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The role of efficiency improvements vs. price effects for modeling passenger car transport demand and energy demand—Lessons from European countries

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  • Ajanovic, Amela
  • Haas, Reinhard

Abstract

The objective of this paper is to analyze the impact of changes in fuel prices and fuel intensity (i.e. liters of fuel used per 100kilometers) on overall fuel (gasoline and diesel) consumption and on the demand for vehicle km driven in car passenger transport. This is important for deriving effective policy portfolios consisting of fuel taxes and technical standards such as fuel intensity mandates or specific CO2 emission limits.

Suggested Citation

  • Ajanovic, Amela & Haas, Reinhard, 2012. "The role of efficiency improvements vs. price effects for modeling passenger car transport demand and energy demand—Lessons from European countries," Energy Policy, Elsevier, vol. 41(C), pages 36-46.
    • Handle: RePEc:eee:enepol:v:41:y:2012:i:c:p:36-46
    DOI: 10.1016/j.enpol.2011.03.086
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    References listed on IDEAS

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    2. Solaymani, Saeed & Kari, Fatimah, 2013. "Environmental and economic effects of high petroleum prices on transport sector," Energy, Elsevier, vol. 60(C), pages 435-441.
    3. Ajanovic, Amela & Haas, Reinhard, 2017. "The impact of energy policies in scenarios on GHG emission reduction in passenger car mobility in the EU-15," Renewable and Sustainable Energy Reviews, Elsevier, vol. 68(P2), pages 1088-1096.
    4. Bénédicte Meurisse & Maxime Le Roy, 2014. "Towards a clean vehicle fleet: from households’ valuation of fuel efficiency to policy implications," Working Papers hal-04141349, HAL.
    5. Bénédicte Meurisse & Maxime Le Roy, 2014. "Towards a clean vehicle fleet: from households’ valuation of fuel efficiency to policy implications," Working Papers 1406, Chaire Economie du climat.
    6. Ajanovic, Amela & Schipper, Lee & Haas, Reinhard, 2012. "The impact of more efficient but larger new passenger cars on energy consumption in EU-15 countries," Energy, Elsevier, vol. 48(1), pages 346-355.
    7. Cassidy, Daniel & de Bruin, Kelly C, 2025. "Evaluating transport decarbonisation policies under carbon budget constraints: The role of carbon pricing and ICE bans," Papers WP815, Economic and Social Research Institute (ESRI).
    8. Adom, Philip Kofi & Amakye, Kwaku & Barnor, Charles & Quartey, George & Bekoe, William, 2016. "Shift in demand elasticities, road energy forecast and the persistence profile of shocks," Economic Modelling, Elsevier, vol. 55(C), pages 189-206.
    9. Muhammad Omer, 2018. "Estimating Elasticity of Transport Fuel Demand in Pakistan," SBP Working Paper Series 96, State Bank of Pakistan, Research Department.
    10. Rosal, Ignacio del, 2022. "European dieselization: Policy insights from EU car trade," Transport Policy, Elsevier, vol. 115(C), pages 181-194.
    11. Hössinger, Reinhard & Link, Christoph & Sonntag, Axel & Stark, Juliane, 2017. "Estimating the price elasticity of fuel demand with stated preferences derived from a situational approach," Transportation Research Part A: Policy and Practice, Elsevier, vol. 103(C), pages 154-171.
    12. Carlena Cochi Ficano & Patrick Thompson, 2014. "Estimating Rebound Effects in Personal Automotive Transport: Gas Price and the Presence of Hybrids," The American Economist, Sage Publications, vol. 59(2), pages 167-175, November.
    13. Huang, Junbing & Chen, Xiang & Cai, Xiaochen & Zou, Hong, 2021. "Assessing the impact of energy-saving R&D on China’s energy consumption: Evidence from dynamic spatial panel model," Energy, Elsevier, vol. 218(C).
    14. Sylvain Weber & Mehdi Farsi, 2014. "Travel distance, fuel efficiency, and vehicle weight: An estimation of the rebound effect using individual data in Switzerland," IRENE Working Papers 14-03, IRENE Institute of Economic Research.
    15. Rasti-Barzoki, Morteza & Moon, Ilkyeong, 2020. "A game theoretic approach for car pricing and its energy efficiency level versus governmental sustainability goals by considering rebound effect: A case study of South Korea," Applied Energy, Elsevier, vol. 271(C).
    16. Dimitropoulos, Alexandros & Oueslati, Walid & Sintek, Christina, 2018. "The rebound effect in road transport: A meta-analysis of empirical studies," Energy Economics, Elsevier, vol. 75(C), pages 163-179.

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