IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v13y2021i13p7348-d586024.html
   My bibliography  Save this article

The Way towards an Energy Efficient Transportation by Implementation of Fuel Economy Standards: Fuel Savings and Emissions Mitigation

Author

Listed:
  • Ahmad Zuhairi Muzakir

    (Transdisciplinary School (TD School), University of Technology Sydney, 15 Broadway, Ultimo, Sydney, NSW 2007, Australia)

  • Eng Hwa Yap

    (School of Intelligent Manufacturing Ecosystem, XJTLU Entrepreneur College (Taicang), Xi’an Jiaotong-Liverpool University, 111 Ren’ai Road, Suzhou Industrial Park, Suzhou 215123, China)

  • Teuku Meurah Indra Mahlia

    (Centre for Green Technology, Faculty of Engineering & Information Technology, University of Technology Sydney, 15 Broadway, Ultimo, Sydney, NSW 2007, Australia)

Abstract

Final energy use in Malaysia by the transport sector accounts for a consistent share of around 40% and even more in some years within the past two decades. Amongst all modes of transport, land transport dominates and within land transport, private travels are thought to be the biggest contributor. Personal mobility is dominated by the use of conventional internal-combustion-engine-powered vehicles (ICE), with the ownership trend of private cars has not shown any signs of tapering-off. Fuel consumption by private cars is currently not governed by a national policy on fuel economy standards. This is in contrast against not only the many developed economies, but even amongst some of the ASEAN neighbouring countries. The lack of fuel economy standards has resulted in the loss of potentially tremendous savings in fuel consumption and emission mitigation. This study analysed the increase in private vehicle stock to date, the natural fuel economy improvements brought by technology in a business as usual (BAU) situation, and the additional potential energy savings as well as emissions reduction in the ideal case of mandatory fuel economy standards for motor vehicles, specifically cars in Malaysia. The model uses the latest available data, relevant and most current parameters for the simulation and projection of the future scenario. It is found that the application of the fuel economy standards policy for cars in Malaysia is long overdue and that the country could benefit from the immediate implementation of fuel economy standards.

