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Study on the Policies and Measures of Road Transportation


Energy conservation in China
Libo HAN , Li LIU , Shaobo BAI, Sutong JING
Research Institute of Highway Ministry of Transport, P.E. No.8, Xitucheng Road,
Haidian District, Beijing, 100088, China; PH 86-10-62079317; FAX
86-10-62079733; email: hlb1023@163.com
ABSTRACT
Road transportation has been playing a powerful rule in national economic
growth. It lays the foundation for the social and economic development. However,
the development of road transportation relies on immense resources and intensive
energy input. In this paper, we review the status of current rules and legislations
targeting road transportation energy conservation and identify both achievements
and problems during recent decades. This study can assist future industry
management and energy-saving measure implementations.
INTRODUCTION
With the rapid economic development in China, the construction has made
great achievements with paying a heavy price for resources and the environment
(Batool, 2009). It has been counted that the waste of natural resources in China is
the most serious around the world and energy efficiency is only American 26.9%
and Japanese 11.5% that have been counted (Plotkin, 2001). Therefore, Chinese
government attaches great importance to the work of energy conservation and
emission reduction. At present, the development of road transportation relies on
immense resources and intensive energy input. Reducing energy consumption of
road transportation has become a major channel to fulfill the scientific developing
viewpoint that is on the basis of people, coordinated comprehensively and
sustainable to improve self development ability (Amekudzi, et al., 2008; Doll,
2008), reduce transportation cost and enhance economic returns. It also has
become an important component for energy conservation and emissions reduction.
ENERGY CONSUMPTION STATUS
Energy consumption is increasing every year
Road transportation is a major energy consumer, fuel consumption is heavier,
and energy utilization ratio is lower. In 2004, fuel consumption of our national
road transportation was approximately 48 million tons, it has accounted for almost
30% of the whole society and nearly 70% of total vehicles. In 2009, the volume of
national road transportation vehicles maintained 10.874m, which only accounted
for 5.8% of motor vehicles, but the amount of oil consumption in road
transportation has accounted for more than 30% of the total national, moreover,
the proportion still increases year by year (Zachariadis, 2006). According to
preliminary estimates, fuel consumption of road transportation has reached about
67million tons in 2010. The situation of energy conservation and reducing
consumption is getting worse.
Unit consumption of road transportation decreased
In order to conveniently analyze commercial vehicles' fuel economy of road

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transportation and investigate the organizational management level of enterprises,


unit energy consumption of transportation volumes (unit consumption) is adopted
as a statistical index in our country (passenger transport: litres/1000person-km;
cargos transport: litres / 100 ton-km). The unit consumption variation tendency of
commercial vehicles for passenger and cargos transportation from 2008 to 2010
can be seen by Figure 1 and 2.
(litres/1000person-km)
12.0
11.46

11.85

11.18

11.0
10.23
10.0

9.98

10.21
10.13

9.73

10.19

9.86

9.52

9.0

8.64
8.0
2008
small size

2009
midsize

2010 model year


large

super

Figure 1. Unit consumption of commercial vehicles for


passenger transportation.

(litres/100ton-km)
7.0
6.31
6.0
5.0

5.92

5.57

6.2
4.87

5.78

5.61

4.14
3.77

4.0
3.0
2008
Light duty

2009
medium duty

2010

(model year)

heavy duty

Figure 2. Unit consumption of commercial vehicles for


cargos transportation.
Overall, the unit consumption level of commercial vehicles for passenger
transportation and cargos transportation is on a declining curve. The obvious
advantages in energy conservation of commercial super passenger vehicles and
heavy duty cargos vehicles are showed for their lower operating unit consumption.
RELATIVE POLICIES

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In order to carry out and fulfill resources conservation fundamental policy,


various agencies and ministries are committed to ensuring the development of
transportation industry energy conservation and emissions reduction smoothly,
such as MIIT and MOT has established the fuel-economy regulations of passenger
vehicles, commercial vehicles for passenger transportation and cargos
transportation, MIIT and MEP has enforced the State I-V standards for exhaust
emissions, MOF has implemented some financial and taxation policies including
fuel taxes and preferential purchase tax over small vehicles (engine displacement
is less than 1.6L) .In order to support New Energy Vehicles industry development,
NDRC, MOF, MOT and other relative ministries has undertaken the EV major
projects, made ethanol fuel development plan, developed energy conservation and
New Energy Vehicles key projects.
MOT has issued a series of policies and regulations (see Table 1) to guide
working practice in accordance with the energy conservation and emissions
reduction strategic deployment of Party Central Committee and the
state, which has made it more efficient and standard to the management and will
push the work orderly (Hofman, 2009).
Table 1. Mainly energy conservation policies of transportation industry.
Item
1

