Category: News

How to Combine Three Revolutions in Transportation for Maximum Benefit Worldwide

Three transportation revolutions are in sight, and together, they could help reduce traffic, improve safety, improve livability, and eventually save trillions of dollars each year and reduce urban transportation carbon dioxide emissions by 80 percent or more worldwide by 2050. Our new report from the Sustainable Transportation Energy Pathways (STEPS) program of ITS-Davis, done in cooperation with the Institute for Transportation & Development Policy and released May 3rd, tells us how.

• For the UC Davis press release and full “Three Revolutions in Urban Transportation” report, click here.
• For GIF/animations that show the dynamics of changes depicted in the report, click here.
• Also, for information on the ITS-Davis 3 Revolutions Policy Initiative, click here.

The revolutions in question are electric vehicles, automated (driverless) cars, and shared mobility (multiple people sharing a trip, in the form of ride hailing or transit). All three of these revolutions are coming but it is not clear how fast, or which if any will dominate. But one thing is certain: to receive the most benefit from these revolutions, the most critical component is something most preschoolers know: Sharing is caring.

The report looks at how the revolutions may unfold out to 2030 and on to 2050 around the world, and delves into three urban travel scenarios surrounding the three transportation revolutions:
• Business as usual (BAU): a future without widespread electrification or automation
• “2 Revolutions:” electrification and automation are embraced but shared mobility is not
• “3 Revolutions:” electrification, automation and shared mobility are all widespread

Each revolution can provide important benefits. Electric vehicles have the potential to be near-zero CO2 emission, since they do not emit any emissions directly, and it is possible (and necessary) to decarbonize electric grids around the world over the coming decades. Automation may provide important safety benefits, particularly in the developing world where accident and injury/mortality rates today are often very high.

But the analysis and scenarios in this study find that it is shared mobility that provides the largest potential benefits, in the form of vastly reduced traffic, for starters. In fact widespread ride sharing could help move global transportation into a future that not only saves energy and emissions but also decongests highways, frees up parking spaces for other urban uses, cuts transportation costs, and improves walkability and livability.

It is important to emphasize that the use of “shared mobility” here does not include single-occupant ride-hailed Uber or Lyft vehicles, but only cases where multiple people share the ride. It also includes new forms of on-demand public transportation, such as small commuter buses with flexible routes. Active transportation, such as cycling, complements this scenario.

Benefits worldwide

The report spans eight global regions, including five major markets: United States, Europe, China, India and Brazil.

The different global regions vary considerably in their starting points. For example, the United States is highly car-dependent, whereas India’s challenge will be to preserve and enhance shared mobility options they already have. Yet, across the globe, the 3 Revolutions, or 3R, scenario holds the most environmental and societal benefit.

As shown in the figures below, the greater range of modes (on a passenger kilometers basis) in India is clearly evident compared to the U.S., but in both cases the overall travel levels are lowest in the 3R scenario, with a far higher share of shared mobility (saving even more vehicle kilometers) than in the other scenarios.

Potential pitfalls of not sharing

Without a concurrent shift away from private vehicle ownership and toward ride sharing, the potential for electric, autonomous vehicles to reduce traffic and sprawl are severely limited, and CO2 reductions will be significantly less than with sharing.

Driverless vehicles alone could actually increase traffic congestion. Imagine people spending even more time in their cars or the possibility of zero-occupant, driverless vehicles continuously circling the streets rather than parking.

Electrification is also very important. We estimate that an autonomous vehicle world without electrification or trip sharing would not cut carbon dioxide emissions at all, and might actually increase them.

The road to achieving emissions targets

The report, “Three Revolutions in Urban Transportation,” comes the week before an international climate change meeting begins in Bonn, Germany. The climate talks will focus on implementing the 2015 Paris Agreement, which targets a 2 degree Celsius or lower cap to an overall temperature change from global warming. This target requires all nations to cut their carbon dioxide emissions dramatically by 2050. We note that the “3R” scenario would meet that benchmark for cities, and possibly go further. As shown in the figure below, the global urban passenger transportation CO2 emissions about 3 gigatonnes in 2015 rises to over 4.5 gigatonnes by 2050 in our BAU scenario, whereas it drops to below 2 in our 2R scenario (mainly due to electrification) and to below 1 gigatonne in 3R (due to much greater use of transit, non-motorized modes, and ridesharing in that scenario. It is also less dependent on decarbonized electricity to reach its 2050 level.

The effects of 3R on travel, and the numbers of light-duty vehicles, are shown in the figure below. Due to the much more intensive use of each commercial, shared vehicle, along with greater use of transit and non-motorized modes and a general reduction in trip lengths due to more compact cities, results in more than a 2/3 reduction in the stock of LDVs worldwide (and, as shown here, in the U.S.) in 2050 compared to the peak level in 2025 (and 75% below the peak reached in 2R). This opens up tremendous possibilities for re-tasking land use, such as for more bike lanes, more dense development (given fewer parking lots) and other changes to cityscapes.

3R would cut transportation costs by $ trillions

Perhaps the most surprising result is that the 3R scenario costs far less to society by 2050 than the 2R scenario, with savings beginning around 2030 and increasing per year to reach over $5 trillion per year worldwide in 2050. This includes savings in fuel costs, the costs of new vehicle purchases (given dramatically lower sales and stocks of vehicles), and the costs of building and maintaining road and parking infrastructure. Even higher expenditures on better and more extensive transit systems do not offset the other savings very much.

We recognize that bringing about these revolutions won’t be easy. The report outlines needed policies, and says unprecedented levels of policy support and coordination are needed at the local, state and national levels.

The report assesses policies including those that incentivize widespread adoption of electric and driverless cars, as well as support for ride sharing, public and active transport, and land-use planning that helps shorten most vehicle trips. Such policies could consider fees tied to vehicle CO2 emissions, vehicle occupancy, and possible restrictions or heavy charges on private ownership of autonomous vehicles, along with strong disincentives for zero-occupant trips. Bicycle and e-bike sharing systems also need to be encouraged along with transit system innovations.

