Electric Vehicle Incentives Research Articles

Analysis of Vehicle Emission Policies and Electric Vehicle Incentives on Air Pollution and Sustainable Transportation Use in Jakarta, Indonesia

This research investigates the impact of vehicle emission policies and electric vehicle incentives on air pollution perceptions and sustainable transportation use in Jakarta, Indonesia. Through a quantitative analysis employing structural equation modeling, survey data from diverse stakeholders are analyzed to assess the relationships between key variables. Findings indicate significant associations between stringent vehicle emission policies, electric vehicle incentives, lower air pollution perceptions, and increased sustainable transportation use. These results underscore the importance of comprehensive policy measures in promoting environmental sustainability and fostering sustainable transportation practices in urban areas.

Electrifying the Transportation Sector: Implications for the Oil and Gas Industry

This review article explores the implications of electrifying the transportation sector for the oil and gas industry. The current state of the transportation sector and the role of oil and gas in it are discussed, followed by an introduction to the concept of electrification and its potential benefits and challenges. The article analyzes the potential impacts of electrification on the oil and gas industry, including changes in demand for oil and gas and opportunities for investing in renewable energy and developing new technologies. Several case studies of companies in the oil and gas industry that are adapting to the transition to electrification are presented, including those investing in renewable energy and developing electric vehicle charging infrastructure. The role of government policies and regulations in the transition to electrification is also discussed, including incentives for electric vehicles and renewable energy and their potential impact on the oil and gas industry. The article concludes with a summary of the potential implications of electrifying the transportation sector for the oil and gas industry, along with recommendations for how companies in the oil and gas industry can adapt to the transition to electrification. Overall, the article provides a comprehensive overview of the electrification of the transportation sector and its impact on the oil and gas industry, offering insights and recommendations for industry stakeholders.

Bold fiscal policies for a net-zero EU: Promotion of electric vehicles and expansion of green energy

This paper considers bold fiscal policies for the transition to a net-zero EU. It argues for upfront incentives for electric vehicles and subsidies to renewable energy sources, and discusses the feasibility of those policies by drawing a parallel to fiscal policies during the early stages of the Covid-19 pandemic.

Road users’ attitudes towards electric vehicle incentives: Empirical evidence from Oslo in 2014–2020

This paper examines participant attitudes towards battery electric vehicle (BEV) incentives. Our case study was conducted in the greater Oslo area. Oslo has ranked as the world capital of BEV usage since 2014. The Norwegian government currently leads the comprehensive use of BEV incentives to decarbonize road transport. The data set is from a questionnaire survey conducted annually between 2014 and 2020. A total of 6363 individuals divided equally into annual random samples were asked to express their attitudes towards the different BEV incentives in place in each year. Participants were aged 18 or older and were living in the larger Oslo area. Professional data collection companies used computer-assisted telephone interviews to conduct the survey. Generalized structural equation modelling (GSEM) was used to analyse the data. The sample was 49% women and 51% men, with a mean age of 51 years, ranging from 18 to 99 years old. People in greater Oslo increasingly disagree each year with beneficial BEV incentives such as toll exemptions, access to bus lanes without passengers and free public parking. However, internal combustion engine vehicle (ICEV) users are more likely to disagree than BEV users. The results provide new knowledge about attitudes towards BEV incentives from a longitudinal perspective.

Evaluating Norway’s electric vehicle incentives

Evaluating Norway’s electric vehicle incentives

Changing the Demand Preference for Electric Vehicles in Ho Chi Minh City: Costs and Benefits From Incentives in the Early Stages of Adoption

This paper evaluates potential costs of implementing financial incentives for electric vehicles (EVs); specifically purchase subsidies and registration rebates offered in HCMC and the benefits related to individual savings and GHG emissions reductions. The analysis indicates that implementation could deliver net-positive benefits during the early stages of EV adoption in HCMC. Overall, the analysis shows that incentives to make EVs more cost-competitive, along with support for the deployment of charging stations, will be crucial for increasing EV adoption in HCMC.