Regulations
The Regulations on Energy
Conservation Management
Implementation of the
Transportation Industry.
The Provisional Regulations on
Energy Utilization Monitoring
Management of the
Transportation Industry.
Automobiles, Ships Energy
Conservation Products Published
Rules.
The Methods on Promotion
Application and Management for
National Operating Automobiles
and Ships Energy Conservation
Products (Techniques).
The Highway Engineering
Energy Conservation
Management Regulations

The Rules on Transportation


Industry Implement Energy
Conservation Law.
The Notice on the Issuance of
the 10th five-year Energy
Conservation Plan in
Transportation Industry.
The Guidance on Building the
Saving Transportation.

Date
1986.8

1990.7

1992.3

Basis
The Provisional Regulations on the
Administration of Energy
Conservation.
The Provisional Regulations on the
Administration of Energy
Conservation, The Provisional Rules
on the Monitor Management of Energy
Conservation, The Regulations on
Energy Conservation Management
Implementation of the Transportation
Industry.
The Provisional Regulations on the
Administration of Energy
Conservation.

1995.8

Automobiles, Ships Energy


Conservation Products Published
Rules.

1997.12

Energy Conservation Law of the


People's Republic of China,
Transportation Industry Energy
Conservation Management
Implementation Regulations.

2000.6

Energy Conservation Law of the


People's Republic of China.

2002.3

The10th Five-year Plan Compendium


on the National Economic and Social
Development.

2006.4

The Overall Demand on Building the


Saving Society and Developing
Circular Economy of the Party Central

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Committee.

10

11

The Guidance on Transportation


Industry Implementation
Comprehensively The Decision
on Strengthening the Energy
Conservation Work of the State
Council by MOT.
The Advices on Further
Strengthening Energy
Conservation and Emissions
Reduction of the Transportation
Industry.
The Methods on Highway and
Waterway Transportation
Implementing Energy
Conservation Law of the People's
Republic of China.

2006.10

The Decision on Strengthening the


Energy Conservation Work of the State
Council.

2007.5

The Guidance on Transportation


Industry Implementation
Comprehensively The Decision on
Strengthening the Energy Conservation
Work of the State Council.

2008.7

Energy Conservation Law of the


People's Republic of China.

12

The Medium and Long-term


Energy Conservation Planning
Programs on Highway and
Waterway Transportation.

2008.9

13

The Advices on Carrying out


Energy Conservation and
Emissions Reduction in a
Deep-going Way of the
Transportation Industry.

2008.9

14

The Measures for Vehicles Fuel


Consumption Detection,
Supervision and Administration
of Road Transportation.

2009.6

15

The Notice on Promoting the


Development of Drop and Pull
Transport.

2009.12

16

The Notice on Further


Strengthening Road Passenger
Transportation Capacity
Regulation and Promoting
Energy Conservation and
Emissions Reduction of the Road
Transportation Industry.

2010.8

Energy Conservation Law of the


People's Republic of China, The
Decision on Strengthening the Energy
Conservation Work of the State
Council, Long-term Special Planning
Programs, Certain Opinions
Concerning Accelerating the
Development of Modern
Transportation.
The Notice on Further Strengthening
Oil-saving and Electricity-saving by
the State Council , The Notice on
Carrying out National Energy
Conservation Action in a Deep-going
Way by the Office of the State Council.
Energy Conservation Law of the
People's Republic of China, Road
Traffic Regulations of the People's
Republic of China.
The Notice on Strengthening
Oil-saving and Electricity-saving, The
Restructuring and Revitalization
Planning of the Logistics.
The Notice on Further Intensifying
Efforts to Ensure Realization of the
11th Five-year Energy Conservation
and Emissions Reduction Targets.

MAIN ACHIEVEMENTS
1. Implementing fuel consumption admittance system based on source
management. In order to realize energy conservation and emissions reduction
targets of road transportation, MOT started with controlling fuel consumption of
commercial vehicles and limited high fuel-consumption vehicles into road
transport market. In 2008, MOT issued two transportation industry standards
named limits and measurement methods of fuel consumption for commercial
vehicle for passenger transportation and limits and measurement methods of
fuel consumption for commercial vehicle for cargos transportation. In June 2009,

