Should BEVs be subsidized or taxed? A European perspective based on the economic value of CO2 emissions |
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| Institution: | 1. IUAV University of Venice, Santa Croce 191, I-30135 Venice, Italy;2. University of Trieste, P.le Europa, 1 – I-34100 Trieste, Italy;1. European Commission-Joint Research Centre, Institute for Energy and Transport, Sustainable Transport Unit, Ispra 21027, Italy;2. Japan Automobile Research Institute, Powertrain Research, Energy and Environment Research Division, 2530 Karima, Tsukuba, Ibaraki 305-0822, Japan;3. Toyota, 3F, Shoei-Rokubancho Bldg., 6, Rokubancho, Chiyoda-ku, Tokyo 102-0085, Japan;4. Data Analysis and Consultancy, Dorath 1, Heinsberg 52525, Germany;1. School of Traffic and Transportation, Beijing Jiaotong University, Beijing 100044, China;2. MOE Key Laboratory for Urban Transportation Complex Systems Theory and Technology, Beijing Jiaotong University, Beijing 100044, China;1. Mississippi State University, United States;2. Illinois Institute of Technology, United States;1. State Key Laboratory of Automotive Safety and Energy, Tsinghua University, Beijing 100084, China;2. State Key Laboratory of Power Systems, Tsinghua University, Beijing 100084, China |
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| Abstract: | Battery Electric vehicles (BEVs) are generally considered as potentially contributing to the reduction of CO2 emissions. Consequently, many countries have promoted (or are in the process of promoting) policies aimed at directly or indirectly subsidizing BEVs to accelerate their market uptake. The aim of this paper is to assess whether BEVs’ subsidies are justified (and by what amount) with reference to the carbon component, distinguishing by car segments and countries. To address these research questions, a simulation model is developed, based on the most recent and reliable data available. The model estimates and monetizes the Well-to-Wheel CO2 emissions of six car segments in 28 European countries. The monetary value of the difference of the CO2 emissions between the non-BEVs and the BEVs ranges from −€1133 (tax) to +€3192 (subsidy), depending on the car segment and on the nation considered. These results are then compared to the policies about alternative fuels adopted by the single EU countries, suggesting in some cases the necessity to rethink such incentives. |
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| Keywords: | Well-to-Wheel analysis Electric vehicles European policies European incentives |
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