A choice experiment on alternative fuel vehicle preferences of private car owners in the Netherlands

This paper presents results of an online stated choice experiment on preferences of Dutch private car owners for alternative fuel vehicles (AFVs) and their characteristics. Results show that negative preferences for alternative fuel vehicles are large, especially for the electric and fuel cell car, mostly as a result of their limited driving range and considerable refueling times. Preference for AFVs increases considerably with improvements on driving range, refueling time and fuel availability. Negative AFV preferences remain, however, also with substantial improvements in AFV characteristics; the remaining willingness to accept is on average € 10,000–€ 20,000 per AFV. Results from a mixed logit model show that consumer preferences for AFVs and AFV characteristics are heterogeneous to a large extent, in particular for the electric car, additional detour time and fuel time for the electric and fuel cell car. An interaction model reveals that annual mileage is by far the most important factor that determines heterogeneity in preferences for the electric and fuel cell car. When annual mileage increases, the preference for electric and fuel cell cars decreases substantially, whilst the willingness to pay for driving range increases substantially. Other variables such as using the car for holidays abroad and the daily commute also appear to be relevant for car choice.     

The impact of fuel availability on demand for alternative-fuel vehicles

We study the impact of fuel availability on demand for alternative-fuel vehicles, using data from a survey of potential car buyers in Germany. The survey was conducted as a computer-assisted personal interview and included a choice experiment involving cars with various fuel types. Applying a standard logit model, we show that alternative fuel availability influences choices positively, but its marginal utility diminishes with supply. Furthermore, we derive consumers’ marginal willingness-to-pay for an expanded service station network. The results suggest that a failure to expand the availability of alternative fuel stations represents a significant barrier to the widespread adoption of alternative-fuel vehicles.     

Incentivizing alternative fuel vehicles: the influence of transport policies,attitudes and perceptions

This paper aims to evaluate the influence of policies, attitudes and perceptions when incentivizing alternative fuel vehicles. The impact of possible policies such as gasoline taxes increases, purchase price subsidies, tax exemptions, and increases in fuel recharging station availability for alternative fuelled vehicles is evaluated using hybrid choice models. The models also allow assessing the sensitivity of latent variables (i.e., attitudes and perceptions) in the car purchase behaviour. The models are estimated using data from a stated choice survey collected in five Colombian cities. The latent variables are obtained from the rating of statements related to the transport system, environmental concern, vehicle preferences, and technology. The modelling approach includes regression between latent variables. Results show that environmental concern and the support for green transport policies have a positive influence on the intention to purchase alternative fuel vehicles. Meanwhile, people who reveal to be car-dependent prefer to buy standard fuelled vehicles. The analysis among cities shows similar trends in individual behaviour, although there are differences in attribute sensitivities. The policy scenario analysis revealed high sensitivity to capital cost and the need for extensive investments in refuelling stations for alternative fuel vehicles to become attractive. Nevertheless, all policies should not only be directed at infrastructure and vehicles but also be focused on user awareness and acceptance of the alternative fuel vehicles. The analysis suggests that in an environmentally conscious market, people prefer alternative fuels. However, if the transport policies support private transport, the market shares of alternative fuel vehicles will decrease.     

Fuel economy,cost, and greenhouse gas results for alternative fuel vehicles in 2011

This paper presents in-service data collected from over 300 alternative fuel vehicles and over 80 fueling stations to help fleets determine what types of applications and alternative fuels may help them reduce their environmental impacts and fuel costs. The data were compiled in 2011 by over 30 organizations in New York State using a wide variety of commercial vehicle types and technologies. Fuel economy, incremental vehicle purchase cost, fueling station purchase cost, greenhouse gas reductions, and fuel cost savings data clarifies the performance of alternative fuel vehicles and fuel stations. Data were collected from a range of vehicle types, including school buses, delivery trucks, utility vans, street sweepers, snow plows, street pavers, bucket trucks, paratransit vans, and sedans. CNG, hybrid, LPG, and electric vehicles were tracked.     

