Reducing CO2 Emissions in Road Transport Sector

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2011/SOM1/EWG/WKSP3/010 Agenda Item: III-C- 4(c) Reducing CO2 Emissions in Road Transport Sector Submitted by: Japan Automobile Manufacturers Association (JAMA) APEC Cooperative Energy Efficiency Design for Sustainability - Energy Efficient Urban Passenger Transportation San Francisco, United States 14 16 September 2011

Reducing CO 2 Emissions in Road Transport Sector Tomiji Sugimoto Japan Automobile Manufacturers Association, Inc. San Francisco, September 15, 2011

Contents 1. Introduction 2. Cause and Countermeasure of CO 2 3. Success Case in reducing CO 2 in Japan 4. Proposal for Integrated Approach

1. Introduction Transport sector Japan Automobile Manufacturers Association, Inc. Steady increase to 29 billion tons in CO2 emissions 23% of total worldwide CO2 emissions in 2007 73% was generated by road transport. CO2 Emissions in the Global Transport Sector World CO2 Emissions by Sector 2 Road transport sector 73% in 2007 International air transport International maritime transport Other Domestic air transport Domestic maritime transport Rail transport Road transport Transportation 23% Residential/ Service & Other 11% Total world CO2 emissions in 2007: 29 billion tons Industry 20% Power generation 46% Source: World Energy Outlook 2009, International Energy Agency

Improving Air Quality Japan Automobile Manufacturers Association, Inc. Promoting Sustainability in the Road Transport Sector Through a significant reduction of tailpipe-emitted pollutants Countering Global Warming Through a significant reduction of CO2 emissions Conserving Energy Through new energy policies for the oil-dependent transport sector (e.g. the development and supply of alternative fuels) The challenges for sustainable solutions in these three areas Integrated Approach Promotion Driving Sustainability through an Integrated Approach

2. Cause and Countermeasure of CO2 Calculating CO2 Emission Volumes in the Road Transport Sector Emissions intensity : Fuel efficiency performance Activity volume : Total distance travelled 4 CO 2 emissions = Emissions intensity Activity volume = On-road fuel efficiency CO 2 emissions coefficient Total distance travelled Certified fuel Travelling CO 2 emissions = efficiency (km/l) -1 coefficient coefficient (gco 2 /l) Total distance travelled (v-km) Improved by Automotive Technologies Improved by Congestion Mitigation & Eco-Driving Improved by Bio-Fuels Improved by Modal Shifts Notes: 1. km/l: Kilometer/liter are the units of measurement used in Japan. 2. Travelling coefficient represents the ratio of on-road fuel efficiency and certified fuel efficiency based on averages of all in-use vehicles. 3. v-km: Vehicle-kilometers.

Improving Vehicle Fuel Efficiency Japan Automobile Manufacturers Association, Inc. 24.1% increased compared by 2009 in 2020 includes Next- Generation Vehicles. The effect of tax reductions and purchasing subsidies applied to eco-friendly vehicles. The actual fuel efficiency improvement achieved to 16.3km/l in 2009 in Japan. Average JC08 mode fuel efficiency for in-use The effect of tax reductions and purchasing subsidies applied to eco-friendly vehicles 16.3 17.0 Fuel efficiency target for 2020 Fuel efficiency target for 2015 24.1% 20.3 JC08 mode (km/l) Changes in average fuel efficiency for gasoline-engine passenger cars and FY2015 targets

6 Adopted Technologies Fuel efficiency improvement is achieved through step-by-step advances in technology. Engine performance Improved Engine Efficiency Gasoline Engine Direct injection Variable valve timing Low friction 4-valve DOHC EFI Environmental performance Improved Drive System Diesel Engine Engine performance Piezo injector Common rail (180MPa) Common rail DPNR (135MPa) Environmental performance Improved Aerodynamics Improved body configuration Reduced Vehicle Weight Expanded use of lightweight materials Improved body structure Engine performance Integrated vehicle 8AT control 6AT Transmission control Flex lockup CVT Flex start Environmental performance Other Electric power steering Idling prevention Hybridization Reduced Rolling Resistance Low rolling-resistance tires

7 Current & Next-Generation Alternative-Energy Vehicles Next generation vehicles are expanded to 26/571 models in 2009. Flex-Fuel Vehicle Electric Vehicle Hybrid Vehicle Fuel Cell Vehicle Natural Gas Vehicle Plug-In Hybrid Vehicle Clean-Diesel Vehicle Hydrogen Vehicle

8 The Travelling Coefficient CO2 = Fuel efficiency x Travelling coefficient x CO 2 emissions coeffcient x Total distance travelled Travelling coefficient = On-road CO 2 emissions / Certified CO 2 emissions gco 2 /km Use of air conditioner On-road CO2 emissions 43% Certified CO 2 emissions Driving behavior Road congestion Engine warm-up

