Cost-efficient transition to clean energy transportation services


Comello, Stephen ; Glenk, Gunther ; Reichelstein, Stefan


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URL: https://madoc.bib.uni-mannheim.de/55376
URN: urn:nbn:de:bsz:180-madoc-553761
Document Type: Working paper
Year of publication: 2020
Place of publication: Mannheim
Edition: Version June 2020
Publication language: English
Institution: Business School > Stiftungsprofessur für ABWL (Reichelstein 2018-)
License: CC BY 4.0
Subject: 330 Economics
Keywords (English): clean energy vehicles , transportation services , life-cycle cost , fleet optimization
Abstract: Comprehensive global decarbonization will require that transportation services cease to rely on fossil fuels. Here we develop a generic life-cycle cost model to address two closely related questions central to the emergence of sustainable transportation: (i) the utilization rates (hours of operation) that rank-order alternative drivetrains in terms of their cost, and (ii) the cost-efficient share of clean energy drivetrains in a vehicle fleet of competing drivetrains. Calibrating our model framework in the context of urban transit buses, we examine how the comparison between diesel and battery-electric buses varies with the specifics of the duty cycle (route). We find that even for less favorable duty cycles, battery-electric buses will entail lower life-cycle costs once utilization rates exceed 20% of the annual hours. Yet, the current economics of that particular application still calls for a one-third share of diesel drivetrains in a cost-efficient fleet.

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Comello, Stephen ; Glenk, Gunther ORCID: 0000-0003-2540-838X ; Reichelstein, Stefan (2020) Cost-efficient transition to clean energy transportation services. Open Access Mannheim [Working paper]
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