Financing for Sustainable Low Carbon Transport Systems

Economy & Finance Business

By Ko Sakomoto, Senior Consultant, Centre for Sustainability, Transport Research Laboratory (United Kingdom)

Financing for Sustainable Low Carbon Transport Systems Ko Sakamoto January 2009

Contents ,[object Object],[object Object],[object Object],[object Object],[object Object]

Why financing and pricing? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],(* Cambridge Advanced Learner’s Dictionary)

Current pricing practices ,[object Object],[object Object],[object Object],[object Object],[object Object],Source: Hirota and Minato (2003) Taxes on motor vehicles per kilometre

Current transport-oriented financing ,[object Object],[object Object],[object Object],[object Object],[object Object],Source: ADB (2008) and World Bank (2008) Transport lending by ADB and WB by subsector

Current transport-oriented financing ,[object Object],[object Object],[object Object],[object Object],[object Object],(Source: IMF/WB) Split of public spending on transport and communication by level of government

Current transport-oriented financing ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Current climate-oriented financing ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Current climate-oriented financing ,[object Object],[object Object],[object Object],[object Object]

Summary of current situation ,[object Object],[object Object],[object Object]

A Direction for Change Reform subsidies Implement full cost pricing Shift priorities Provide additional funding Policy Institutions Technology Infrastructure Operation Optimise usage

What does funding need to cover? Policy Institutions Technology Infrastructure Operation ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Ensuring full coverage of a low carbon transport strategy Policy Institutions Technology Infrastructure Operation Adapted from: GTZ/TRL (2007)

What next? Global Climate Negotiations Regional Transport Policy/Technical Forums National Level Transport Policy Local Level Transport Programs and Projects Influence Support Initiate Influence Fund Adapted from Huizenga (2008/09) Regional “Sustainable Transport Funds”? Sectoral / programmatic CDM? Global ETS for aviation? Wider applications of GEF/CIF etc? A “Green Road Fund”? Support fund for local initiatives?

What next? ,[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object],[object Object]

Suggestions for the future ,[object Object],[object Object],[object Object]

Page  Thank you – Any Questions? Ko Sakamoto Senior Consultant Transport Research Laboratory Tel: +44(0)1344770709 Fax: +44(0)1344770356 Email: ksakamoto @trl.co.uk

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