CHAPTER FOUR - Cost-Effective Vehicle and Fuel Technology Choices in a Carbon-Constrained World: Insights from Global Energy Systems Modeling

Abstract

This chapter investigates the various factors that influence the cost-effective vehicle and fuel technology choices in a carbon-constrained world. It develops an already existing global energy systems model and provides a detailed description of light-duty vehicle technologies. CCS and CSP are the two technological options that can significantly reduce CO2 emissions associated with electricity and heat generation and can affect cost-effective fuel and vehicle technologies for transport and thus provide options for passenger vehicles to meet the global CO2 emission target of 450 ppm at the lowest system cost. The introduction of CCS increases the use of coal in the energy system and ICEV for transport and thus extends the time span of conventional petroleum-fueled ICEVs, and enables the use of liquid biofuels as well as GTL/CTL for transportation. The use of CSP reduces the relative cost of electricity in relation to H2 and tends to increase the use of electricity for transport. Thus the combined use of both CCS and CSP reduces the cost-effectiveness of shifting away from petroleum and ICEVs for a prolonged period of time and reduces the cost of carbon mitigation. The findings of the model highlight the need to recognize, and account for, the interaction between sectors in policy development and illustrate the importance of pursuing the research and development of multiple fuel and vehicle technology pathways to achieve the desired result of affordable and sustainable personal mobility.