Electric vehicles in car sharing networks – Challenges and simulation model analysis

In this paper, we examine the operation of electric vehicles in urban car sharing networks. After surveying strategic and operational differences and comparing them to gasoline-fueled cars, a simulation study was carried out. The proposed discrete event simulation tool covered important operational characteristics of electric vehicles, including realistic charging routines. Different vehicle types were compared under various conditions and on multiple markets to determine their performance. The data obtained indicated the competitiveness of electric vehicles in car sharing networks. Key success factors included advantageous relations between the market environment (e.g. electricity and fuel prices) and important characteristics of electric cars (e.g. price and range).     

Model aided policy development for the market penetration of natural gas vehicles in Switzerland

Introduction of alternative fuels in the passenger car fleet is widely discussed in the light of emission reductions. Worldwide experiences show that the market introduction depends on the actions of many stakeholders, like car industry, fuel companies and consumers. The process demands well-timed actions and investments, whilst economic chances and risks are distributed highly unequally. Policy makers set the framework conditions, although the influence of the height and timing of subsidies, tax reductions and other stimulation policies are not well understood yet.The market introduction of alternative fuel vehicles was studied with the example of natural gas cars in Switzerland. Stakeholder analysis and system dynamics modeling techniques were used to characterize the system. Analyses identify difficulties and chances in the market penetration process of natural gas cars. For example, a critical balance between fueling station upgrade investments and natural gas car sales is needed. Further, it is found that large time delays exist between strategic policy actions and frequently used market penetration indicators (e.g. car sales and infrastructure expansion), limiting the ability of policy makers to assess the performance of their strategy. Referring to elements of the Balanced Scorecard approach, a set of five alternative indicators is proposed to better measure the performance of the implemented strategy.     

Identifying the early adopters of alternative fuel vehicles: A case study of Birmingham,United Kingdom

The transport sector has been identified as a significant contributor to greenhouse gas emissions. As part of its emissions reduction strategy, the United Kingdom Government is demonstrating support for new vehicle technologies, paying attention, in particular, to electric vehicles.Cluster analysis was applied to Census data in order to identify potential alternative fuel vehicle drivers in the city of Birmingham, United Kingdom. The clustering was undertaken based on characteristics of age, income, car ownership, home ownership, socio-economic status and education. Almost 60% of areas that most closely fitted the profile of an alternative fuel vehicle driver were found to be located across four wards furthest from Birmingham city centre, while the areas with the poorest fit were located towards the centre of Birmingham. The paper demonstrates how Census data can be used in the initial stages of identifying potential early adopters of alternative vehicle drivers. It also shows how such research can provide scope for infrastructure planning and policy development for local and national authorities, while also providing useful marketing information to car manufacturers.     

Changes in fuel economy: An analysis of the Spanish car market

This paper estimates the role that technological change and car characteristics have played in the rate of fuel consumption of vehicles over time. Using data from the Spanish car market from 1988 to 2013, we estimate a reduced form equation that relates fuel consumption with a set of car characteristics. The results for the sales-weighted sample of vehicles show that energy efficiency would have improved by 30% and 42% for petrol and diesel cars respectively had car characteristics been held constant at 1988 values. However, the shift to bigger and more fuel-consuming cars reduced the gains from technological progress. Additionally, using the results of the fuel equation we show that, besides a natural growth rate of 1.1%, technological progress is affected by both the international price of oil and the adoption of mandatory emission standards. Moreover, according to our estimations, a 1% growth in GDP would modify car characteristics in such a way that fuel consumption would increase by around 0.23% for petrol cars and 0.35% for diesel cars.     

Well-to-wheel costs,primary energy demand,and greenhouse gas emissions for the production and operation of conventional and alternative vehicles

This study provides a comprehensive comparison of well-to-wheel (WTW) energy demand, WTW GHG emissions, and costs for conventional ICE and alternative passenger car powertrains, including full electric, hybrid, and fuel cell powertrains. Vehicle production, operation, maintenance, and disposal are considered, along with a range of hydrogen production processes, electricity mixes, ICE fuels, and battery types. Results are determined based on a reference vehicle, powertrain efficiencies, life cycle inventory data, and cost estimations. Powertrain performance is measured against a gasoline ICE vehicle. Energy carrier and battery production are found to be the largest contributors to WTW energy demand, GHG emissions, and costs; however, electric powertrain performance is highly sensitive to battery specific energy. ICE and full hybrid vehicles using alternative fuels to gasoline, and fuel cell vehicles using natural gas hydrogen production pathways, are the only powertrains which demonstrate reductions in all three evaluation categories simultaneously (i.e., WTW energy demand, emissions, and costs). Overall, however, WTW emission reductions depend more on the energy carrier production pathway than on the powertrain; hence, alternative energy carriers to gasoline for an ICE-based fleet (including hybrids) should be emphasized from a policy perspective in the short-term. This will ease the transition towards a low-emission fleet in Switzerland.     