The report was funded by ClimateWorks Foundation, William and Flora Hewlett Foundation, and Barr Foundation.

UN Climate Change Conference COP22 in Marrakech: Launching a New Era of Transportation Practicalities

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I spent only two days in Marrakech for the 22nd annual United Nations Climate Change Conference – “COP22.” But it was enough to see that a) the commitment of countries and participants is still very high despite the results of the U.S. election, and b) the excitement of the Paris Agreement last year has given way to work “in the trenches” – the slow process of developing national CO2 targets and strategies to meet those targets, as per the commitments made under the agreement.

Thus a key theme of COP22 was debating how best to create a fair “rulebook” that all countries could share and have confidence in when assessing each other’s climate pledges. The technicalities of the rulebook—baselines, methodologies, etc.—will likely be a continuing discussion into 2018. This timeline means that few of the loose ends left by the Paris Agreement were completely tied up in Marrakech. But it was clear in the transportation meetings I attended that countries are now finally grappling with details:

• How do their overall “Nationally Determined Contribution” (NDC) targets compare to other countries’?
• How can they achieve these targets?
• Where does transportation fit in this big picture?
• What policies should they consider adopting for transportation and what types of impacts will specific policies have?

In fact, as detailed in a very useful 2016 report by the Partnership on Sustainable Low-carbon Transport (SLoCaT), while 75% of the 138 existing NDCs developed before the COP specifically mention transport as an important sector for reductions, only 63% include any specific transportation mitigation measures, and only 9% have developed a transportation-specific target for CO2 reductions. A major point of discussion on November 13th the “Transport Day” workshop in Marrakech was this: What levels and types of targets should countries be considering for their transportation sectors?

In considering this, the following figure is instructive. Based in part on International Energy Agency (IEA) scenarios and in part on countries’ own plans to date, it shows the stark difference between a “business-as-usual” (BAU) scenario and “low-carbon scenarios” for transportation worldwide. The low-carbon scenario is based on reviewing a wide range of studies on what appears feasible given a fairly strong mix of measures; this is roughly aligned with a transportation trajectory consistent with the IEA 2 degree scenario, where 2050 emissions are about 20% below 2010 levels.

However there was much discussion at this COP about achieving a 1.5-degree target, given the strong call for this in the Paris Agreement. This is (perhaps surprisingly) estimated to be much more challenging than achieving 2 degrees since a) the full economy-wide carbon budget must be much lower and- related CO2 emissions should actually hit net zero before 2050, and b) since transport does not decarbonize that deeply under a 2 –degree target it is left with a large additional “workload” under a 1.5-degree target, to achieve near zero emissions by 2050. (It does not quite reach zero on the assumption that other sectors, notably electricity generation, manage to go below zero such as through a combination of bioenergy and carbon capture and storage strategies.)

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Source: SLoCaT, 2016

To achieve such a 1.5 degree target, countries will literally have to “throw the kitchen sink” at the problem, with strong national and sub-national commitments in all aspects of transportation including “avoid”, “shift” and “improve” options. Very strong land use planning efforts, major investments in public transit systems, walking and cycling infrastructure, strong pricing mechanisms, and a major push toward greener vehicles (via fuel economy improvements and a transition to very low-carbon energy systems) were all discussed as needing to be part of the answer. Previous debates about “technology vs. behavior” have given way to “we have to do it all” discussions. For urban transportation, the idea of a 50-50 strategy between “avoid/shift” and “improve” strategies seemed to take hold. Air and shipping were also discussed and there was a consensus that these modes may be even more difficult to decarbonize than land transportation, given the limited options and lack of electrification potential.

Meanwhile, a separate meeting of transportation modelers, ITEM-2 (the “International Transportation Energy Modeling” group, founded by Sonia Yeh and myself) was held two weeks prior to the COP in Chalmers, Sweden. This meeting included 12 major models and modeling groups, and undertook a range of comparisons of BAU and low-carbon scenarios. Basically none of the models has developed a transportation pathway approaching the 1.5-degree scenario in the above figure, and even 2-degree transportation scenarios are clearly a challenge for these models. A compilation of scenarios from the meeting is shown the figure below.

Selected ITEM-2 BAU/transitional (black) and low-carbon (green) scenarios
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Source: ITEM conference, Chalmers Sweden, 25-26 October, 2016

But at that meeting there was an agreement to continue to develop stronger, more ambitious scenarios, and this was reiterated when the results of this workshop were presented during Transport Day at the COP. It was generally agreed that this modeling group, that includes universities such as UC Davis, international organizations such as IEA, ITF and IIASA, and energy companies such as Shell and BP, can serve as an important “sounding board” for the COP system and individual countries going forward as they develop their own strategies and attempt to estimate the potential CO2 reductions that they can achieve.

In the end, this COP, at least for transportation, has launched a new era of practicalities – developing detailed plans and strategies, along with quantitative assessment tools to score these as well as track progress.

The STEPS program at ITS-Davis will stay closely involved as this process moves forward, offering to provide important analysis that can help underpin the global approach underway to decarbonizing transportation.

Lew Fulton is the co-director of the Sustainable Transportation Energy Pathways (STEPS) program at the UC Davis Institute of Transportation Studies.

Can We Achieve 100 Million Plug-In Electric Cars by 2030?

Sometime last fall, we reached a global milestone: 1 million electric light-duty vehicles or LDVs (cars and SUVs) sold since 2011. This was an incredible achievement for a zero emission technology that had seen total sales of only a few thousand before that. And yet, it is a drop in the bucket—0.1% to be precise—when compared to the growing juggernaut of 1 billion+ LDVs on the world’s roads, the great majority of them gasoline-powered.

Policymakers and others are counting on electric vehicles to revolutionize driving around the globe and, in the process, dramatically cut CO2 emissions as well as urban air pollution. This is certainly possible, but an important question remains: How long will such a transition take? Apart from questions about the pace of electric grid decarbonization (which electric vehicles will depend on to ensure they truly are low emitting on a life-cycle basis), sales of electric vehicles must dramatically increase over many years to change the nature of our planet’s personal vehicle travel.