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MOT released the measures for vehicles fuel consumption detection, supervision
and administration of road transportation, which clearly stipulates that
commercial vehicles for passenger and cargos vehicles should meet related
standards. Moreover, the inspection procedures for commercial vehicles fuel
consumption standard model vehicle parameters and configuration of road
transportation was issued in February 2010. Under the support of these policies
and regulations, MOT has announced six batches of vehicles fuel consumption
standard models table for road transportation, a total of more than 1,300 standard
models, reduced the energy consumption for new commercial vehicle effectively.
2. Strengthening capacity structure regulation to improve passenger
transportation management level. In order to carry out and fulfill the spirit of the
notice on further intensifying efforts to ensure realization of the 11th five-year
energy conservation and emissions reduction targets by the State Council
Conscientiously, further strengthen road passenger transportation capacity
regulation and promote energy conservation and emissions reduction of
transportation industry, MOT issued the notice on further strengthening road
passenger transportation capacity regulation and promoting energy conservation
and emissions reduction of road transportation industry. The notice requires that
transportation authorities at all levels and road transport administration institutions
should stand on a resource-saving, environment-friendly industry height,
accelerate the development of modern road transportation perspective from
changing development mode, understand its importance and urgency to strengthen
road passenger transportation capacity regulation fully, propel road passenger
transportation energy conservation and emissions reduction through ascending g
its organization management level.
3. Tracking the international situation to promote drop and pull transport
development. At present, drop and pull transport has been widely applied in all
over the world and become a very common advanced transport mode. Since using
drop and pull transport can reduce vehicle vacancy rate and ineffective transport,
decrease fuel consumption by 20%-30%, the effect of energy conservation and
emissions reduction is great. In this context, MOT issued relative policies and
regulations, convened special drop and pull transport meetings, make measures
and funding clearly, launched drop and pull transport relative standard research
and carried out pilot. And determined to conduct drop and pull transport pilot job
in 10 provinces including Fujian, Zhejiang, Jiangsu, Shanghai, etc. MOT will
study and deploy follow-up pilot, demonstration and promotion timely according
to the first pilot work progress to accelerate the formation of long-term and stable
policy and normal mechanism of drop and pull transport.
4. Advocating eco-driving and promoting energy-saving driving skills. MOT
plumped energy-saving driving concept and technology, advocated eco-driving in
the whole society and gave "energy-saving driving handbook of vehicles to the
State Council Energy Conservation and Emissions Reduction Leading Group
Office and relevant member organizations. MOT advocated energy-saving driving
to promote commercial drivers energy-saving quality by some measures
including holding energy-saving driving competition activities, carrying out
universal experience action of driving-saving technology, taking driving-saving
into driver-training industry management, using driving simulators instead of
practical teaching, and so on.
5. Arranging special funds to support energy conservation technology
popularization. In response to the state "the central finance and provincial local

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finance arranging special funds for energy conservation", MOT is more active in
pursuing relevant departments support and has increased energy conservation
capital investment of road transportation. In the meanwhile, various transport
authorities are called for providing funds support for energy conservation
scientific research and demonstrative projects promotion and applying in road
transportation. At present, Mot has arranged a special fund for the whole industry
energy conservation and emission reduction. For example, there were 100 million
yuan special fund used for industry energy conservation and emissions reduction
in 2010, more than 90 million yuan for two major projects including "oil to
electricity" of loading and unloading machines in port and the shore side
electronic power supply system.
6. Strengthening scientific and technological innovation, participating in
scientific research projects. In recent years, MOT has organized to carry out a lot
of prospective and strategic scientific projects such as Research on resource
conservation and environmentally friendly transport development mode,
Research on traffic structure adjustment of highway and waterway
transportation, Research on the medium and long-term energy-saving planning
in transportation industry , and some basic researches for transportation industry
on energy consumption statistical indexes, development and evaluation index
system , energy conservation and emissions reduction monitoring and assessment
system, etc. These researches have ranged from macroscopic strategic to
microcosmic technology at all levels, can provide the foundation for establishing
correct energy conservation and emissions reduction concepts in transportation
industry and push the work scientifically and orderly.
7. Establishing energy management long-term mechanism and perfecting the
energy conservation criteria system. In order to improve energy utilization
efficiency effectively of transportation industry, MOT established industry energy
conservation management system, implemented a series of industry rules and
regulations, organized the enactment of relevant standards such as the methods of
energy utilization inspection and evaluation for commercial vehicles and the
methods of statistics and analysis for energy consumption of highway
transportation, revised standard age longer such as fuel consumption for trucks
in operation, fuel consumption for passenger vehicles in operation,
measurement method of fuel saving technology for automobiles ,etc . The work
has made energy conservation in a standardized way, and initially formed a
criteria system for transportation industry energy conservation from technology to
management, from device to engineering.
8. Carrying out typical demonstration projects and enhancing advanced
techniques application. In order to provide a good exemplary role for guiding
more enterprise to participate in the energy conservation and emissions reduction
voluntarily, but also to find the key point and breakthrough for local governments
at various levels transportation departments on engaging in energy conservation
and emissions reduction earnestly, and further promote the work development.
MOT organized 3 batches of 60 energy conservation demonstration activities ,
included 22 projects of road transportation in 2007-2009; In order to promote
energy conservation technology advancements, encourage energy conservation
products and technology demonstration roles, standardize the product market and
guide transportation industry promotion to use high-quality and high-efficient
energy conservation products and techniques, MOT recommended 2 batches of 40
energy conservation new products and technology of vehicles and ships in use

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during the period of 11th five-year.