Cost-benefit analysis of alternative vehicles in the Philippines using immediate and distant future scenarios

Alternative vehicle technologies promise a sustainable future by reducing carbon emissions and pollution. However, their widespread adoption tends to be slow due to high costs and uncertainties in benefits. Using a life cycle-based approach, this study calculates ownership savings and societal benefits for various alternative vehicle technologies against their baseline vehicle technology (e.g. gasoline or diesel). The assessment is performed from a developing country context – in the Philippines. Furthermore, immediate and distant future scenarios are modeled. The immediate future scenario assesses costs and benefits if the shift is to happen now, while the distant future scenario considers the effect of widespread autonomous driving and ridesharing. The results of the study echo the significant societal benefits from electric- and fuel cell-powered vehicles found in literature, but they are hindered by high ownership costs. In the immediate future, the diesel hybrid electric vehicle can potentially have both positive societal and operational costs for public transportation. For a gasoline-powered private passenger car, a simple shift to diesel, 20% biodiesel or 85% methanol can be beneficial. In the distant future, it is expected that autonomous, rideshared vehicles can potentially lure people away from driving their own vehicles, because of lower costs per passenger-kilometer while sustaining the privacy and comfort of a private car.     

(Unintended) Transport impacts of an energy-environment policy: The case of CNG conversion of vehicles in Dhaka

Motor vehicles are one of the major sources of air pollution in Dhaka, the capital of Bangladesh. The government took various policies to convert the petroleum vehicles on road to run on compressed natural gas (CNG), which allows both air quality improvements and energy security benefits. One of the market friendly policies to encourage the fuel switch was to increase the price differential between CNG and petrol and diesel. This has allowed a wide-scale adoption of CNG as the fuel of choice. However, several years into the policy, there is now a widespread belief among the policymakers that the CNG conversion may have increased car ownership and car travel due to their lower running costs, resulting in more congestion and a reversal of the strategy is on the cards. It is therefore important to test the hypothesis whether CNG conversion had genuinely increased car ownership and car travel in Dhaka city. This paper presents the results of a questionnaire survey and an econometric intervention analysis to understand the impact of CNG conversion on car ownership and car travel in Dhaka. Attention is also given to disentangle the self-selection and price-induced travel effects of CNG conversion. Results show that ownership did not increase, but travel of on-road vehicles increased due to the CNG policy. However, additional congestion costs are still around one half of the health benefits brought about by the policy.     

Market introduction strategies for alternative powertrains in long-range passenger cars under competition

Alternative powertrains are considered as a promising option to significantly reduce CO₂ emissions from passenger cars. One major prerequisite is their successful market introduction. In this paper, we present a system dynamics model that allows for the evaluation of strategies for the market introduction of alternative powertrain technologies in long-range passenger cars (⩾400 km) under competition. The model considers two competing manufacturers, one first-mover and one follower, each introducing plug-in hybrids and fuel cell electric vehicles according to exogenously defined strategies, which comprise timing, pricing, and technology parameters. The manufacturers can learn from each other due to technology spillover, leading to cost reductions of the powertrains. We use an exemplary dataset for the German car market to study the manufacturers’ influence on the market success of alternative powertrains as well as the underlying mechanisms. The results indicate that in general more competition leads to higher market shares of alternatively powered vehicles and thus allows for a higher reduction of emissions. However, this might cause decreasing profits for both manufacturers, especially if the follower pursues an aggressive pricing strategy when entering the market to gain market shares from its competitor. Also, technology spillover has a positive effect on the market penetration. This particularly holds true for a low level of technology experience where high cost reductions can be achieved and for fuel cell electric vehicles where the costs of the powertrain are much higher compared to plug-in hybrids.     

