Abstract

High oil prices and poor air quality in the urban areas are important factors that motivate efforts to cut consumption of petroleum products. Four public policy initiatives for the Brazilian transport sector are analysed: the adoption of flexfuel technology; the National Biodiesel Programme; the National Vehicle Efficiency Programme; and the Rio de Janeiro State Light Vehicle Inspection and Maintenance Programme. Economic impacts (petrol and diesel avoided) are shown. Significant co-benefits are shown in terms of reduced CO2 emissions that are often not considered or accounted for by Brazilian policy makers. Lessons from these initiatives for domestic and international policy are presented.

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