Driving on Sunbeams: Interactions Between Price Incentives for Electric Vehicles, Residential Solar Photovoltaics and Household Battery Systems*

I discuss how electric vehicles (EVs) link transportation externalities to the regulations that govern our electricity markets. Specifically, I contrast the consequences of the incentives faced by joint EV and residential PV adopters under a system of monthly net metering to those under a system of instantaneous metering with feed‐in tariffs and behind‐the‐meter own consumption. I also discuss how, even within Australia, households under new solar PV contracts and early adopters under legacy contracts face very different private costs of operating EVs, which have environmental and congestion implications. I briefly discuss how these incentives interact with the profitability and environmental benefit of household battery systems. Finally, I comment on how these short‐term incentives are likely to evolve in the longer run transition to a much cleaner grid and warn about the potential negative distributional impacts of using purchase subsidies to accelerate the adoption of these technologies.

Deployment planning tool for environmentally sensitive heavy-duty vehicles and fueling infrastructure

A novel planning tool is introduced for projecting vehicle and fueling infrastructure deployment of near-zero and zero emission heavy-duty vehicles (HDVs). To address climate change and air quality goals, the tool is based on a systematic methodology to develop rollout scenarios that meet environmental goals at the lowest cost, and identify policy to facilitate the deployment. Called TRACE (Transportation Rollout Affecting Cost and Emissions), the methodology provides a framework for developing and analyzing scenarios that consider the technical and socio-political constraints and incentives in the emerging HDV sector. For the California Greenhouse Gas (GHG) Scenario requiring an 80% reduction in 1990 GHG levels by 2050, TRACE projects a significant population of biomass-sourced renewable diesel-fueled internal combustion vehicles, complemented by a substantial population of battery and fuel cell electric powertrain adoption by 2050. In contrast, the Zero Emission Vehicle Scenario projects a near-complete (100%) adoption of battery and fuel cell electric powertrains by 2050 with a 0.53% higher cumulative cost than the GHG Scenario. The policy implications include a need for (1) near-term benefits of low/negative carbon intensity biomass without diminishing adoption of zero emission HDVs, and (2) both renewable fuel and fuel cell electric vehicle incentives tailored to vocational demand.

Policy Instruments for the Improvement of Customers’ Willingness to Purchase Electric Vehicles: A Case Study in Iran

Given the various advantages of electric vehicles compared to conventional gasoline vehicles in terms of energy efficiency and environmental pollution (among others), this paper studies the factors affecting customers’ willingness to purchase electric vehicles. An integrated discrete choice and agent-based approach is applied to model the customers’ choice for the valuation of electric vehicles based on the internal reference price. The agent-based model evaluates customers’ preferences for a number of personal and vehicle attributes, according to which vehicle they chose. Data from 376 respondents are collected to estimate a random-parameter logit model where customers are asked to reveal their preferences about five attributes of electric vehicles, including travel range, top speed, charge cost, government incentives, and price. The role of social networks of customers and their threshold purchase price is also examined in the agent-based model. The scenario simulation results indicate that the allocation of government incentives for electric vehicles, decreasing electric vehicle/non-electric vehicle price gap, expanding electric vehicle travel range, increasing gasoline prices, and enhancing electric vehicle top speed stimulate electric vehicle market shares, respectively.

Re-thinking procurement incentives for electric vehicles to achieve net-zero emissions

Procurement incentives are a widely leveraged policy lever to stimulate electric vehicle (EV) sales. However, their effectiveness in reducing transportation emissions depends on the behavioural characteristics of EV adopters. When an EV is used, under what conditions and by whom dictates whether or not these vehicles can deliver emissions reductions. Here, we document that replacing gasoline powered vehicles with EVs may—depending on behavioural characteristics—increase, not decrease, emissions. We further show that counterfactual vehicle inventory—how many vehicles a household would own absent an EV purchase—is an important influencer of these effects. We conclude that achieving emissions reductions using EVs requires redesigning procurement incentive programmes in a manner that (re)distributes incentives towards the second-hand EV market. Doing so would not only facilitate emissions reductions but also address fiscal prudency and regressivity concerns associated with these programmes.