A comparison of technologies for carbon-neutral passenger transport

In this study, the use of energy carriers based on renewable energy sources in battery-powered electric vehicles (BPEVs), fuel-cell electric vehicles (FCEVs), hybrid electric vehicles (HEVs) and internal combustion engine vehicles (ICEVs) is compared regarding energy efficiency, emission and cost. There is the potential to double the primary energy compared with the current level by utilising vehicles with electric drivetrains. There is also major potential to increase the efficiency of conventional ICEVs. The energy and environmental cost of using a passenger car can be reduced by 50% solely by using improved ICEVs instead of ICEVs with current technical standard. All the studied vehicles with alternative powertrains (HEVs, FCEVs, and BPEVs) would have lower energy and environmental costs than the ICEV. The HEVs, FCEVs and BPEVs have, however, higher costs than the future methanol-fuelled ICEV, if the vehicle cost is added to the energy and environmental costs, even if significant cost reductions for key technologies such as fuel cells, batteries and fuel storages are assumed. The high-energy efficiency and low emissions of these vehicles cannot compensate for the high vehicle cost. The study indicates, however, that energy-efficiency improvements, combined with the use of renewable energy, would reduce the cost of CO₂ reduction by 40% compared with a strategy based on fuel substitution only.     

The Japanese experience with mini‐cars

Despite the early appeal of the light vehicle, increases in the average annual income have allowed consumers to consider a broader range of vehicles so that the negative aspects of mini‐vehicles such as higher noise and vibration levels, the lack of horsepower and instability in certain driving conditions have made light vehicles less tolerable. The “oil shock” shattered economic projections, and people began to acknowledge that living in a world with limited resources was a harsh reality. Concurrently, congestion increased dramatically in urban areas as a result of the popularity of automobiles, and producers made a number of design changes to improve the safety and comfort limitations of light vehicles. Thus, in a world where fuel economy and ease of use gained a greater meaning, light vehicles slowly regained their original appeal.

Light vehicles may play a greater role in the future. Studies indicate that light vehicles tend to be driven by females and elderly people and current trends indicate that the number of female drivers is increasing and that the average age of the Japanese population is getting higher. Furthermore, migration patterns indicate that a greater number of people are moving to smaller cities and their outlying areas as a result of national decentralization policies. The migration pattern may popularize light vehicles because vehicle ownership rates are higher in these areas than in larger cities. Another development which may increase the popularity of light vehicles is that more families are owning more than one car and light vehicles are popular as second vehicles. Moreover, the prospects of low economic growth have tempered the importance of comfortable amenities, and the virtues of maneuverability and fuel economy have become more important.

     

Motor fuel choice: An econometric analysis

Concerns about air pollution and energy security have stimulated interest in alternative automotive fuels and in vehicles that can use multiple fuels and combinations of fuels. Consumer behavior in the choice of motor fuel for flexible-fuel vehicles is likely to be a key factor in the creation and stability of markets for new fuels. The sensitivity of fuel choice to fuel prices is investigated here using data on purchases of regular, premium, leaded, and unleaded grades of gasoline. Multinomial logit choice models are estimated for the years 1982, 1983, and 1984. Consumer choices are found to be highly elastic with respect to fuel prices. New fuels will have to be priced within a few cents of existing fuels to capture significant market shares. Consumers also exhibit strong preferences for the fuel type specified by law (unleaded vs. leaded) for their vehicles. Thus, legal restrictions could play an important role in stabilizing alternative fuels markets. The typical consumer is willing to pay 5–10 cents more per gallon for premium grade gasoline. The premium for premium has been increasing as increasing numbers of turbocharged and fuel-injected engines join the fleet, reflecting the fact that consumers are willing to pay more for a fuel if they believe their engines require it.     

Transport energy consumption in mountainous roads. A comparative case study for internal combustion engines and electric vehicles in Andorra

This paper analyses transport energy consumption of conventional and electric vehicles in mountainous roads. A standard round trip in Andorra has been modelled in order to characterise vehicle dynamics in hilly regions. Two conventional diesel vehicles and their electric-equivalent models have been simulated and their performances have been compared. Six scenarios have been simulated to study the effects of factors such as orography, traffic congestion and driving style. The European fuel consumption and emissions test and Artemis urban driving cycles, representative of European driving cycles, have also been included in the comparative analysis. The results show that road grade has a major impact on fuel economy, although it affects consumption in different levels depending on the technology analysed. Electric vehicles are less affected by this factor as opposed to conventional vehicles, increasing the potential energy savings in a hypothetical electrification of the car fleet. However, electric vehicle range in mountainous terrains is lower compared to that estimated by manufacturers, a fact that could adversely affect a massive adoption of electric cars in the short term.     