As I reported in a Greenlight Blog at the Paris COP 21 in December 2015, a range of groups jointly published the Paris declaration on e-mobility. It calls upon automakers, policymakers and all of us to reach a formidable global target by 2030: 400 million plug-in electric vehicles (PEVs) on the road, of which 100 million or more should be LDVs. (There are already well over 100 million electric two-wheelers in China, giving the 400 million target a head start). The 100 million target for cars and SUVs represents a 100-fold increase over the number of LDVs on the world’s roads today, and probably means annual PEV sales on the order of 30 million per year by 2030 (assuming rapidly rising sales year-on-year through 2030).

Our new research study, co-published with the Global Fuel Economy Initaitive, investigates some of the aspects and challenges of achieving a 100 million PEV stock target, i.e. reaching a 30-million annual sales goal, over the next 14 years. The paper explores recent trends in the market penetration of PEVs in selected countries around the world, and what kinds of growth we will need to see in different markets to have a chance to hit this target.

At first glance, the target seems daunting: today there are about 90 million total LDV sales per year around the world; 30 million represents one-third of this number. However, sales are expected to grow to perhaps 130 million per year by 2030, so it would represent a little less than a quarter of the world’s sales in that year. Another issue is that nearly all electric vehicle sales to date have occurred in four major markets: the United States, European Union, China and Japan. Together these markets account for only about two-thirds of global sales, and their share will shrink as growth accelerates in places like India, Southeast Asia, Latin America and Africa. It will be important to sell electric cars in all markets around the world to have a chance to hit the target.

The good news is that PEV sales growth in the biggest car markets has been robust. As shown in the figure below, sales of both battery electric vehicles (BEVs) and plug-in hybrid electric vehicles (PHEVs)—together comprising PEVs—have grown steadily in the world’s top eight markets: China, France, Germany, Japan, Netherlands, Norway, the UK and the United States, with a combined 76% increase in sales in 2015 compared to 2014. This is good, because to achieve 30 million in these countries by 2030 the average growth will have to remain close to 35% per year, which will become increasingly challenging as the base number grows.

PEV sales in eight largest vehicle markets (annual sales growth rate above bars)

PEV sales in eight largest vehicle markets (annual sales growth rate above bars)

The study explores the recent sales trends in some detail, and attempts to trace the dynamics of the numbers and types of PEVs offered for sale and how well they are selling, as a guide to what may happen in the future. For example, although we already have more than 100 different models of PEV for sales across these markets, the vast majority represent very few units sold, and this may in many cases be intentional on the part of car companies: They are introducing radical new technologies and new design features, and using limited production runs to test their ideas. There were only about 15 PEV models for sale in 2015 that sold more than 10,000 units. Most of these were offered in multiple countries.

The study makes the point that to hit 30 million in sales we will need something like 300 models each selling 100,000 units to do it, a challenging prospect. Given that models are generally replaced only after about six to eight years of sales, the rate of conversion to very different drivetrain systems (plug-in electric drive vehicles) will have to be quite high over the coming years as new models are introduced. This will require large investments and market confidence on the part of manufacturers, not likely to happen if unit sales are mostly below 10,000 per model and new vehicles are regularly emerging into an increasingly crowded market.

The good news is that unit sales have been rising, at least for the top 20 selling models. And as the study points out, there appear to be major market segments that are not yet well represented with PEVs, such as some of the larger and premium segments. This is ironic because PEVs may sell quite well in these segments, given the demand for innovative technologies and relative price insensitivity of buyers in these segments. On the other hand, PEVs have had trouble competing in the economy-car segments of markets, where consumers tend to be very price-sensitive, and that is where most of the models have been introduced. Even with strong price incentive systems in many countries, the prices of PEVs in small- and medium-size segments may not have reached competitive levels, as we show in a U.S. case study.

The study provides a range of insights into how markets are evolving, but it admittedly only scratches the surface of a complex and rapidly evolving situation. Having detailed 2015 data is useful, since this was a year with a veritable explosion of new models and increasing sales. But it is hard to tell how this will translate into ongoing and future sales.

The study is part one of what will be a two-part series. We are now working on modeling how markets around the world might evolve into the future, and how they must evolve to hit a 100-million target. It will require convincing manufacturers to produce large numbers of PEVs, and to persuade consumers to buy them. And the key to unlocking and motivating both will be policy. Countries have put many policies in place already, but it is not clear if these will be enough, or whether they can be scaled back, as is being widely proposed, any time soon—and still reach ambitious PEV targets.

This second paper is now in development, with a target publication date of early 2017. It will provide a roadmap of both the sales and the policies needed to achieve substantial PEV growth around the world over the coming decade and beyond.

UC Davis Transportation Researchers Collaborate with State Policymakers on CA Sustainable Freight Plan

When the state earlier this month released for public comment its draft California Sustainable Freight Action Plan (CSFAP), we were excited to see the fruits of our labors here at ITS-Davis contributing to this comprehensive and forward-thinking draft plan.

CSFAP is an ambitious document that lays a foundation for modernizing California’s multi-billion dollar freight transportation system. Seven state agencies worked together to develop the draft in response to Governor Brown´s Executive Order B-32-15 last July, which directed the state agencies to pursue a shared vision to “improve freight efficiency, transition to zero-emission technologies and increase the competitiveness of California’s freight system.” The public comment period on the draft CSFAP is open until July 6.

Our role in the development of this plan has been to advise and convene, and to provide technical analysis and input. Just after the release of the governor’s executive order, ITS-Davis and the National Center for Sustainable Transportation convened stakeholders from academia, industry and government to discuss and identify strategies to inform the CSFAP. This working group of experts, the Freight Efficiency Strategies Development Group, met over the last eight months and produced a set of six white papers that are included in the CSFAP materials. Rather than make specific recommendations, the white papers discuss a range of strategies that could be used, granted further analyses, to accomplish some of the state’s goals for efficiency, safety, economic competitiveness, environmental and social justice, and introduction of new technologies.

