Towards a Clean and Sustainable Transportation Future

Towards a Clean and Sustainable Transportation Future

More organizations and governmental bodies are committing to low-emission terrestrial transportation.

Addressing the challenges of climate change is a global priority, especially for the terrestrial transportation sector, which requires a thorough overhaul from exploring alternative energy sources to systemic restructuring.

While there’s still much to be done, time is of the essence, and the sooner key players start reacting, the faster progress towards a 100% greenhouse gas emission-free road transport future can be achieved.

In this context, the Drive Electric Campaign shared its annual report, showing how its global network of partners is turning government and corporate commitments into concrete actions.

The report states that 30% of the global transport demand will be zero-emission by 2050, including trucks and buses, two- and three-wheel vehicles, and passenger cars.

This progress marks a significant milestone for the terrestrial transport sector, especially considering that internal combustion vehicles dominated this area a few years ago.

The report also notes that partners are focusing their efforts on achieving real results through the implementation of government policies aligned with road transport.

Through the collective work of all partners, the electric transport market is being bolstered through regulations on energy efficiency/CO2 emissions, government investment, and infrastructure supported by both public and private sectors.

«Our partners conduct specific research, share technical knowledge, and collaborate with policymakers at all levels, from cities and states to nations and multinational associations,» highlights the report.

They also engage business leadership in crucial industries, such as vehicle manufacturers, infrastructure providers, corporate fleets, and investors, encouraging organizations to commit to increasing investment in electric transport.

Moreover, partners have dedicated efforts to secure dozens of intelligent government policies and business actions driving the adoption of emission-free transport.

Thus, the ClimateWorks Foundation has helped to increase the necessary actions to build a sustainable future collectively.

Driving Change

Drive Electric partners facilitate change through technical assistance, workshop participation, capacity building, board involvement, regulation drafting support, research—including article assistance and development—and information exchange across various areas impacting the consolidation of an emission-free ecosystem.

For instance, since 2018, they have participated in developing 318 policies aimed at fostering a zero-emission future, with about 40% achieved in 2022 alone, reaffirming their ongoing commitment to sustainability and fighting climate change, accelerating the global transition to a clean transportation future.

«From landmark policies in the US, the European Union, China, and India to a growing momentum in Latin America, Africa, and Indonesia, our partner network is contributing to real-world changes that align road transport systems with a safe climate,» emphasizes Rebeca Fisher, director of the Drive Electric Campaign.

What is the CMS doing in Chile?

In Chile, the Sustainable Mobility Center is involved in a series of policies and tenders to support the transition to an emission-free terrestrial transportation model.

This includes the «Fuel Economy Standards for Passenger Cars and Medium Vehicles for Chile,» a policy addressing the current design of fuel economy standards for passenger and medium service vehicles in the country.

It focuses on closing the growing gap with other markets in fuel economy but also aims to boost electrification in key segments.

To this end, the CMS developed specific studies to ensure the technical rigor of the proposed regulation. It also supported the Ministry of Energy in carrying out outreach activities and developing key messages about introducing these policies.

Additionally, a working group was formed with the Ministry of Energy and the Ministry of Transport along with other experts to discuss the design and objectives of these policies, allowing for a better assessment of regulatory needs and responding accordingly through rigorous technical analysis or stakeholder outreach.

Furthermore, the CMS advised on the latest public transportation tenders for Santiago de Chile in 2019, supporting introducing of new vehicle technologies into the public transportation system, resulting in almost 1,000 electric buses entering the system to date.

Implementation strategies for the entire fleet and routes tendered in the latest Santiago tenders have been developed. This includes technical and economic analysis as well as forming coalitions around OEMs and financiers. 

CMS has collaborated on the Research and Promotion Grant for Sustainable Mobility, which supports the electrification policy of medium and heavy vehicles in Chile. This collaboration has helped confirm the Ministry of Energy’s support for vehicle electrification, initially through the signing of the global MOU for heavy vehicles led by CalStart. Additionally, heavy vehicles and off-road machinery have been incorporated into the country’s electric mobility strategy.

Key Advances in Electric Transportation in 2022

  • The United States re-entered the electric vehicle race with innovative state and national climate policies, unlocking significant industry investments.
  • The electrification of transport was consolidated as a key component in regulations such as the Inflation Reduction Act (IRA) and the Infrastructure Investment and Jobs Act (IIJA) in the United States. Thanks to this, the transport-related appropriations in the IRA and IIJA amount to over $100 billion in tax credits, grants, and loans.
  • The IRA included a credit for clean commercial vehicles, covering private and leased fleets; grants to states, local governments, and nonprofit school associations to replace buses and heavy vehicles with zero-emission models.
  • Various plans announced aim for 2035 as the tentative date for decarbonizing the passenger vehicle sector, limiting the entry of combustion vehicles, and public financing of fossil fuel projects in the United States.
  • China saw a significant increase in the manufacturing and sales of electric vehicles in cars, trucks, buses, and two-wheeled vehicles, reaching nearly 28% of cars in 2022, as well as 32% of buses, 6% of trucks, and 1.7% of medium and heavy trucks in 2021.
  • China’s national plan to peak carbon emissions by 2030 has set several goals for transportation, including peaking road vehicle oil consumption and reducing the carbon intensity of commercial vehicles by 9.5% compared to 2020. Electric transportation is critical to achieving these goals.
  • Europe became the first continent to advance regulations to ensure the end of polluting vehicles with the approval of the «Fit for 55» policy, which promotes the sale of 100% zero-emission cars and vans by 2035.
  • Clean trucks and buses gained ground with regional policies and global ambition. In 2022, research by Drive Electric’s partners worldwide found that electric trucks, in addition to their climate and health benefits, are increasingly making economic sense.
  • In 2022, the Advanced Clean Truck (ACT) policy, which requires an increasingly large proportion of zero-emission truck sales over several years, was adopted in six U.S. states, representing approximately 20% of the country.
  • In Europe, an essential advancement in 2022 was the Eurovignette, a road charging reform legislation that encourages infrastructure for zero-emission trucks by offering discounts of at least 50% on distance-based road tolls.
  • Sales of clean trucks remain strongest in China, where expanded national and local policies increased electric truck sales to 6% by the end of 2021.

Drive Electric’s partners participated through research, outreach, and advocacy programs in these concrete actions to curb GHG emissions from road transport.

Global Highlights of the Drive Electric Campaign

  • The Beijing government adopted the target of 2 million electric vehicles by 2025. It established a gradual plan towards a zero-emission zone requiring all buses, taxis, and light trucks to be electric by the same year.
  • Shanghai changed its free license plate allocation, eliminating plug-in hybrid vehicles and allowing only zero-emission vehicles. Additionally, they aim for 40% of cars on the road to be electric by 2035.
  • Central African governments increased support for electric vehicles, implementing fiscal, legal, and policy solutions with the support of PNUMA and localized data provided by the Clean Technology Hub and Clean Air Initiative Africa.
  • São Paulo advanced toward 100% zero-emission buses, a powerful signal to the market, given it is one of the cities with the largest bus fleets in Latin America, with over 13,000 buses.
  • Mexico tested its last-mile zero-emission delivery systems in Mexico City and Monterrey after a task force of business leaders and government officials agreed to design and test zero-emission delivery areas.
  • Chile advanced with its ambitious Electromobility Strategy, covering cars, trucks, buses, and off-road machinery, aiming for key segments to become 100% zero-emission by 2035.

You can review the complete and detailed report of the Drive Electric Campaign at the following link.