Suggested Citation

  • Ahmad Zuhairi Muzakir & Eng Hwa Yap & Teuku Meurah Indra Mahlia, 2021. "The Way towards an Energy Efficient Transportation by Implementation of Fuel Economy Standards: Fuel Savings and Emissions Mitigation," Sustainability, MDPI, vol. 13(13), pages 1-17, June.
    • Handle: RePEc:gam:jsusta:v:13:y:2021:i:13:p:7348-:d:586024
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/13/13/7348/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/13/13/7348/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Clerides, Sofronis & Zachariadis, Theodoros, 2008. "The effect of standards and fuel prices on automobile fuel economy: An international analysis," Energy Economics, Elsevier, vol. 30(5), pages 2657-2672, September.
    2. Atabani, A.E. & Badruddin, Irfan Anjum & Mekhilef, S. & Silitonga, A.S., 2011. "A review on global fuel economy standards, labels and technologies in the transportation sector," Renewable and Sustainable Energy Reviews, Elsevier, vol. 15(9), pages 4586-4610.
    3. Portney, Paul R. & Parry, Ian W.H. & Gruenspecht, Howard K. & Harrington, Winston, 2003. "The Economics of Fuel Economy Standards," Discussion Papers 10863, Resources for the Future.
    4. Robert W. Crandall, 1992. "Policy Watch: Corporate Average Fuel Economy Standards," Journal of Economic Perspectives, American Economic Association, vol. 6(2), pages 171-180, Spring.
    5. Paul R. Portney & Ian W.H. Parry & Howard K. Gruenspecht & Winston Harrington, 2003. "Policy Watch: The Economics of Fuel Economy Standards," Journal of Economic Perspectives, American Economic Association, vol. 17(4), pages 203-217, Fall.
    6. Siti Indati Mustapa & Hussain Ali Bekhet, 2015. "Investigating Factors Affecting CO2 Emissions in Malaysian Road Transport Sector," International Journal of Energy Economics and Policy, Econjournals, vol. 5(4), pages 1073-1083.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Liu, Weiwei, 2015. "Gasoline taxes or efficiency standards? A heterogeneous household demand analysis," Energy Policy, Elsevier, vol. 80(C), pages 54-64.
    2. Santos, Georgina & Behrendt, Hannah & Maconi, Laura & Shirvani, Tara & Teytelboym, Alexander, 2010. "Part I: Externalities and economic policies in road transport," Research in Transportation Economics, Elsevier, vol. 28(1), pages 2-45.
    3. Blumkin, Tomer & Margalioth, Yoram & Sadka, Efraim, 2008. "Incorporating Affirmative Action into the Welfare State," Foerder Institute for Economic Research Working Papers 275709, Tel-Aviv University > Foerder Institute for Economic Research.
    4. Graff Zivin, Joshua S. & Kotchen, Matthew J. & Mansur, Erin T., 2014. "Spatial and temporal heterogeneity of marginal emissions: Implications for electric cars and other electricity-shifting policies," Journal of Economic Behavior & Organization, Elsevier, vol. 107(PA), pages 248-268.
    5. Stephen P. Holland & Jonathan E. Hughes & Christopher R. Knittel, 2009. "Greenhouse Gas Reductions under Low Carbon Fuel Standards?," American Economic Journal: Economic Policy, American Economic Association, vol. 1(1), pages 106-146, February.
    6. Whistance, Jarrett & Thompson, Wyatt, 2014. "The role of CAFE standards and alternative-fuel vehicle production credits in U.S. biofuels markets," Energy Policy, Elsevier, vol. 74(C), pages 147-157.
    7. Barla, Philippe & Proost, Stef, 2012. "Energy efficiency policy in a non-cooperative world," Energy Economics, Elsevier, vol. 34(6), pages 2209-2215.
    8. Ahmed, Rasha & Stater, Mark, 2017. "Is energy efficiency underprovided? An analysis of the provision of energy efficiency in multi-attribute products," Resource and Energy Economics, Elsevier, vol. 49(C), pages 132-149.
    9. Achim Voß, 2015. "How Disagreement About Social Costs Leads to Inefficient Energy-Productivity Investment," Environmental & Resource Economics, Springer;European Association of Environmental and Resource Economists, vol. 60(4), pages 521-548, April.
    10. Austin, David & Dinan, Terry, 2005. "Clearing the air: The costs and consequences of higher CAFE standards and increased gasoline taxes," Journal of Environmental Economics and Management, Elsevier, vol. 50(3), pages 562-582, November.
    11. Gilbert E. Metcalf, 2009. "Market-Based Policy Options to Control U.S. Greenhouse Gas Emissions," Journal of Economic Perspectives, American Economic Association, vol. 23(2), pages 5-27, Spring.
    12. Mahlia, T.M.I. & Tohno, S. & Tezuka, T., 2012. "History and current status of the motor vehicle energy labeling and its implementation possibilities in Malaysia," Renewable and Sustainable Energy Reviews, Elsevier, vol. 16(4), pages 1828-1844.
    13. von Rosenstiel, Dirk Peters & Heuermann, Daniel F. & Hüsig, Stefan, 2015. "Why has the introduction of natural gas vehicles failed in Germany?—Lessons on the role of market failure in markets for alternative fuel vehicles," Energy Policy, Elsevier, vol. 78(C), pages 91-101.
    14. Thomas Klier & Joshua Linn, 2011. "Corporate Average Fuel Economy Standards and the Market for New Vehicles," Annual Review of Resource Economics, Annual Reviews, vol. 3(1), pages 445-462, October.
    15. Michael L. Anderson & Maximilian Auffhammer, 2014. "Pounds That Kill: The External Costs of Vehicle Weight," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 81(2), pages 535-571.
    16. Hyungwoo Lim & Jaehyeok Kim & Ha-Hyun Jo, 2020. "Population Age Structure and Greenhouse Gas Emissions from Road Transportation: A Panel Cointegration Analysis of 21 OECD Countries," IJERPH, MDPI, vol. 17(21), pages 1-18, October.
    17. Skeete, Jean-Paul, 2017. "Examining the role of policy design and policy interaction in EU automotive emissions performance gaps," Energy Policy, Elsevier, vol. 104(C), pages 373-381.
    18. Blumkin, Tomer & Margalioth, Yoram & Sadka, Efraim, 2009. "Incorporating affirmative action into the welfare state," Journal of Public Economics, Elsevier, vol. 93(9-10), pages 1027-1035, October.
    19. Brozovic, Nicholas & Ando, Amy Whritenour, 2009. "Defensive purchasing, the safety (dis)advantage of light trucks, and motor-vehicle policy effectiveness," Transportation Research Part B: Methodological, Elsevier, vol. 43(5), pages 477-493, June.
    20. West, Jeremy & Hoekstra, Mark & Meer, Jonathan & Puller, Steven L., 2017. "Vehicle miles (not) traveled: Fuel economy requirements, vehicle characteristics, and household driving," Journal of Public Economics, Elsevier, vol. 145(C), pages 65-81.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:13:y:2021:i:13:p:7348-:d:586024. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.