Our UC Davis team led the development of two of the white papers, “Strategies to Maximize Asset Utilization in the California Freight System Part 1 and Part 2.” We highlight the importance of looking at the freight system as a whole and complex system of systems, where strategies aimed at specific stakeholders could have cascading, positive or negative, effects over others. Therefore, designing policies or strategies that consider behavioral shifts and efficiency improvements requires identifying the appropriate decision makers, which could range from large private organizations, planning agencies, or even industry sectors to households and individuals requesting residential deliveries. More importantly, the papers recognize that continuous improvements and investments are being made in the system, though in a silo manner, which do not guarantee reaching system-level efficiency improvements. That is, some efficiency gains by specific stakeholders could be done at the expense of the inefficiency of others.

To reinforce the state’s efforts, last October we launched our own Sustainable Freight Initiative here at ITS-Davis. It has two main interdependent thrusts: sustainable freight systems, and technology and fuel analysis. Our critical research dovetails nicely with the findings of CSFAP. For example, we are studying:

  • The relationship between freight activity and economic and social indicators;
  • The impacts of the on-demand economy and associated “last mile” distribution on urban traffic and environmental conditions;
  • Freight demand management strategies to improve urban goods movement;
  • The development of equity-based frameworks to assess the benefits of transportation infrastructure projects;
  • Pathways to very low carbon trucking, considering logistics and new technologies and fuels, such as biogas and other biofuels, electricity and hydrogen, and their potential for application to various truck applications and market segments
  • Strategic, tactical, and operational problems for urban goods distribution, with an emphasis on commercial and residential deliveries;
  • Opportunities and options for reducing CO2 emissions from the California rail freight sector.

Moreover, for the first time, we’ve offered an academic course on sustainable freight transportation; we hope it’s the first of many on this important topic.

In the coming years, we expect to contribute more research and knowledge, and support workforce development and stakeholder engagement to achieve the state’s targets of system efficiency, a transition to zero emission technology, and economic growth. Since we are a key contributor to the Freight Efficiency Strategies Development Working Group and are already part of the draft plan, we will continue working with the agencies to identify and refine the scope of additional strategies, and help with deployment activities.

The CSFAP has been called “innovative” and potentially “transformative.” But it’s clear that a combination of strong improvements in freight systems as well as technology and fuel solutions will be required to meet the state’s emissions and sustainable freight goals. ITS-Davis looks forward to being part of the effort to identify and develop the most promising solutions.

What happens when demand for oil peaks?

Published with permission of the World Economic Forum.

Since the First Industrial Revolution, oil and gas have played a pivotal role in economic transformation and mobility. But now, with the prospects that major economies like the United States, China and European nations will try to shift away from oil, producers are coming to realize that their oil reserves under the ground – sometimes referred to as “black gold” – could become less valuable in the future than they are today.

Forget peak oil: what about peak demand?Image: REUTERS/Mike Blake Forget peak oil: what about peak demand?
Image: REUTERS/Mike Blake

Of the four scenarios for the future of the industry outlined in a new set of whitepapers from the Global Agenda on the Future of Oil and Gas, three of them envisage this type of world. Factors such as technological advancements, the falling price of batteries that power electric vehicles, and a post-COP21 push for cleaner energy could even drive oil use below 80 million barrels a day by 2040 – 15% lower than today.

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So what would a future of falling demand mean for the oil and gas industry?

We’re already feeling the effect

Uncertainty about whether oil demand will continue to grow is already impacting the strategies of oil and gas firms. Through the 2000s and up until last year, the Organization of Petroleum Exporting Countries (OPEC), whose policies influence global oil supply and prices, took a revenues-oriented strategy, believing that scarce oil would be more valuable under the ground than out in the market, as global demand rose exponentially over time. Oil companies, too, responded to this world view by pursuing a business model that maximized adding as many reserves as possible to balance sheets and warehousing expensive assets.

Now, with new trends discussed in a new whitepaper, producers are coming to realize that oil under the ground might soon be less valuable than oil produced and sold in the coming years. This dramatic shift in expectations is changing the operating environment for the future of oil and gas.

A post-oil world: not all doom and gloom

Countries with large, low-cost reserves, such as Saudi Arabia, are rethinking strategies and will have to think twice about delaying production or development of reserves, in case they are unable to monetize those reserves over the long run. Saudi Arabia, for example, has recently announced that it is creating a $2 trillion mega-sovereign wealth fund, funded by sales of current petroleum industry assets, to prepare itself for an age when oil no longer dominates the global economy.

Declining revenues that could be reaped from exploitation of remaining oil reserves would adversely affect national revenues in many countries that have relied on oil as a major economic mainstay. Those countries will face pressing requirements for economic reform, with the risk of sovereign financial defaults rising.

But for the majority of the world’s population, structural transformations related to the future outlook for oil and gas offers an opportunity. If the global economy becomes less oil intensive, vulnerability to supply dislocations and price shocks that have plagued financial markets for decades will fade, with possible positive geopolitical implications. Moreover, many countries have reeled under the pressures of fuel subsidies to growing populations. According to the IMF, fuel subsidies cost $5.3 trillion in 2015 – around 6.5% of global GDP. Lower oil prices and larger range of alternative fuel choices would reverse this burden and lay the groundwork for shallower swings in prices for any one commodity.

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Image: IMF

Staying competitive in an industry under change

Eventually, players who remain competitive in the oil and gas industry will have to consider whether it can be more profitable to shareholders to develop profitable low-carbon sources of energy as supplement and ultimately replacements for oil and gas revenue sources, especially to maintain market share in the electricity sector.

This will require a change in the oil and gas industry investors’ mindset. To develop this flexible, supplemental leg to traditional oil and gas activities, the oil and gas industry may find new opportunities by addressing the technological challenges associated with the different parts of the renewable energy space, as well as how one can develop efficient combinations of large-scale energy storage and transportation solutions in a world with a lot of variable renewable electricity.

Industry players can benefit from partnerships for flex-fuel technologies to ease infrastructure transitions and improve their resiliency to carbon pricing by achieving carbon efficiency for end-use energy through collaborations with vehicle manufacturers and mobility firms. Such responses will enhance the industry’s attractiveness with customers and investors, and most importantly, will promote a smoother long-term energy transition.