9. Strengthening the industry regulator and establishing supervisory
examination system. MOT decided to carry out of energy conservation and
emissions reduction monitoring assessment trial work in advance in Shandong
province, and study to establish energy conservation and emissions reduction
monitoring assessment method with scientific, reasonable and strong targeted for
transportation industry in 2009 (McLeana and Laveb,2003). On the basis of
perfecting transportation industry energy consumption statistical indexes, trying to
implement it on a nation scale gradually. After the pilot work successfully in
Shandong province, MOT promoted transportation energy conservation and
emissions reduction monitoring and assessment to establish the system in various
provinces successively. So far, the monitoring assessment system has been
established a set of effective statistics, monitoring and examination system
preliminarily in provinces and cities, and the energy conservation and emissions
reduction target responsibility system has already been established and
implemented.
10. Intensifying publicity and enhancing industry energy conservation
consciousness. In energy conservation publicity week period, MOT improved
energy conservation consciousness and operation level for practitioners
comprehensively through giving the medals to energy conservation and emissions
reduction demonstration projects implementation enterprises, announcing the
national operating vehicles and ships energy conservation products (techniques)
directory in transportation industry, promoting energy conservation driving
actively, conducting propaganda activities such as series of reports, and so on; On
May 2010, MOT held a start ceremony on "cars, boats, roads, harbors" thousand
enterprises low carbon transport special operation in Wuhan and sent a letter of
energy conservation and emissions reduction for transportation industry to the
whole society. MOT put their emphasis on launching 100 motor vehicle driver
energy conservation education training and motor vehicles maintenance science
and technology training on a national scale. There are 1126 transportation
enterprises participating in the special action currently, some of them adopted
effective measures to promote the construction of energy conservation and
emissions reduction of low carbon traffic actively and gained good social
repercussions.
MAIN PROBLEMS
The energy conservation and consumption reduction of road transport has got
some achievements in China, but still exists some problems. It is restricting and
affecting sustainable development course in a certain extent (Leonardi, 2004).
1. Lack of Energy consumption statistics data. MOT has released
transportation industry statistical yearbook every yearbut energy statistical index
is not comprehensive. In statistical index selection and the statistical range of
definition, the transportation yearbook cant combine with the ones released by
national statistics bureau. It is difficult to verify energy efficiency and energy
consumption of road transportation industry. Mot has not announced energy
consumption statistics data since 2005, cannot meet the demand in energy
conservation planning, monitoring and assessment of the state and transportation
industry.
2. Special funds investment of energy conservation and emissions reduction
needs to increase. At present, MOT has established special funds for conducting

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energy conservation and emissions reduction work, but is mainly used for the
waterways and port energy conservation. On road transport, energy conservation
special funds always dont arrive, incompatible, uncoordinated, the work of
energy conservation and emissions reduction scientific research projects and
standards formulating and revising is unsustainable developmenthigh energy
consumption vehicles are unable to exit traffic market and the typical
demonstrative projects of energy conservation and emissions reduction are hard to
get popularizing and applying.
3. The work of energy conservation and emissions reduction research
projects needs to carry out urgently. Some research projects are needed badly, but
there exist a series of issues such as not closely combined with the actual
production and difficult to operate and implement, etc. Research on the
development of energy alternative techniques, developing an evaluation system of
energy conservation and optimizing transport organization scheduling are relative
deficient. The situation cant adapt to the requirement of transportation scientific
and technical innovation. The conversion rate of project research achievements are
slow, inefficient, and the research on the practical evaluation of subsequent project
findings have not been developed, which is not very good service to production
and difficult to reflect their actual value.
4. The demonstration, application and valuation mechanism on energy
conservation technology not yet to be established. Some technologies have
obvious energy conservation effects, but they are applied in the individual place or
enterprise and it is difficult to apply nationwide because of its unique regional,
operation pattern, the differences of policy support. Moreover, a mode is adopted
on the demonstration and application, which covers the several specific steps
including recommendation and sending, classification and selection, projects
identification, enterprises surveying, demonstration materials compiling,
publication, formal awarding. MOT has not taken series countermeasures on the
published demonstration projects, such as policy support, capital investment,
demonstrating and promoting, etc, and do not established the energy conservation
technology evaluation system of road transportation.
5. Energy conservation and emissions reduction monitoring and valuating
systems still need to be perfected. In China, there is not a complete industry
energy conservation evaluation index system and the monitoring and evaluation
management mechanism. It is also short of energy efficiency evaluation system
for transport enterprises and energy conservation technology evaluation system to
connect with the developed countries really. At present, energy conservation
assessment index system for road transportation industry has been established, but
is not perfect. By means of administration applicable scope beyond, MOT cant
bring goal responsibility implementation to the local government and industry
management departments, it is difficult to carry out the work of supervision and
examination for industry energy conservation and emissions reduction.
COUNTERMEASURES
1. Implementing related laws and regulations. It is necessary to make a
development strategy planning of energy conservation and emissions reduction for
road transportation during the 12th five-year. MOT will deploy energy
conservation and emissions reduction overall work in accordance with the unified
arrangements of the planning targets. The next work is to establish energy
conservation and emissions reduction of statistics, monitoring and evaluation

