A COMPARISON OF ESTIMATES OF COST-EFFECTIVENESS OF ALTERNATIVE FUELS AND VEHICLES FOR REDUCING EMISSIONS

The cost-effectiveness ratio (CER) is a measure of the monetary value of resources expended to obtain reductions in emissions of air pollutants. Properly used, the CER can lead to selection of the most effective sequence of pollution reduction options. Derived with different methodologies and technical assumptions, (CER) estimates for alternative fuel vehicles (AFVs) have varied widely among previous studies. In one of several explanations of CER differences, this report used a consistent basis for fuel price to re-estimate CERs for AFVs in reduction of emissions of criteria pollutants, toxics, and greenhouse gases. The re-estimated CERs for a given fuel type have considerable differences due to non-fuel costs and emissions reductions, but the CERs do provide an ordinal sense of cost-effectiveness. Regression analysis suggests that different assumptions across studies can sometimes have predictable effects on the CER estimate of a particular AFV type. However, the relative differences in cost and emissions reduction assumptions can be large, and the effect of these differences on the CER estimate is often not predictable. Decomposition of CERs suggests that methodological differences can make large contributions to CER differences among studies. Resolution of CER differences could require the community of analysts and policy makers to establish methodological ground rules and to agree on premises for determination of critically important technical characteristics such as vehicle emissions profiles.

  • Supplemental Notes:
    • Managed by Lockheed Martin Energy Systems, Inc. for the U.S. Department of Energy under Contract No. DE-AC05-84OR21400.
  • Corporate Authors:

    Oak Ridge National Laboratory

    P. O. Box 2008
    Oak Ridge, TN  United States  37831
  • Authors:
    • Hadder, G R
  • Publication Date: 1995-11

Language

  • English

Media Info

  • Features: Appendices; Figures; References; Tables;
  • Pagination: 94 p.

Subject/Index Terms

Filing Info

  • Accession Number: 00727048
  • Record Type: Publication
  • Report/Paper Numbers: ORNL/TM-13110
  • Files: TRIS
  • Created Date: Oct 8 1996 12:00AM