The three whitepapers are available here.

Note: This blog was originally published by the World Economic Forum

World Economic Forum white paper citing preliminary UC Davis Sustainable Transportation Energy Pathways (STEPS) program research: Future Oil Demand Scenarios

Click here for slides associated with ITS-Davis’ Oil Demand Scenarios study.

Click here for the initial paper on ITS-Davis’ Oil Demand Scenarios study.

Click here for the World Economic Forum’s Global Agenda Council of Oil & Gas webpage

Author: Amy Jaffe and Jeroen van der Veer. Amy Myers Jaffe is a leading expert on global energy policy, geopolitical risk, and energy and sustainability. Jaffe serves as executive director of energy and sustainability at the UC Davis Institute of Transportation Studies (ITS-Davis), and as a lecturer in the Graduate School of Management. Jeroen van der Veer was the chief executive officer at Royal Dutch Shell from 2004-2009, when he retired. Van der Veer then continued as a non-executive director on the board of Shell until 2013. He started to work for Shell in 1971 and has experience within all sectors of the business. In addition, he is the chair of the supervisory boards of ING Bank and Royal Philips Electronics and member of the supervisory board of Boskalis Westminster Groep, and has significant competence within corporate governance. Jeroen van der Veer has been a member of Statoil’s board of directors since March 2016.

The Emerging Role of California’s Natural Landscapes in Combatting Climate Change

I earned master’s and doctoral degrees in ecology from UC Davis before spending more than a decade in Washington, D.C., advancing climate change policy. Thus, it is no surprise that much of my policy work is grounded in ecological science and has examined the role that natural landscapes can and should play in addressing climate change.

On March 10, The Nature Conservancy (TNC) and the UC Davis Policy Institute for Energy, Environment and the Economy co-sponsored “Natural Climate Solutions Symposium” in Sacramento which featured speakers from government, academia, non-governmental organizations, and the private sector to elevate the dialogue on how California’s natural landscapes can be used to reduce greenhouse gas emissions and help the State of California adapt to its changing climate.

We had a few goals for the day which I think we achieved:

Governor Jerry Brown

Governor Jerry Brown

  1. raising awareness of how natural landscapes (such as forests, wetlands, and rangelands) provide solutions for climate change;
  2. learning from each other and hearing different perspectives on needs and current activities in the State regarding climate change and natural landscapes; and
  3. sparking opportunities for additional collaboration between symposium participants.

The symposium kicked off with a bang with a presentation from Wade Crowfoot, Deputy Cabinet Secretary and Senior Advisor to Gov. Jerry Brown. Mr. Crowfoot quoted Charles Dickens’ A Tale of Two Cities about this being “the best of times” and “the worst of times” for action on climate change.

A surprise appearance by Gov. Brown reinforced this concept. He noted that we are facing serious impacts from climate change already; we face some tough political barriers to action; and we have the challenge to compress the complexity of climate change impacts and solutions into one-liners that can be rallied around to catalyze action.

And none of our speakers were Pollyannas about the current situation. We learned from Dr. John Battles of UC Berkeley that California’s lands currently are a carbon source and not a sink.

Senator Fran Pavley

Senator Fran Pavley

But, lest we focus too much on the “worst of times,” we also heard from Sen. Fran Pavley, the governor, and Mr. Crowfoot about the significant progress we have made through concrete legislative and executive action to reduce greenhouse gas emissions and adapt to a changing climate. Sen. Pavley was honored for her legacy of strong action on climate change in the California Assembly and Senate. And, in the aftermath of last December’s United Nations Framework Convention on Climate Change meeting in Paris, we’ve never had as much global momentum for climate action.

It’s time to take advantage of this worldwide focus on climate change and optimize the benefits natural ecosystems are already playing to sequester carbon and increase resilience to climate change. The symposium underscored why natural resource solutions need to “rise up higher” in the climate discussion, as TNC’s Michelle Passero noted, to become integral to overall climate policy strategy.

Governor Jerry Brown with (from left) Michelle Passero and Louis Blumberg of The Nature Conservancy and (far right) Kit Batten of the UC Davis Policy Institute for Energy, Environment and the Economy

Governor Jerry Brown with (from left) Michelle Passero and Louis Blumberg of The Nature Conservancy and (far right) Kit Batten of the UC Davis Policy Institute for Energy, Environment and the Economy

Another “best of times” example was the science presented at the symposium. Drs. Ben Houlton and Louise Jackson from UC Davis, UC Berkeley’s Dr. Battles, and Ellie Cohen of Point Blue Conservation Science said we already have plenty of science. We know how to manage natural lands to maximize carbon sequestration, climate resilience, and other co-benefits (such as increasing or conserving biodiversity). So, the time for action is now.

Over the course of the day, we dug into the challenges and courses of action needed to better incorporate natural lands management into state climate change mitigation and adaptation policy. We heard from executive branch leaders David Bunn (Director, California Department of Conservation) and Edie Chang (Deputy Executive Officer, California Air Resources Board) about current action plans including an upcoming March 23 CARB scoping plan meeting on managing natural lands for climate change benefits. We learned from Assemblymembers Rich Gordon and Richard Bloom about the legislative calendar of hearings prioritizing these issues in the coming months. We heard about the challenge posed by the need to focus Greenhouse Gas Reduction Funding (GGRF) generated by cap-and-trade revenue to ensure “biggest bang for the buck” for reducing greenhouse gas emissions while at the same time needing to value and quantify co-benefits from natural lands management. We discussed the possible need for a statutory approach to address carbon sequestration in landscapes outside of urban areas covered by Senate Bill 375. And finally, we learned from practitioners and private landowners about their work on the ground, already managing natural lands for climate change benefits and their lessons learned on the importance of engaging communities, especially economically disadvantaged communities, in this planning and work.

Senator Fran Pavley speaking to symposium attendees

Senator Fran Pavley speaking to symposium attendees

It is abundantly clear that figuring out the best ways to incorporate natural lands into climate change initiative in the state, as well as nationally, and internationally, is a hot and very complex—topic. Quantifying, measuring, and monitoring how natural lands contribute to carbon sequestration and climate resilience are first key steps. The next step: building consensus for an investment in policies that scale up natural climate solutions across California, is no easy task.