3. Success Case in reducing CO2 in Japan Upgrading Road Infrastructure Improved road traffic flow increases vehicle travelling speed, Upgrading road networks and infrastructure to reduced road transport CO2 emissions. 9 1.4 1.3 1.2 Travelling Coefficient Values in Congested Traffic (Japan Case Study) Low fuel efficiency 250 200 150 100 Impact of Vehicle Speed on CO2 Emissions * Index: CO2 emissions at 40km/h = 100 1.1 1.0 High fuel efficiency 20 30 40 Average vehicle speed (km/h) 50 0 10 20 30 40 50 60 70 80 90 100 Average vehicle speed (km/h) Source: e-nenpi car owner survey, IRI Commerce & Technology Inc. Source: Japan Automobile Research Institute

10 Japan Automobile Manufacturers Association, Inc. Improved traffic flow JAMA calculated CO2 reduction by new bypass road as 20kt-CO2 per year with our transportation static data. Central Tokyo A Tokyo Case Study 70km/h

11 Onboard Equipment for Eco-driving Wide variety of eco-driving support tools are being installed.

12 Japan Automobile Manufacturers Association, Inc. Customers Wider use of low-carbon vehicles Eco-driving Ten tips for eco-driving being promoted in Japan 1. Accelerate gently 2. Maintain a steady speed 3. Slow down by releasing the accelerator 4. Limit the use of your air conditioner 5. Don t idle your engine 6. Don t warm up your engine before starting off 7. Know your itinerary 8. Check your tire pressure regularly 9. Reduce your load 10.Respect parking regulations

13 Benefits of Eco-driving On-road CO2 emissions are estimated to decrease by roughly 10% through the adoption of fuel-conserving eco-driving practices. Country Impacts on Vehicle Fuel Efficiency of Selected International Eco-driving Program Initiatives Scope of Initiative Source: Workshop on Ecodriving, International Energy Agency (2007) Impact (Short-Term) Impact (Mid-Term) Netherlands National Up 10-20% Up 5-10% Austria National Up 10-15% Up 5-10% Japan -Driver training courses -Eco-driving contests Up 12% Up 25% -National (new drivers) Germany -Professional fleet drivers Up 6-10% -Passenger-car driver training courses Up 10-25% UK Fleet operators/drivers Up 10% Up 6-10% Up 6-8% Up 10-15%

The Total Distance Travelled by Automobiles Worldwide Over 13 trillion vehicle-km The ratio of passenger transport and freight transport was roughly 8 to 2. OECD Member Countries, 2005 (73% of global v-km) OECD Non-Member Countries, 2005 (27% of global v-km) x 1 billion vehicle-km x 1 billion vehicle-km Freight transport Passenger transport Note: Figures are JAMA estimates, based on the following sources: Environmental Data Compendium (for 2006-2007), OECD; Energy Balances of Non-OECD Countries (for 2004-2005), OECD-International Energy Agency; World Motor Vehicle Statistics (Vol. 7, 2008), JAMA; Yearbook of Survey on Motor Vehicle Transport (Vol. 44, No. 13, 2007), Ministry of Land, Infrastructure and Transport (Japan).

15 Proposal for Integrated Approach Integrated Approach Promotion Driving Sustainability through an Integrated Approach Government Automakers Low carbon policy Subsidies Incentives Infrastructure Fuel/Energy Suppliers Consumers High fuel efficiency Next gen. vehicles Diversified fuel/energy Eco-driving Wider use of low-carbon vehicles www.drivingsustainability.com

16 Factors in CO2 Emission Reduction in Japan s Transport Sector CO2 emissions ( x1 million tons ) BAU If no CO2 countermeasures taken 22 11 18 Increased vehicle fuel efficiency Improved traffic flow; Eco-driving; Use of alternative fuels Reduced travel Distances (modal shifts, etc.) 8 Reduced volume of traffic besides vehicles Year source : JAMA

17 Government -Policy, Subsidy, Incentives, Infrastructures Fuel Efficiency Standards - Adoption of fuel efficiency standards in all countries Fuel-Efficient Vehicles Promotion - TAX incentives - Purchase subsidy Acceleration of Replacement with New-Model Vehicles - Replacement incentives Traffic flow Improvement - Intelligent transportation systems (i.e. route guidance, signal control) - Traffic flow design initiative for new cities Infrastructures for next generation vehicles - Battery charge stations - Smart grid - Hydrogen supply stations Fuel / Energy Suppliers -Diversified fuel/energy High Quality of Conventional Fuels Low Carbon Fuels and Energies - Bio-fuels, Cellulosic bio-ethanol fuels and Biomass to liquid fuels - Electric power with renewable energy

18 Assumption of Integrated Approach Effectiveness Peaked out Global CO2 from road transportation sector with the integrated approach implementation. (M-t CO2) 10,000 8,000 6,000 Global CO2 Emissions from Road Transport Sector Current IA plan Without any countermeasures Fuel efficiency improvement Bio-fuel use Traffic flow improvement Adoption of Eco-driving 4,000 10,000 8,000 6,000 4,000 IA Full Opportunity Without any countermeasures 2005 2010 2015 2020 2025 2030 Fuel efficiency improvement Bio-fuel use Traffic flow Improvement Adoption of Eco-driving Accelerated replacement with new models

19/32 Thank you Japan Automobile Manufacturers Association, Inc. http//www.jama.or.jp