Transportation

Stockholm, Sweden

Stockholm's clean vehicles are slashing 200,000 tons C02 annually

What is it?

Clean Vehicles in Stockholm is a program to get all vehicles to become clean vehicles. This means that all cars must either use alternative fuels or emit less than 120g CO2/km (typically hybrid or extremely small vehicles). The program has been used in combination with the congestion charge to help stimulate the clean vehicle market and reduce emissions in Stockholm.

Moreover, the program has contributed towards a dramatic shift in the Swedish vehicle and fuels market. Stockholm – together with other municipalities and private consumers – has stimulated the growth of alternative fuels and transformation of public and private fleets. In June 2008, 62% of new cars sold used alternative fuels (ie. not gasoline) in Sweden.

How does it work?

The Clean Vehicles program set out a long-term objective of reaching 5% of the market for clean vehicles by 2010. By working with key stakeholders such as businesses and manufacturers, Stockholm encouraged introduction of clean vehicles to the market. Tax discounts on clean vehicles and alternative fuels were negotiated with the national government, and supply of alternative fuels became mandatory for most pump stations. This enabled the rapid development of supply infrastructure.

Use of a wide range of incentives, such as free parking, have also played a role in stimulating consumer demand for clean vehicles. With demand growing, the introduction of the congestion charge to Stockholm acted as a catalyst, as clean vehicles do not have to pay the daily charge. The congestion charge thus had a dual effect, by reducing the volume of existing transport and consequent emissions, and by stimulating the growth of clean vehicle and fuel markets.

Key results

• Clean vehicles are responsible for reductions of at least 200,000 tCO2 per year; 100,000 tCO2 from the use of ethanol at 5% blend (E5) in the gasoline mix and 100,000 tCO2 from 35,000 clean vehicles operating in the Stockholm area.
• Stockholm has already met its own target to see 35% of all vehicles sold in the city being clean vehicles by 2010 – in the first five months of 2008, the figure was 43%.
• 18% of new car sold in Sweden during 2007 were clean vehicles; from January-June 2008, 31% of new car sales were clean vehicles.
• By the end of 2008, over 50% of models offered on the Swedish market will be “flexi-fuel”, which can operate on any mix of gasoline and ethanol – “flexi-fuel” cars account for 70% of new clean vehicle sales.
• Ethanol consumed in Sweden is predominantly sourced from sugar cane and forestry waste. Including production and transportation of this ethanol, a national 440,000 tCO2 annual emissions reduction was achieved in 2007 from the use of ethanol in clean vehicles when compared to fossil fuels.
• This figure is expected to rise to around 535,000 tCO2 in 2008 and excludes clean vehicles running on other fuels such as biogas.
• The congestion charge reduced traffic by around 14%, increasing travelling times and reducing emissions by around 25,000 tCO2 per year.

To put these figures into perspective, in 2006 greenhouse gas emissions from the transport sector were around 20 million tCO2e – 30.5% of Sweden’s national total. If Sweden were to have used gasoline instead of ethanol in vehicles during 2007, national emissions would have risen by 0.7% and emissions from the transport sector by 2.2%. Between 1990-2006, Sweden has reduced greenhouse gas emissions by 8.7%. The use of ethanol in vehicles accounts for 7% of the 6.2 million tCO2e reduced.

Next steps

• By 2025 100% public transport in Stockholm will be clean vehicles
• By 2010 100% of waste collection vehicles in Stockholm will be clean vehicles
• By 2009 100% taxis driving for the public in Stockholm will be clean vehicles
• By 2009 there will be 2,400 fuelling stations in Sweden offering renewable fuels, out of 3,800 in total.

Application

• A survey showed that private companies buy almost 70% of the new light duty vehicles. After 2-3 years of use, these vehicles are sold to private citizens. Hence, companies are a main target group to convince to shift to clean vehicles.
• Car dealers promote their vehicles. They provide a test fleet where companies can use a car for free for one week. They also hold seminars and campaigns.
• Initially, companies with large fleets, like taxi and delivery services were considered to be the ideal stakeholders, as comparatively few car models and rather few fuelling stations would be needed. It showed however that biogas could not compete economically with diesel taxis and that the available models of biogas transporters were not suitable due to weak performance. Instead, smaller companies with an environmental profile were the initial buyers.
• Journalists are an important target group as they will spread information to many potential buyers of AFVs and increase the common awareness of both AFVs and the emission problems. Furthermore, they put pressure on fuel providers and contribute to building up a demand for alternative fuels.
• The co-operation with fuel providers and car dealers has been important to gain interest and credibility among the potential buyers of AFVs. In this co-operation there has been a clear distinction between neutral information and the industry’s marketing.
• When discussing with private companies it is crucial to have hands-on experience of driving, fuelling and service of alternative vehicles to be trustworthy. To this end, a municipal fleet is a necessity. Setting a good example is also of importance when requiring transport providers to change to AFVs. As bad performance by a vehicle model may be disastrous for the reputation of all AFVs, it is good to test out new models and technologies in a municipal fleet before promoting them widely to private companies.