But the long-held “narrative that the environment and the economy are enemies is shifting,” noted Assemblymember Gordon, with analysis that shows the financial benefits of environmental investment.

As UC Davis’ Dr. Jackson stated, “transformative change happens from people.” The experts who participated in the March 10 symposium are helping to inform that change, and leading us down the path to success.


Kit Batten, Ph.D., is the Executive Director of the Policy Institute for Energy, Environment and the Economy

Agenda for the Natural Climate Solutions Symposium

Biographies of the symposium presenters

Paris Climate Accord: A Strong Call to Action, Including Transportation

The Paris Climate Accord reached on Saturday, December 12, feels like a home run. Nearly 200 countries fully agreed on text in which they pledge to make large reductions in greenhouse gas emissions over the next 15 years, with mechanisms to help ensure that this goal is achieved. It includes quantified CO2 mitigation commitments from all major economies around the world; mechanisms for reporting and verifying progress; commitments for $100 billion in financing of actions; and many other key elements.

Paris 2015 COP21 logoHowever, as President Obama said in his speech that day, this agreement does not “solve” the global climate change problem.

“Even if all the initial targets set in Paris are met, we’ll only be part of the way there when it comes to reducing carbon from the atmosphere, so we cannot be complacent.”

The president is correct: This is only a partial solution that does not (yet) limit temperature change to 2 degrees Celsius, and it needs to be fully implemented over the coming years, with all the uncertainties around that. But it does contain many promising elements. For example, it includes specific pledges from most of the signatories to cut CO2 emissions by 2030. These commitments vary widely, as do each country’s circumstances.

What’s the outlook for transportation? Last week I noted some of the measures that feature in the Intended Nationally Determined Contributions (INDCs) of a range of countries. Today I’ll show a comparison of actual targets under the accord, with one possible scenario for transport. This is highly speculative since few countries have indicated the sectoral breakdowns of their targets; for example, even countries shooting for 40% reductions in CO2 emissions have not indicated if that means 40% in each sector (transport, buildings, industry, electricity generation, etc.) or 40% on average with individual sectors varying. But if you take for a moment the possibility that transportation delivers reductions at an average intensity, you can gain a sense of the challenge ahead.

The first figure below shows the 2014 estimated energy-related CO2 emissions for six major economies, and the 2030 target (taken as the midpoint in cases where a range of targets is possible, based on analysis presented here). The second figure shows hypothetical targets if transportation CO2 were reduced in the same proportion as the overall targets for each country, starting from 2014 transportation CO2 emissions as estimated by the International Energy Agency.

As you can see in the first figure, the U.S. commitment is ambitious – a major reduction from nearly 20 tons per capita to less than 13 by 2030. As shown in the second figure, if the U.S. reduced transportation-related CO2 emissions in proportion to this total, it would be a cut from about 6.5 tons per capita to about 4.5 by 2030.

This would still leave the U.S. at a higher per-capita emissions level than any of the other countries or regions shown. But it certainly would put the U.S. on a strong downward trajectory. China and India would actually increase their per-capita transportation emissions, but not by as much as would have occurred without their commitments – and both would remain at a very low CO2 level in 2030. Russia would retain a more average position; though Russia is noticeable in its overall target (Figure 1) in that it starts with fairly high emissions and these increase significantly – it would become the highest per capita of the six countries by 2030.

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Figure 1. All energy-related CO2 emissions per capita for selected countries, for 2014 and explicit or implied targets for 2030 (based on analysis conducted by climateactiontracker.org, using national INDC reports; for 2030 approximate midpoints are used where a range of targets or uncertainty in targets may exist; these are meant to be indicative and are not official numbers).

Figure 2. Transportation-related CO2 emissions per capita for selected countries, for 2014 and hypothetical targets for 2030 (based on the analysis conducted by climateactiontracker.org, and adjusting the national commitments in Figure 1 for transportation, assuming transportation reductions are taken in the same proportion. Transportation CO2 estimates for 2014 are taken from the IEA Mobility Model).

Figure 2. Transportation-related CO2 emissions per capita for selected countries, for 2014 and hypothetical targets for 2030 (based on the analysis conducted by climateactiontracker.org, and adjusting the national commitments in Figure 1 for transportation, assuming transportation reductions are taken in the same proportion. Transportation CO2 estimates for 2014 are taken from the IEA Mobility Model).

Whether or not countries decide to tackle transportation at the same level of intensity as other sectors, they will need to include ambitious goals for transportation to succeed. How will they achieve targets like these and move from planning to doing?

“You have to do many different things and each place it’s different,” noted California Governor Jerry Brown in Paris.

Among the combinations of measures that make sense for most countries to include: promote much better fuel economy of new cars and trucks (and also of second-hand imports, for those countries that import many such vehicles); shifts of travel from high CO2 modes (like cars and trucks) to lower CO2 modes (mass transit, cycling and walking, along with more rail freight). Alternative fuels will also need to play an expanding role. The only three potentially very low-emission fuels are electricity, hydrogen and biofuels, and these will need to lead the way to very low CO2 emissions. International aviation and shipping are particular challenges, since they are not covered under individual country commitments. The international bodies International Civil Aviation Organization (ICAO) and International Maritime Organization (IMO) have been asked to redouble their efforts to work with industry on commitments and strategies for these sectors, and they too will need to put a large emphasis on efficiency and alternative fuels.

The best combination of measures will vary by country, as will the role of transportation in achieving overall CO2 targets. During 2016, the STEPS program at UC Davis will be looking more closely at the plans of different countries and assessing combinations of transportation measures that can help get the job done.

All told, the U.N. Framework Convention on Climate Change Conference of the Parties (COP21) in Paris was the subject of exhaustive negotiations (and a 31-page agreement); extensive coverage in traditional media; and enormous attention on social media.

What’s yet to be written is whether the conference ultimately achieves its lofty goal: ensuring a “shared future and shared environment” for our planet.