Network Externality and Subsidy Structure in Two-Sided Markets: Evidence from Electric Vehicle Incentives

This paper uses new, large-scale vehicle registry data from Norway and a two-sided market framework to show nonneutrality of different subsidies and estimate their impact on electric vehicle adoption when network externalities are present. Estimates suggest a strong positive connection between electric vehicle purchases and both consumer price and charging station subsidies. Counterfactual analyses suggest that between 2010 and 2015, every dollar spent on station subsidies resulted in more than twice as many additional electric vehicle purchases than the same amount spent on price subsidies. However, this relation inverts with increased spending, as station subsidies’ impact tapers off faster. (JEL D12, D62, D85, H25, L62, Q54)

Designing Electric Vehicle Incentives to Meet Emissions Reduction Targets

Designing Electric Vehicle Incentives to Meet Emissions Reduction Targets

Is caring about the environment enough for sustainable mobility? An exploratory case study from South Tyrol (Italy)

Sustainable mobility has a positive impact on quality of life, in both urban and rural contexts. Policies aimed at promoting greener travel behaviors – at European, as well as at state and regional level – require a deep knowledge of differing mobility cultures across European regions. In order to better understand the relationship between the (stated) propensity towards sustainability, reported mobility patterns and users' lifestyles in rural areas, an exploratory study was conducted in South Tyrol, a rural region in Northern Italy that strives to become a model region for sustainable alpine mobility by 2030. More specifically, an online survey on sustainable mobility was administered to the inhabitants, exploring motivations, preferred incentives and drivers that may lead towards the adoption of sustainable mobility solutions (with a focus on e-mobility). By analyzing how pro-environmental self-identity interacts with consumers' heterogeneity, results show that heterogeneity exists in the individual pro-environmental identity measure. Based also on evidence from the literature that extrinsic rewards might negatively impact intrinsic motivations to engage in a certain behavior, this study warns policy-makers of potential unintended consequences of current policy tools used to incentivize the adoption of sustainable means of transport, such as the provision of monetary incentives for electric vehicles.

Health and climate benefits of Electric Vehicle Deployment in the Greater Toronto and Hamilton Area

This study presents the results of an integrated model developed to evaluate the environmental and health impacts of Electric Vehicle (EV) deployment in a large metropolitan area. The model combines a high-resolution chemical transport model with an emission inventory established with detailed transportation and power plant information, as well as a framework to characterize and monetize the health impacts. Our study is set in the Greater Toronto and Hamilton Area (GTHA) in Canada with bounding scenarios for 25% and 100% EV penetration rates. Our results indicate that even with the worst-case assumptions for EV electricity supply (100% natural gas), vehicle electrification can deliver substantial health benefits in the GTHA, equivalent to reductions of about 50 and 260 premature deaths per year for 25% and 100% EV penetration, compared to the base case scenario. If EVs are charged with renewable energy sources only, then electrifying all passenger vehicles can prevent 330 premature deaths per year, which is equivalent to $3.8 Billion (2016$CAD) in social benefits. When the benefit of EV deployment is normalized per vehicle, it is higher than most incentives provided by the government, indicating that EV incentives can generate high social benefits.

An in-depth examination of electric vehicle incentives: Consumer heterogeneity and changing response over time

Abstract We investigate the impacts of a combination of incentives on the purchase decision of electric vehicle buyers in California from 2010 through 2017. We employ a comprehensive survey on over 14,000 purchasers of electric vehicles in the state of California. The survey covers a swath of purchase intentions, general demographics, and importance of various incentives. Our results indicate that the most important incentives for plug-in electric vehicle (PEV) owners are the federal tax credit, the California state rebate, and high occupancy vehicle (HOV) lane access. In addition, the importance of the incentives and their associated effect on purchase behavior has been changing over time: respondents are less likely to not change their decision and more likely to not buy a vehicle at all as time passes and the technology moves away from early adopters. Incentives are becoming more important for vehicle adopters as PEV market entry progresses.

