GE 541 Lecture 10

Air Pollution: Policies & Implementation

Motor Vehicle Air Pollution Control Act of 1965

3 Major Revisions - 1970 - 1977 and - 1990 Amendments

A. National technology mandates on auto manufacturers

(Emission Control Systems) and oil companies (Market Cleaner Funds)

B. Mandates on state governments to curb motorist’s auto use & maintain emission control systems in working order

C. Requirements that transport infrastructure investments be consistent with NAAQS.

3 Different Approaches

Policies have achieved important successes

Between 1970 & 1995 VMT doubled, but all auto emissions declined on a vehicle mile basis

Ambient air quality has improved in SMSAs

Still Air Quality still a challenge

EPA has new standards for ozone and particulate matter

Also GHG issue

An assessment of the effectiveness of these policies

Have all three elements of US strategy contributed to effectiveness

Strategy: 1. Successful

2. Changing personal behavior?

3. Useful

Overall

Impacts of Air Pollutants

Ozone - lung tissues & functions

PM - respiratory problems

CO - O2 delivery to blood

Lead - affects major organs, especially in children

Nox - lungs & respiratory functions

Regulatory Standards

National Ambient Air Quality Standards (NAAQS) - set exclusively on the basis of their effects on human health, permitting CB considerations, among others, to come into play only in the choice of policies to achieve the health- based standards.

EPA periodically reviews the standards.

Ozone & PM standards reviewed in 1997.

Total Vehicle Miles Traveled and Highway Vehicle Emissions, 1970 - 95

Great Success

Between 1970 & 1996

Lead Emissions by 98%CO by 31%VOC by 38%

However,Agg. Nox by 8% (declined on per mile basis)Particulates by 137%

Non Attainment Areas

1990 1997

92 (ozone) 59 (ozone)

42 (CO) 28 (CO)

Vehicle Miles more than 100% (1970 - 95%)

Between 1970 - 95CO emissions 39% by VMT 72%Nox 0.9% 55%PM 34% 70%Lead 99.9% > 99.9%

Percentage Change in Transportation Emissions for Selected Major Metropolitan Areas, 1985 - 94

Every SMSA has benefited in the 1985 - 94 era

Federal Emission Standards for Passenger Cars (grams per mile)

Gasoline Cars (1994 standards) designed to meet 1994 standards, emit

97% less HC

96% less CO

88% less Nox

73% less PM

than the uncontrolled vehicles prior to 1960s cars

Technology - Forcing Strategy

- Mass production of catalytic converters

- 50,000 mile useful lives

- Auto industry resistant this pace

- Adjustments made

However, many SMSAs could not meet NAAQS under 1977 amendments

1990 amendments enacted under Bush I

(Reagan government objected)

1990 Act - a new round of emissions reductions

1990 law (like its predecessors) authorized California to impose stricter standards

Emissions < than Tier 1 (1990 law)

Zero emission vehicles by 1998, 10% market share by 2003.

Other states can opt out for California standards

California standards for 40% of auto market

National Low Emitting Vehicles (NLEV)

Recent push for hybrid & electric vehicles

Fuel Standards

1990 act banning lead by 1995

also ‘oxygenated’ fuel in winter to reduce CO in NAAsand ‘reformulated’ gasoline in summer to reduce HC

A small number of firms targeted - significant change in product technology

Sound and fury - litigation & negotiation

Job loss & inflation vs. improved air quality

Cost Effectiveness of Technology Measures in Reducing Hydrocarbon Emissions (dollars)

Early control efforts highly cost effective - also gasoline reformulations

California cars and alternative vehicles - higher costs for them

Experimental technologies different

Changing driver behavior

Reducing use difficult

Vehicle maintenance progress - better success

Transportation Controls

- Parking supply restrictions

- Taxes & surcharges on parking

- Downtown access restrictions

- Mandatory I & M for emission control devices

- Retrofit of vechiles with control devices

Such policies highly controversial

Many states refused to submit transport control plans

EPA developed plans for 19 SMSAs (that had policies many states would not buy)

Difficulty in implementing such policies

Congress enacted amendments restricting EPA’s authority to use price-based policies (road user tolls & parking surchages)

EPA abandoned Federal Control Plans

1990 Act gave states latitude in drawing up implementation plans - but had two penalties

Two Sanctions:

- Denial of Federal Highway Aid - Imposition of stricter new-source offset requirements

Threat of funds loss if transportation plans inconsistent with air quality

1990 Act strengthened by 1991 ISTEA (Intermodal SurfaceTransportation Efficiency Act)

ISTEA provided core financial support & provided institutional processes to achieve them

The balance between regulatory ambitions and economic - technical realism (1990 act) reinforced by ISTEA

1. Employee Commute Option Program - initially mandatory, later voluntary

2. I & M Program

But nobody wanted to try congestion pricing demonstration program

Behavioral Change Policy

Difficult to sustain viable threats against non-compliance

Voluntary programs (ride-sharing, telecommuting, improved transit, compressed work week) - here some compliance

Cost-Effectiveness of Transportation Control Measures in Reducing Hydrocarbon Emissions(dollars)