An American (Transportation Researcher) in Paris: Report from “COP21” Global Climate Conference

I arrived in Paris to (ironically) unseasonably warm temperatures, and a strange mix: a festive Christmas-time atmosphere combined with a paramilitary police presence at almost every street corner, keeping watch over the throngs.

Paris 2015 COP21 logoAt the COP21 global climate conference being held at an old airport just north of the center city, delegates are also thronging, though the French have done an admirable job creating a facility that can handle the up to 40,000 expected without any cramped feeling. The massive venue of about 10 major halls can easily accommodate the crowds. It only took about 10 minutes to go through the initial registration process compared to the several hours it took at the Copenhagen COP of 2009. Since we arrived an hour early to be sure we had enough time, this efficiency was almost disappointing!

Meanwhile, as the climate meetings here move into day four, the transportation side of things is, so to speak, heating up.  In today’s major transport session, hosted by the Lima-Paris Action Agenda, Michelin and the Partnership on Sustainable Low-Carbon Transportation (SLoCaT), a range of announcements were made regarding transportation-related targets and commitments. They included a commitment by the aviation industry to cut CO2 emissions by 50% by 2050; the Global Fuel Economy Initiative announced it is most of the way toward its goal of having 100 countries commit to a 50% reduction in light-duty vehicle fuel consumption per kilometer (km) in 2050; and perhaps the most audacious of all: the declaration of the International Zero-Emission Vehicle Alliance (ZEV Alliance) to put 100 million electric vehicles (cars and SUVs) on the world’s roads by 2030. These are all interesting declarations since they involve both governments and non-government entities such as airlines and various manufacturing companies. All three of these cases (and most others today) are voluntary commitments that do not have legal standing. But as public commitments they can be tracked and monitored, and public pressure can and no doubt will be applied as needed to help see these through in the coming years.

Photograph of Lewis M. FultonThese types of commitments are meant to complement government commitments to cut CO2 emissions, many of which have already been announced. For example the Obama administration has made a commitment to cut U.S. CO2 emissions by 28% in 2030 compared to 2005 levels. The European Union has been even more ambitious, committing to a 40% reduction by 2030 but compared to 1990 levels, a tougher bar than the U.S. 2005 base year. China has not committed to outright reductions, but has committed to a peak in CO2 by no later than 2030, and a deep reduction in CO2 per unit gross domestic product (GDP) in this same time frame. Most countries have not set specific targets for transport, but many have indicated sets of measures for the transport sector that they intend to use to help achieve their overall targets. SLoCaT has published an interesting report that references these. It includes the following chart that breaks out measures by country income level and type of measures. The chart shows that biofuel-related measures, bus-related measures, and e-mobility-related measures are the top three measures that countries are referencing in their strategies.

Typology of Transport Mitigation Strategies in Intended Nationally-Determined Contributions

Typology of Transport Mitigation Strategies in Intended Nationally-Determined Contributions

One question is whether many (or any) of these commitments by major emitting countries will be strengthened over the remaining one and a half weeks of meetings. It seems that much of the negotiations are instead around mechanisms and systems whereby the developed countries will help finance the CO2 reductions of the developing (“non-Annex I”) countries. In the coming days, I will be digging deeper into the commitments and will try to better understand the role of transport in this broader context.

Related articles:

The Need for Biofuels to Achieve a Low-Carbon Global Energy Future

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The global scientific community recently gathered in Paris for a preparatory meeting as part of the lead-up to the United Nations Climate Change Conference (COP-21) being held in the French capital this December.*

With the elusive goal of forging a legally binding global climate agreement just a few months away, climate scientists are weighing how to get the world on track to limit climate change to a two-degree Celsius increase.

The International Energy Agency estimates that the window for achieving this target is almost closed — but not quite.  Achieving deep reductions in greenhouse gas (GHG) emissions in the transportation sector by 2050 will need to play a key part since transportation accounts for 25% of energy-related carbon dioxide equivalent (CO2e). The IEA estimates that at least a 50% reduction in transportation CO2e GHG emissions will be needed globally in that time frame. (Additionally, a nearly complete phase out of CO2e for all energy sectors will be required by 2075.)

A new article** that I and several co-authors (Lee R. Lynd, Alexander Körner, Nathanael Greene and Luke R. Tonachel) have just published in Biofuels, Bioproducts and Biorefining looks at the feasibility of hitting such 2050 and 2075 transportation targets—and in particular at the question of whether the world can hope to reach these kind of targets without a strong contribution from biofuels. In short, we address the question of whether the world needs biofuels by examining the feasibility of doing without them.

Our conclusions are clear: Even with aggressive reductions in global passenger and freight travel growth, shifts to mass transport modes, strong efficiency improvements and deep market penetration by vehicles running on electricity and hydrogen, there could remain a large demand for “dense” liquid fuels in 2050 (80% of transportation fuel) and even in 2075 (50%). This liquid fuel demand is due largely to aviation, ocean shipping, and long-haul trucking.  Electricity and hydrogen may not be suitable in such cases, but “drop-in” biofuels will be.

Acknowledging the significant uncertainties involved in such projections and the challenges faced by all candidate technologies and fuels, we conclude that it will be difficult to achieve a low-carbon transportation sector without widespread use of biofuels, and that aggressive efforts to develop sustainable, low-carbon biofuels alongside other options are warranted.

Why did we focus on biofuels? There is a notable lack of consensus about whether biofuels can contribute to future energy supply on a scale large enough to meaningfully impact global energy challenges.  While major challenges exist across all three potentially very low CO2e fuels (biofuels, hydrogen, and electricity), biofuels especially have become the focus of the question “can they play a major role?” but also “should they?”

In our article, we explore scenarios where electricity and hydrogen are utilized to as great a degree as we find plausible, in order to identify the gap that would have to be filled by biofuels. This helps us understand what the situation will be if we are not able to achieve truly sustainable, low GHG biofuels in large volumes around the world—currently a significant possibility.

