literature on composite (and multidimensional) indices of development. Composite indices emerged as an alternative to using a portfolio of indicators, whose scattered information is sometimes difficult to grasp, or simply the GNP per capita, which often does not correlate well with development goals. As they emerged, they were also criticized. Points of debate relate to the selection of dimensions and indicators, their correlation (and the trade-off between redundancy and robustness), their type (input versus output and stock versus flow), and the normalization procedure, weighting, and aggregation of the components. However, as long as the purpose of the index and its indicators and weights are clearly specified and justified, the direction in which the index will move under specific transformations is axiomatically stated, robustness tests are performed, and the index is open to public scrutiny and revision, composite (and multidimensional) indices can prove invaluable in development studies

Do electric vehicles need subsidies in the UK?

We analyse the total cost of ownership of petrol, diesel, hybrid electric vehicles, plug-in hybrid electric vehicles and battery electric vehicles in the UK over 2017-2029. We do this for large, medium and small cars, under assumptions of 0%, 6%, 30% and 60% discount rates. We find that some electric car models from mass market brands are close to reaching cost parity with their petrol, diesel and hybrid counterparts, but subsidies would accelerate their uptake, especially for impatient consumers with high discount rates. Plug-in hybrid electric vehicles are not worth the effort because although relatively low, their CO2 emissions are non-zero. A subsidy of £4,500 or an exemption from the 20% VAT, perhaps capped at £4,500, would accelerate mass market penetration of battery electric vehicles in the UK. If decarbonising road transport were not as urgent as it is, the market for battery electric vehicles could be left to develop on its own, without government intervention. However, because the cost of batteries is not falling fast enough, subsidies are needed in the short term

Tackling traffic congestion with workplace parking levies

On the basis of 17 interviews with employers and 272 survey responses from employees, we explore the perceptions of a Workplace Parking Levy (WPL) in Cardiff, with the aim of understanding if a WPL would be an acceptable traffic demand management policy to tackle traffic congestion. We find that employers would not be very supportive of a WPL, whilst employees would, provided employers were to absorb the costs. Despite this support, the majority of those who drive to work would not be prepared to change mode. An important theme throughout the study was the perception of public transport and active travel provision in Cardiff being inadequate. Most study participants felt that investment in public transport and active travel is needed before a WPL is introduced. We conclude that, although a WPL would not be overwhelmingly acceptable to employers and employees, it would be more acceptable than congestion charging, and there is a possibility that acceptability could be increased with the help of feedback from a public consultatio