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Impact of service station networks on purchase decisions of alternative-fuel vehicles

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  • Achtnicht, Martin
  • Bühler, Georg
  • Hermeling, Claudia

Abstract

In this paper, we study the impact of fuel availability on demand for alternative-fuel vehicles, using data from a survey of some 600 potential car buyers in Germany. The survey was conducted as a computer-assisted personal interview and included a choice experiment involving cars with various fuel types. Applying a standard logit model, we show that fuel availability influences choices positively, but its marginal utility diminishes with supply. Furthermore, we derive consumers' marginal willingness to pay for an expanded service station network. The results suggest that a failure to expand the availability of alternative fuel stations represents a significant barrier to the widespread adoption of alternative-fuel vehicles.

Suggested Citation

  • Achtnicht, Martin & Bühler, Georg & Hermeling, Claudia, 2012. "Impact of service station networks on purchase decisions of alternative-fuel vehicles," ZEW Discussion Papers 08-088 [rev.], ZEW - Leibniz Centre for European Economic Research.
    • Handle: RePEc:zbw:zewdip:08088r
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    2. Engerer, Hella & Horn, Manfred, 2010. "Natural gas vehicles: An option for Europe," Energy Policy, Elsevier, vol. 38(2), pages 1017-1029, February.
    3. Valeri, Eva & Danielis, Romeo, 2015. "Simulating the market penetration of cars with alternative fuelpowertrain technologies in Italy," Transport Policy, Elsevier, vol. 37(C), pages 44-56.
    4. Kreuzer, Fabian Maximilian & Wilmsmeier, Gordon, 2014. "Energy efficiency and mobility: A roadmap towards a greener economy in Latin America and the Caribbean," Documentos de Proyectos 37148, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    5. J�r�me Massiani, 2013. "SP surveys for electric and alternative fuel vehicles: are we doing the right thing?," Working Papers 2013_01, Department of Economics, University of Venice "Ca' Foscari".
    6. Daziano, Ricardo A. & Chiew, Esther, 2012. "Electric vehicles rising from the dead: Data needs for forecasting consumer response toward sustainable energy sources in personal transportation," Energy Policy, Elsevier, vol. 51(C), pages 876-894.
    7. Oliveira, Gabriela D. & Roth, Richard & Dias, Luis C., 2019. "Diffusion of alternative fuel vehicles considering dynamic preferences," Technological Forecasting and Social Change, Elsevier, vol. 147(C), pages 83-99.
    8. Aurélie Glerum & Lidija Stankovikj & Michaël Thémans & Michel Bierlaire, 2014. "Forecasting the Demand for Electric Vehicles: Accounting for Attitudes and Perceptions," Transportation Science, INFORMS, vol. 48(4), pages 483-499, November.
    9. Rudolph, Christian, 2016. "How may incentives for electric cars affect purchase decisions?," Transport Policy, Elsevier, vol. 52(C), pages 113-120.
    10. Aileen Lam, 2013. "Projections of future emissions and energy use from passenger cars as a result of policies in the EU with a dynamic model of technological change," 4CMR Working Paper Series 005, University of Cambridge, Department of Land Economy, Cambridge Centre for Climate Change Mitigation Research.
    11. Biscoff, Robert & Akple, Maxwell & Turkson, Richard & Klomegah, Wise, 2012. "Scenario of the emerging shift from gasoline to LPG fuelled cars in Ghana: A case study in Ho Municipality, Volta Region," Energy Policy, Elsevier, vol. 44(C), pages 354-361.
    12. Alexandros Dimitropoulos & Piet Rietveld & Jos N. van Ommeren, 2011. "Consumer Valuation of Driving Range: A Meta-Analysis," Tinbergen Institute Discussion Papers 11-133/3, Tinbergen Institute.
    13. Ernst, Christian-Simon & Hackbarth, André & Madlener, Reinhard & Lunz, Benedikt & Uwe Sauer, Dirk & Eckstein, Lutz, 2011. "Battery sizing for serial plug-in hybrid electric vehicles: A model-based economic analysis for Germany," Energy Policy, Elsevier, vol. 39(10), pages 5871-5882, October.
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    15. Gómez Vilchez, Jonatan J. & Jochem, Patrick, 2019. "Simulating vehicle fleet composition: A review of system dynamics models," Renewable and Sustainable Energy Reviews, Elsevier, vol. 115(C).

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    More about this item

    Keywords

    Alternative Fuels; Automobile; Fueling Infrastructure; Stated Preference;
    All these keywords.

    JEL classification:

    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise

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