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system, to put and allocate capacity reasonably, to optimize transport organization,


to integrate transport resources, and to develop public transportation.
2. Strengthening fuel management for commercial vehicles. MOT will guide
enterprises to choose the vehicles of energy conservation and environmental
protection preferentially and increase the technological transformation efforts for
energy-saving vehicles, take attention to the implementation the compulsory
standards named commercial vehicles fuel limit strictly, establish an entry and exit
system for commercial vehicles, supervise and urge those maintenance enterprises
to maintain vehicles according to maintenance standards strictly, and strengthen
the detection behaviors supervision of the comprehensive performance testing
stations.
3. Strengthening funds investment on road transportation field. MOT will
establish energy conservation special funds, increase financial inputsencourage
the road transportation enterprises to eliminate old, high energy consumption and
emission vehicles quickly, promote the use of new energy vehicles and hybrid
vehicles actively(Rubin and Leiby, 2000), strengthen application of the new
equipments and new techniques in favor of energy conservation and emission
reduction, implement the oil prices allowance system of urban and rural passenger
transportation, and establish a financial reward system for rural passenger
transportation.
4. Accelerating scientific technology research pace. According to the new
situation and requirements of the state's energy conservation and emission
reduction, MOT will strengthen the overall, strategic, prospective and regularity
research, implement the strategy of strengthening transportation with science and
technology deeply, and make overall arrangements to propel the innovation
ability construction, the significant scientific research, the achievements
application and standardization construction. MOT will continue to carry out
scientific research on road transport construction, the commonness and core
technology of management. In order to solve the major technical problems which
may restrict the development, it is worth to paying attention to digestion and
absorption advanced techniques, strengthen fundamentality, leading key projects
research and development
5. Carrying out the guidance of demonstration projects to strengthen their
promotion and application. To select some enterprise as a typical case on energy
conservation demonstration which has made great achievements in capacity
structure regulation, transportation organization optimization, modernized
management and new technology (products) use, etc. In order to enhance the
energy conservation level of road transportation, MOT will strengthen the
promotion and application of demonstration projects, set a set of perfect energy
conservation technical evaluation and promotion mechanism. The object is to
evaluate comprehensively on energy conservation effect, operability, typicality,
practicability and timeliness of techniques and carry out the promotion through
some effective measures such as policy support, capital investment, publicity and
demonstration.
6. Enhancing energy conservation consciousness. The first thing is to perfect
qualification system and improve comprehensive quality of road transport
employees, especially energy conservation driving technology. The second one is
to implement driver education system of commercial road transportation, continue
to promote the energy conservation driving method and popularize the energy
conservation driving knowledge. The third one is to develop transportation energy

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conservation publicity week activities and low carbon transportation special action
plan vigorously and complete the related deployment and implementation work.
The last one is further strengthen the publicity work of resource conservation and
environmental protection, award energy conservation advanced units and
incentive individual who has an outstanding contribution in order to enhance
energy conservation consciousness of the whole industry.
CONCLUSIONS
The purpose of this paper is to analyze the status quo of the current road
transportation industry energy consumption, elaborate road transport energy
consumption achievements including 10 aspects, fuel consumption access,
transport capacity allocation, drop and pull transport, energy-saving driving,
special funds etc, and are put forward some concrete policy measures for road
transportation energy consumption in the light of the main problems. It can play
an effective role in achieving energy conservation targets of road transportation
industry.
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