We focus on scenarios that achieve the very low targeted CO2e emissions, reflecting the consensus that deep reductions are needed to avoid radical changes to the world’s climate with great attendant risks. We conduct this analysis in the context of the IEA scenarios and, in fact, base it specifically on the Energy Technology Perspectives 2012 scenarios, which I and one other of the authors were involved in developing. The article fleshes this ETP 2012 scenario out further, showing how much of different types of fuels we might see adopted by various modes over the coming decades, in what is truly a very ambitious low-carbon pathway.

In summary, we demonstrate in this paper that to achieve transportation two-degree targets it will take very strong actions  across all transportation modes, worldwide – maximum efficiency improvement, maximum use of the most efficient modes,  and curbing demand growth. But ultimately it also will take large volumes of very low-carbon fuels.

We find that if the world does not continue to develop very low-carbon, advanced biofuels (such as cellulosic ethanol and drop-in gasoline and diesel replacement fuels), it is unlikely that we can achieve transportation targets.  There is some reason for optimism as larger advanced biofuels facilities begin to come on line in the U.S. and in other countries. But given the pace of progress so far, this is far below what will be needed.

A significant ramp up in advanced biofuel research, development, and demonstration efforts is needed—supported by policies to strongly stimulate deployment and uptake of advanced biofuels, while discouraging the “wrong” kind of biofuels: those that do not have inherently low GHG life-cycle scores or that could trigger strong indirect effects. And such policies must be consistently applied in many countries around the world in order to have a chance to reach the needed volumes.

We must be very careful to avoid stimulating production of destructive biofuels that adversely impact global land use and even elevate rather than reduce transportation CO2e emissions.  At the same time we must avoid shutting down the promising potential for advanced, low-carbon biofuels, as we seek a sustainable global future. Above all, we must redouble efforts to carefully assess and scale up the most promising technologies and pathways.

***

Photo: Switchgrass may play an important role in a sustainable biofuels future. 

*The 21st Session of the Conference of the Parties to the United Nations Framework Convention on Climate Change—known as COP21.

**The Need for Biofuels as Part of a Low Carbon Energy Future

Lew Fulton previously wrote about biofuel innovations and advanced biofuels in a July 2014 GreenLight blog and co-authored research study.

“High-performance, Fun-to-Drive” Electric Vehicles: ITS-Davis Study Reveals Surprising Consumer Motives

Who’s most likely to drive an electric vehicle? An environmentally conscious consumer, many would respond. One of the key societal benefits of electric vehicles is that they produce zero tailpipe emissions and result in far fewer carbon emissions per mile travelled. This means that EVs can help mitigate the issues of climate change and urban air pollution, which arguably are some of the most prevalent issues of our time.

Indeed many studies have found that early adopters of electric vehicles cite environmental factors. Often early consumers are willing to make personal sacrifices when adopting an electric vehicle. We are all aware that the purchase price of an electric vehicle is higher than that of a gas vehicle, and that many have limited ranges, often less than 100 miles.

Not all EVs have limited range though; the Tesla Model S & Roadster are fully electric vehicles with range of 240-270 miles, have fast charge times, high performance, bold looks, luxury and high tech features. These attributes do however come at a cost, which is $70,000 to $105,000 for the Model S. This combination of benefits results in people adopting zero emission vehicles for reasons beyond environmental ones.

A study at the Plug-in Hybrid & Electric Vehicle Research Center is investigating reasons for adoption of Tesla electric vehicles. The study samples 39 Tesla adopters in hour-long interviews and is being conducted by myself a visiting scholar from the University of Birmingham with PH&EV director Tom Turrentine overseeing the project. While it is too early to draw decisive conclusions about all Tesla adopters, some interesting themes have emerged.

There were, of course, adopters whose reason for purchasing a Tesla was due to environmental concerns, or due to the positive environmental image they believe the vehicle conveyed to others. But there were more adopters who purchased a Tesla for other reasons.

The most prominent reason for purchasing a Tesla was the vehicle’s high performance, mainly its fast acceleration due to the vast amount of torque off the line. Adopters mentioned this frequently and with much enthusiasm:

“It was fast, and it was fun to drive.” 

“The Tesla has many of those performance visceral rewards, with none of the bruises of upkeep and maintenance”

Before purchasing a Tesla, adopters’ previous vehicles included a Ferrari 360, a Dodge Viper GTS, a Lotus Exige, a BMW M3 and a BMW 550i, among others.

There are also adopters whose purchase was motivated by technological reasons. Of particular note is the household with three all electric cars; a Nissan Leaf, Tesla Model S and Th!nk City. The male of this household was eager to note that he was a climate sceptic and did not believe in global climate change. He mainly liked the technology of the vehicles. Many of the other interviewees whose purchase decision was technology related worked in the Bay Area for tech companies..

“I’m a geek at heart, so I just appreciate the technology of this.”

“I’m a early adopter of all new technologies, I stayed up last night and hit buy on a Apple Watch at 12:01am.” 

Many of these performance and technology-oriented consumers indicated their purchase wasn’t environmentally motivated; the environment was not something to which they had given much thought, nor were they interested in that aspect of the car. Similar findings were presented in a recent publication by Kurani, Caperello, TyreeHageman & Davies of the PH&EV Research Center. They reported electric vehicles are not just for “Environmental Wackos” but also people who wish to save money on fuel and maintenance costs. (In contrast to Hardman’s research, their sample included owners of a wide variety of PEVs.).

Clearly, electric vehicles can appeal to people with different motivations. It is imperative, therefore, that EVs be marketed toward not just environmentally conscious consumers, but also to those with other purchase preferences, such as the technological and performance-related issues presented here.

An approach that advertises and promotes electric vehicles to a wide range of consumers with varying motivations will surely lead to increased sales. We can then all reap the rewards of reduced urban air pollution and mitigation of climate change.

RS13766_phev staff-7A doctoral researcher at the University of Birmingham, Hardman recently completed his work as a visiting scholar at the UC Davis Institute of Transportation Studies. He will continue to work with PH&EV Center researchers to publish a research article, bringing together interview insights with PH&EV Center survey results, in order to understand the importance of purchase incentives for high-end electric vehicle adopters.