United States Department of Transportation
i
The Cost-Effectiveness of Alternative Policies for Reducing GHG emissions in the Freight Sector
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2018-12-01
[PDF-693.83 KB]
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Edition:Final report (Jan. 2018–Dec. 2018)
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Abstract:The authors integrated a route-choice model with a multi-market simulation model to evaluate the effectiveness of alternative public policies that stimulate a faster adoption of cleaner technologies to reduce GHG emissions in the freight sector. Specifically, they illustrate the capabilities of the model by simulating fuel economy values for EPA’s Phase 1 regulations and ZEV’s. Traditionally, the evaluation of the potential of alternative technologies for climate mitigation starts with simple lifecycle analysis (LCA) of the GHG emissions resulting from various technologies, including all phases of its production and use. However, if public policies that support the same technology result in different multi-market and route-level adjustments, and therefore GHG emissions impacts, per unit of the technology added to the economy, technology-based LCA metrics may result in estimates of emissions savings that are misleading. The model developed here allows for capturing economy-wide GHG emissions that are generated whenever any of the agents in the model, directly or indirectly, adjusts their behavior in response to policies introduced in the freight sector that aimed to reduce GHG emissions in that sector. Here simulations should be interpreted as illustrative of the capabilities of the model developed. In future work, the authors will continue to improve on the calibration, which will allow for more precise quantification of the impacts of alternative policies.
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