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									POLICY EFFECTIVENESS – HOW TO CHOOSE AND IMPLEMENT POLICIES THAT
CAN HELP TO FACILITATE DEPLOYMENT OF SUSTAINABLE ROAD TRANSPORT
TECHNOLOGIES
                Ingo Bunzeck, Energy research Centre of the Netherlands-Unit Policy Studies, +31 (0) 224 56 8263, bunzeck@ecn.nl
          Martine Uyterlinde, Energy research Centre of the Netherlands-Unit Policy Studies, +31 (0) 224 56 4369, uyterlinde@ecn.nl
                Hein de Wilde, Energy research Centre of the Netherlands-Unit Policy Studies, +31 (0) 224 56 4917, dewilde@ecn.nl


Overview
It is the main objective of the EU ALTERMOTIVE1 project to provide policy makers and stakeholders with effective policies
that can help to increase the share of sustainable road transport technologies (e.g. biofuels, CNG, hydrogen, electric vehicles).
Policies that facilitate the deployment of alternative fuels and alternative automotive technologies are for example tax
exemptions and regulatory incentives such as the zero emission vehicle mandate in California.

In workpackage five of the Altermotive project it is investigated which policies are most suitable to accelerate the introduction
of alternative transport technologies in the market. As the cost of these alternative technologies is usually not (yet) competitive
with existing mature technologies, which have a higher market penetration, there is a need for policy support of the new and
desired technologies. Over time, new technologies will reach cost competitiveness and the policy measures can be faded out.
Policies can be designed in a generic way or technology specific. Generic policies can stimulate broader targets such as
sustainability, nevertheless there are not appropriate to provide support for a particular technology. However for each
technology different economic and non-economic barriers exist that have to be separately analyzed and approached with tailor-
made policy measures. Effective policies need to be implemented depending on the current stage of the technology in order to
provide support for overcoming specific barriers and to reach the next stage, eventually become more widespread towards mass
market penetration. In this workpackage, we will research which policy options exist for the alternative fuel technologies
considered in the Altermotive project and provide recommendations which measures should be undertaken at which market
stage. The results will be cross-checked with 80 recent case studies on alternative fuels where policies have been applied.


Methods
A two-step approach will be used to evaluate the policy effectiveness and create a toolbox that shows generic and technology-
specific policies for different sustainable road transport technologies. First, a solid theoretical framework will be developed
based on a review of a number of existing technologies and a policy portfolio regarding sustainable road transport. For the
technology analysis a innovation perspective will be applied that allows to locate each technology in its respective market
development phase. Policies will be divided into generic, i.e. facilitating sustainable transport in general and more technology
specific, i.e. mandates on the deployment of electric vehicles. In a separate exercise, the effect of taxation (fuel taxes,
registration tax) schemes in transport and on energy efficiency of cars are analyzed to cover also technologies that have already
reached market maturity. As an example, policies that can be implemented along the development trajectory for hydrogen fuel
cells are shown in figure 1.




Figure 1: Policy options for hydrogen along the development trajectory (HyLights, 2007)

1
 ALTERMOTIVE is a project financed under the auspices of the Intelligent Energy Europe Programme (IEE) and runs for 30
months from October 2008 to March 2011. www.alter-motive.org
All policies will be adjusted to the specific barriers they tackle along the development trajectory and therefore already
providing a first overview of the possible technology-policy combinations. The overview will be further bolstered by outcome
of a thorough literature research on policy effectiveness.

In the second step, the preliminary technology-policy overview is verified by means of a cross-check against real-life examples
were policies have been deployed and how effective theses policies have proven to be. Within Altermotive, 80 case studies
regarding the introduction of sustainable road transport have already been identified that are located all over Europe. The
effectiveness of the policy is measured against the goals that the policy was once designed for. By means of questionnaires, it
will be evalutated which measures were undertaken in the specific cases and in which context. Sometimes the successful
deployment of a new technology not only depends on the choice of an effective policy, but also on other circumstances that can
have an impact, such as specific location criteria or previous experiences of the users. It is important to recognize the relevance
of political and technical factors which were prevailing in the case study. Otherwise, applying measures that have been
successful elsewhere could fail in another place because of missing framework conditions.

The case studies provide also the tested for our assumptions from the methodological framework. It is checked if and how
policies match with the suggestions. If necessary, the methodological framework can be extended or adjusted with the
experiences gained from the analysis of the case studies. The cross-check with the real-life examples is supposed to bolster the
robustness of the outcomes.

Results
The results of this task will include an overview of sustainable road transport technologies that have been allocated depending
on their respective stage on a technology trajectory. The overview is completed by a portfolio of generic and technology
specific policies that can be implemented according to the different stages of technological development over time. Together
with examples of recent policy implementations from the case studies in alternative transport, it provides a tool for policy
makers and stakeholders that can support the design and planning of prospective policies. The toolbox should take shape of a
computer program that allows the selection of desired technology by the user and, after determination of the barriers according
to the stage suggests suitable policies that can be implemented to facilitate the introduction of technology. The toolbox will take
into account existing framework conditions from successful case studies.

Conclusions
No conclusions can be drawn yet because work is still in progress as this abstract has been written. However, it is expected that
results will be available upon date for full submission.

References

Californian Air Resource Board (2008): The Zero Emission Vehicle Program - 2008

Gallagher, K.S., J.P. Holdren and A.D. Sagar (2006): Energy Technology Innovation. Annual Review of Environment and
Resources, Vol. 31, pp. 193-237

HyLights (2007): Policy support mechanisms for hydrogen use in transport, www.hylights.eu

IEA (2008): Deploying Renewables – Principles for effective Policies, International Energy Agency, Paris

Lund, P.(2007): Effectiveness of policy measures in transforming the Energy System. Energy Policy 35 (2007), pp. 627-639

								
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