Individual characteristics and stated preferences for alternative energy sources and propulsion technologies in vehicles: A discrete choice analysis for Germany

With respect to the German goal of a transition to a lead market for electromobility within a short time period, this paper empirically examines the preferences for alternative energy sources or propulsion technologies in vehicles and particularly for electric vehicles. The data stem from a stated preference discrete choice experiment with 598 potential German car buyers. In order to simulate a realistic future purchase situation, seven vehicle types were incorporated in each of the six choice sets, i.e. hybrid, gas, biofuel, hydrogen, and electric vehicles besides common gasoline and diesel vehicles. The econometric analysis with flexible multinomial probit models reveals that potential car buyers in Germany currently have a low stated preference for electric, hydrogen, and hybrid vehicles. While our paper also discusses the impact of common vehicle attributes such as purchase price or service station availability, it particularly considers the effect of socio-demographic and environmental awareness variables. The estimation results reveal that younger potential car buyers have a higher stated preference for hydrogen and electric vehicles, males have a higher stated choice of hydrogen vehicles, and environmentally aware potential car buyers have a higher stated preference for hydrogen and electric vehicles. These results suggest that common policy instruments such as the promotion of research and development, taxation, or subsidization in the field of electromobility could be supplemented by strategies to increase the social acceptance of alternative vehicle types that are directly oriented to these population groups. Methodologically, our study highlights the importance of the inclusion of taste persistence across the choice sets and a high number of random draws in the Geweke–Hajivassiliou–Keane simulator in the simulated maximum likelihood estimation of the multinomial probit models.     

Heterogeneous consumer preferences for alternative fuel cars in China

This paper models consumer preferences for alternative fuel cars and conventional, petrol fueled cars in China. It compares discrete choice model specifications where each specification reflects how consumers choose between alternative fuel cars and conventional types of cars. We find that, in China, consumers differentiate between the types of alternative fuel cars and are more likely to consider switching from petrol fuel vehicles to hybrid than to electric cars. Segmentation analysis is used to explore groups of consumers and their likelihood of adopting alternative fuel cars.     

California’s Low Carbon Fuel Standard: Modeling financial least-cost pathways to compliance in Northwest California

The transition to low-carbon transportation fuels plays a key role in ongoing efforts to combat climate change. This analysis seeks to optimize potential alternative fuel portfolios that would lead to a 10% reduction in fuel carbon intensity by 2020 as required under California’s Low Carbon Fuel Standard (LCFS).We present a novel, probabilistic modeling approach for evaluating alternative fuel portfolios based on their marginal greenhouse gas (GHG) abatement costs. Applied to a case study region in Northwest California, our model enables us to quantify the financial cost of GHG reduction via each fuel pathway, as well as for a portfolio deployed to meet the LCFS target. It also enables us to explore the sensitivity of the alternative fuel portfolio, evaluating the impact of fluctuating prices, fuel carbon intensities, and technology penetrations on the makeup of the portfolio and on the average cost of GHG abatement.We find that battery electric vehicles play a critical role, as they offer the lowest-financial-cost significant abatement in almost all plausible scenarios. However, electric vehicles alone will not be sufficient to reach the target; low-carbon biofuels can be expected to play a role in the achievement of 2020 Low Carbon Fuel Standard targets.     

Willingness-to-pay for infrastructure investments for alternative fuel vehicles

This study investigates potential demand for infrastructure investment for alternative fuel vehicles by applying stated preference methods to a Japanese sample. The potential demand is estimated on the basis of how much people are willing to pay for alternative fuel vehicles under various refueling scenarios. Using the estimated parameters, the economic efficiency of establishing battery-exchange stations for electric vehicles is examined. The results indicate that infrastructural development of battery-exchange stations can be efficient when electric vehicle sales exceed 5.63% of all new vehicle sales. Further, we find a complementary relationship between the cruising ranges of alternative fuel vehicles and the infrastructure established.