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Hybrid cars and HOV lanes

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  • Shewmake, Sharon
  • Jarvis, Lovell

Abstract

The 2005 California Clean Air Access Sticker program offered stickers to owners of hybrid cars allowing unrestricted access to High Occupancy Vehicle lanes. The program was conceived as a zero-cost mechanism to encourage purchase of hybrid cars and to reduce air pollution. Information from sales of used hybrids allows us to estimate sticker market value. We then derive the value of excess HOV space the hybrids occupied, which is considerably greater than the air pollution benefits achieved. A more effective policy would sell space to drivers of any vehicle and use the revenue to stimulate hybrid demand, preferably via direct subsidy.

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  • Shewmake, Sharon & Jarvis, Lovell, 2014. "Hybrid cars and HOV lanes," Transportation Research Part A: Policy and Practice, Elsevier, vol. 67(C), pages 304-319.
    • Handle: RePEc:eee:transa:v:67:y:2014:i:c:p:304-319
    DOI: 10.1016/j.tra.2014.07.004
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    2. Liu, Xiaoling & Sun, Xiaohua & Zheng, Hui & Huang, Dongdong, 2021. "Do policy incentives drive electric vehicle adoption? Evidence from China," Transportation Research Part A: Policy and Practice, Elsevier, vol. 150(C), pages 49-62.
    3. Sheldon, Tamara L. & DeShazo, J.R., 2017. "How does the presence of HOV lanes affect plug-in electric vehicle adoption in California? A generalized propensity score approach," Journal of Environmental Economics and Management, Elsevier, vol. 85(C), pages 146-170.
    4. Wee, Sherilyn & Coffman, Makena & La Croix, Sumner, 2018. "Do electric vehicle incentives matter? Evidence from the 50 U.S. states," Research Policy, Elsevier, vol. 47(9), pages 1601-1610.
    5. Ji, Wei, 2018. "Data-Driven Behavior Analysis and Implications in Plug-in Electric Vehicle Policy Studies," Institute of Transportation Studies, Working Paper Series qt6dw4d18t, Institute of Transportation Studies, UC Davis.
    6. Palmer, Kate & Tate, James E. & Wadud, Zia & Nellthorp, John, 2018. "Total cost of ownership and market share for hybrid and electric vehicles in the UK, US and Japan," Applied Energy, Elsevier, vol. 209(C), pages 108-119.
    7. Tamara L. Sheldon & J. R. DeShazo & Richard T. Carson, 2017. "Electric And Plug-In Hybrid Vehicle Demand: Lessons For An Emerging Market," Economic Inquiry, Western Economic Association International, vol. 55(2), pages 695-713, April.
    8. Tal, Gil & Nicholas, Michael A, 2014. "Exploring the Impact of High Occupancy Vehicle (HOV) Lane Access on Plug-in Vehicle Sales and Usage in California," Institute of Transportation Studies, Working Paper Series qt7hw5899j, Institute of Transportation Studies, UC Davis.
    9. Zhong, Zijia & Lee, Joyoung, 2019. "The effectiveness of managed lane strategies for the near-term deployment of cooperative adaptive cruise control," Transportation Research Part A: Policy and Practice, Elsevier, vol. 129(C), pages 257-270.

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