Open AccessChoice at the pump: measuring preferences for lower-carbon combustion fuels
Author(s) -
John Paul Helveston,
Stephanie Seki,
Jihoon Min,
Evelyn Fairman,
A.A. Boni,
Jeremy J. Michalek,
Inês L. Azevedo
Publication year - 2019
Publication title -
environmental research letters
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 2.37
H-Index - 124
ISSN - 1748-9326
DOI - 10.1088/1748-9326/ab2bd2
Subject(s) - gasoline , diesel fuel , preference , consumption (sociology) , environmental economics , greenhouse gas , combustion , fuel efficiency , waste management , biofuel , environmental science , economics , natural resource economics , business , engineering , microeconomics , chemistry , automotive engineering , ecology , social science , organic chemistry , sociology , biology
A decarbonized future will require a transition to lower carbon fuels for personal transportation. We study consumer preferences for combustion fuels including gasoline, diesel, natural gas, and E85 (85% ethanol and 15% gasoline) using consumer choice survey data from two settings: online ( n = 331) and in-person at refueling stations ( n = 127). Light-duty vehicle owners were asked in a series of choice tasks to choose among fuels that varied in type, price, CO 2 emissions, and location of origin for a hypothetical vehicle that could accept all fuels. We find that the majority of gasoline and E85 users are willing to substitute towards other fuels at today’s prices and attributes, while diesel users have a strong preference for diesel fuel. We also find that respondents are willing to pay on average $150/ton CO 2 avoided from fuel consumption—more than most estimates of the social cost of carbon. Thus, communicating the climate benefits from alternative fuels may be an important strategy for decarbonizing the transportation sector.