First Name | Andreas |
---|---|
Last Name | Klugescheid |
Email Address | andreas.klugescheid@bmwna.com |
Affiliation | BMW Group |
Subject | Cap and trade in the transportation sector. |
Comment | The BMW Group supports the implementation of a Cap and Trade system for transportation fuels in order to reflect the growing use and availability of alternative fuels such as biofuels, electricity and hydrogen. Contrary to the fuel world dominated by gasoline and diesel today, alternative fuels are produced with extremely different environmental impacts. The CO2 balance of one kilowatt hour of electricity that comes e.g. from a coal power station differs from one that was generated by wind power significantly. Hence, in order to assess the actual CO2 footprint of a certain fuel, there is a need for the implementation of a new system. This is particularly obvious with electricity: the CO2 emissions of electricity generated from renewable energies, such as wind, water, or sun is in contrast to electricity generated from coal or natural gas. The environmental impacts from biofuels are also defined mainly by its production. The comparability is missing, when for example electricity and a mix of fossil diesel and bio-diesel will be competing in the future for the lowest overall emissions. A long-term political framework is needed here that will address the CO2 reduction in the traffic sector comprehensively and in a transparent way for industry and consumer. According to the study „Car Industry, Road Transport and an International Emission Trading Scheme“ (CITIES) developed under the direction of Professor Ottmar Edenhofer of the globally renowned Potsdam Institute for Climate Impact Research (PIK), Cap and Trade is the instrument that enables a treatment of the upstream emissions of fuels. The study was commissioned by BMW Group. Important Results of the Study: 1. In order to reduce CO2 emissions in the transport sector, all system participants must live up to their respective responsibility. Fuel producers must reduce the CO2 content of their fuels; automobile manufacturers must increase the efficiency of their products. 2. The CO2 content varies considerably depending on the production method, regardless of the type of fuel used. Automobile manufacturers have no influence on that. As a result, political instruments must be created that specifically address fuel producers and automobile manufacturers in their respective responsibilities. 3. The introduction of emission trading for fuels is not supposed to replace the regulations on CO2 emissions for new cars. Rather it can bring forward the additional decarbonization of the entire traffic sector in a comprehensive manner. 4. Electric cars should be credited with 0 gr/km CO2 within the context of today's regulations on fleet consumption, since the automobile manufacturers have no control over the origin of the electricity. In the longer term, an efficiency factor (i.e. MJ/km) can be used that rates the car's energy consumption technology-neutral for all kinds of propulsion systems, regardless of the respective fuel. 5. The CO2 content of fuels should be regulated at the level of the fuel producers, in order to increase the efficiency of the regulation and provide incentives for CO2 reductions. 6. In the light of changing conditions on the fuel market and the related CO2 emissions, Cap and Trade is suitable as an instrument to holistically realize the CO2 reduction goals in the traffic sector. The study CITIES was authored by scientists of the Technical University Berlin and the Potsdam Institute for Climate Impact Research. The department “Economics of Climate Change” at Technical University Berlin researches the relations between mobility, economics and climate change. Scientists at the Potsdam Institute for Climate Impact Research are working interdisciplinarily on researching climate change and its impacts on ecological, social and economic systems. Professor Ottmar Edenhofer, as deputy director and chief economist, heads the field of study Sustainable Solution Strategies at PIK and has a professorship at TU Berlin. He is also co-chair of the working group III of IPCC, Dr. Felix Creutzig is the Team Leader for Sustainability and Transport Economy at the Technical University Berlin and lead author of the transportation section of the upcoming IPCC report. |
Attachment | www.arb.ca.gov/lists/capandtrade10/1162-100824_cities_final_version.pdf |
Original File Name | 100824_CITIES final version.pdf |
Date and Time Comment Was Submitted | 2010-12-15 11:26:04 |
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