Optimal Incentives for Electric Vehicles at e-Park & Ride Hub with Renewable Energy Source

As electric vehicles’ penetration increases, more impacts on urban systems are observed and related to both driving (e.g., on traffic congestion and reduced pollution) and charging (e.g., on the electrical grid). Therefore, there is a need to design coupled incentive mechanisms. To propose and numerically evaluate such incentives, a game theory model is adopted. Its originality comes from the coupling between the charging cost and the driving decisions: to drive downtown or to charge at an e-Park & Ride hub with solar panels and then take public transport, in order to reach destination. Optimal ticket fares and solar park’s size are computed using real photovoltaic production data.

The economic and environmental impacts of tax incentives for battery electric vehicles in Europe

Vehicle taxes and purchase subsidies have been used frequently to provide incentives for electric vehicle adoption. To examine the role of the incentives in reducing total ownership costs of battery electric vehicles (BEVs), increasing BEV sales, and obtaining environmental benefits from switching to BEVs, we carry out cost–benefit analyses and ordinary least square regressions. We study 10 pairs of BEVs and their internal combustion engine vehicle (ICEV) counterparts across 28 European countries from 2012 to 2014. The results show that, under the incentive schemes, the costs reduced by switching to large BEVs from their ICEV counterparts are larger than the costs reduced by switching to small BEVs from their ICEV counterparts. Owing to the cost-reduction effect, a 10% increase of the total tax incentive leads to an increase in the sales share of BEVs by around 3% on average. Finally, we find that it is still costly to use the tax incentives to reduce CO2 emissions and other environmental externalities through transport electrification, despite recent improvements in greening electricity generation and lowering battery costs.

Evaluation of incentive policies for electric vehicles: An experimental study on Jeju Island

In Korea, electric vehicles (EVs) are considered as a potential solution for counteracting environmental issues that have arisen due to vehicles with internal combustion engine. Therefore, a multitude of incentives have been offered to the consumers but the effectiveness of those incentives varied due to diverse consumer perceptions on various incentives. To evaluate consumer behavior toward the incentives for EVs, this study performed stated preference experiments of actual EV owners. The experiments showed that, compared with the potential consumers, actual EV owners exhibited a greater inconvenience to charging time. For the incentives, EV owners showed different preferences to the different incentive measures. Especially, they have far greater preference for subsidies during their ownership period, such as discounts to the electricity charging rate and operation subsidies, than for those at the time of purchase, such as purchase subsidies and charger installation. These findings suggest that it would be more effective to formulate an incentive policy that reflects diverse consumer behavior toward EV incentive measures.

Electric vehicle and solar energy pilot: Opportunity to address suburban energy challenges

Low- and moderate-income communities in suburban areas are dependent on transportation to meet basic needs. This case study describes an innovative approach by GRID Alternatives and Valley Clean Air Now (Valley CAN) to combine solar rooftop with electric vehicle incentives. Wider deployment of these technologies could decrease costs and increase access to renewable energy and EVs for potentially vulnerable families with high transportation and electricity costs.

Do electric vehicle incentives matter? Evidence from the 50 U.S. states

We estimate the effectiveness of policy incentives for adoption of electric vehicles (EVs) in the 50 U.S. states. We employ a rich dataset of semi-annual state-level new EV vehicle registrations by make and model from 2010 to 2015 and state-level policy instruments that could affect new EV model registrations. We construct two measures of policy, one which aggregates policy instruments that can be assigned a value and a second that aggregates those without explicit values. Using a within model difference-in-difference estimator with high-dimensional fixed effects, we find that a $1000 increase in the value of a state’s model-specific EV policies increases registrations of that model within the state by 5–11%.