Authors: Frank Dünnebeil & Heiko Keller IFEU Institute Heidelberg, Germany. ifeu - Institut für Energie- und Umweltforschung Heidelberg GmbH

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Monitoring emission savings from low rolling resistance tire labeling and phase-out regulations MRV Blueprint based on an example from the European Union MRV Expert Group Workshop, 20 March 2015 Authors: Frank Dünnebeil & Heiko Keller IFEU Institute Heidelberg, Germany 1

Contents of the MRV Blueprint 1 Scope and Objectives of the MRV Blueprint 2 Background and description of the measure 3 GHG and non-ghg impacts 4 Measurement of GHG impacts 5 Indicators for non-ghg impacts 6 Monitoring measure implementation and data sources 7 Reporting 8 Verification 9 Applicability of the MRV blueprint for related NAMAS 2

2 European Tire labelling and phase-out regulations EU regulations with technical specifications of new tires for most on-road vehicle types, introduced in 2009 and 2011. Main objectives of the EU regulations: Improving tire-related fuel efficiency by improving rolling resistance Improving road safety of vehicles Reducing external rolling noise of tires This MRV blueprint addresses only heavy-duty trucks. 3

2 European Tire labelling and phase-out regulations 1. Step: Limit values Rolling Resistance coefficient 8.0 kg/t 01.11.2016 for original equipment of new vehicles and replacement tires (sale and entry into service) 6.5 kg/t 01.11.2016 for new types of tires (type approval) and 01.11.2020 for original equipment of new vehicles and replacement tires (sale and entry into service) External rolling noise (as from 01.11.2016) 73 db(a) Normal tires 75 db(a) Traction tires 4

2 European Tire labelling and phase-out regulations 2. Step: Standardised tire labels Label class Energy efficiency Wet grip RRC in kg/t A <= 4 1.25 G B > 4 <= 5 1.10 G 1.24 C > 5 <= 6 0.95 G 1.09 D > 6 <= 7 0.80 G 0.94 E > 7 <= 8 0.65 G 0.79 F > 8 G 0.64 G empty empty 3dB or more below the European limit from 2016 Between the European limit from 206 and 3dB below Above the European limit from 2016 G 5

Development of a NAMAs specific MRV methodology Identify relevant GHG and non-ghg impacts Define optimal MRV assessment boundaries and methodology: GHG and non-ghg Identify present regular data availability Define actual MRV boundaries and methodology GHG: Differentiated Measurement Non-GHG: at least impact indicators MRV 6

Development of a NAMAs specific MRV methodology Identify relevant GHG and non-ghg impacts Define optimal MRV assessment boundaries and methodology: GHG and non-ghg Identify present regular data availability Define actual MRV boundaries and methodology GHG: Differentiated Measurement Non-GHG: at least impact indicators Define Reporting & Verification MRV Define monitoring process: - NAMAS progress - Regular data collection - Update of data sources and methodology 7

Development of a NAMAs specific MRV methodology Identify relevant GHG and non-ghg impacts Define optimal MRV assessment boundaries and methodology: GHG and non-ghg Identify present regular data availability Future options for additional data Improving and enhancing regular data availability Define actual MRV boundaries and methodology GHG: Differentiated Measurement Non-GHG: at least impact indicators Update of MRV boundaries and methodology Define Reporting & Verification MRV Define monitoring process: - NAMAS progress - Regular data collection - Update of data sources and methodology 8

Indirect Direct 3 GHG impacts of the measure Impact chains Impact chains Activity Structure Intensity Fuel Direct impacts Trucks (x) X Indirect impacts Trucks (x) Trains (x) Table 1: Impact chain: Direct GHG Impacts Emission source ASIF parameter GHG impact Heavy-duty trucks Intensity: Specific fuel consumption per VKT Improvement Table 1: Impact chain: Indirect GHG Impacts Emission source ASIF parameter GHG impact Heavy-duty trucks Activity: Induced additional road freight transports Deterioration Train, inland navigation Structure: Shift of freight transport activities from train or inland navigation to road transport Deterioration 9

3 Relevance of GHG impacts and interaction with other measures Kind of GHG impact Direct impact via fuel savings in the use phase Direct impacts from other life cycle stages Indirect impacts via vehicle cost reduction (rebound effect) Interaction with other GHG mitigation measures in freight transport Direction of GHG impact GHG reduction Positive or negative GHG increase Weakening of GHG reducing impacts Priority for inclusion in MRV Essential Negligible Optional Relevance depends on individual measures and their impacts on transport activities, modal split, fuel efficiency and GHG conversion factors. 10

3 Non-GHG Impacts Other environmental impacts Non-GHG impact NO x and soot particle exhaust emissions Emissions from tire abrasion Noise Impacts from other life cycle stages Impact Improvement possible Negligible Improvement expected Negligible Non-environmental impacts Non-GHG impact Road safety Vehicle operation costs Impact Improvement expected Considerable cost savings 11

4 MRV assessment boundaries System boundaries Transport activities in the EU territory Emission sources heavy-duty trucks > 3.5t GVW, differentiated by 3 vehicle size segments Covered GHG emissions CO 2 equivalents well-to-wheel Assessed non-ghg impacts road safety, external noise, vehicle operation costs Time interval and Reporting period 2020 2030 or later, every 1, 2 or 5 years 12

4 GHG measurement: Methodological steps 1. Calculating real GHG emissions of heavy-duty truck transport in Europe per reporting year Calculating real rolling-resistance related GHG emissions. Calculating real total GHG emissions of heavy-duty truck transport. Deriving the share of rolling resistance on total GHG emissions. 2. Measurement of absolute GHG impacts per reporting year Calculating baseline rolling-resistance related GHG emissions. Calculating absolute GHG impacts. 3. Assessment of overall GHG impacts for heavy-duty truck transport in Europe in the reporting year Calculating baseline total GHG emissions of heavy-duty truck transport. Calculating percentage change of total GHG emissions of heavy-duty truck transport in Europe. 13

4 GHG measurement: Basic model approach Tire distribution in RRC label classes Vehicle empty weight Loading weight Tire wear Tire pressure Road roughness Engine efficiency Transmission losses Weighted RRC per vehicle Vehicle weight g RRC correction factor Powertrain efficiency Transport activity (VKT) RRC: Rolling resistance coefficient Fuel consumption per VKT Fuel consumption resulting from rolling resistance GHG emissions resulting from rolling resistance GHG EFA per fuel consumption 14

4 GHG measurement: Equations and calculation parameters FC RR,spec. = RRCreal x C RRC x m x g / η pt /1000 (1) Where: FC RR,spec Real specific fuel consumption per VKT from rolling resistance (in MJ/vkm) RRCreal Real Rolling resistance coefficient (in kg/t) C RRC RRC correction factor (dimensionless) m vehicle weight (=empty weight + vehicle load) (in tons) g gravity acceleration (9,81 m/s²) η pt average powertrain efficiency of the vehicle (in %) Calculation parameter RRCreal Description Real medium Rolling resistance coefficient per vehicle segment and year Unit Influenced from measure kg/t Yes 4.6.1 C RRC RRC correction factor - No 4.6.2 m Vehicle mass (=empty weight + vehicle load) per vehicle segment and year metric tons No 4.6.2 g Gravity acceleration: 9.81 m/s² m/s² No - η ttw Medium powertrain efficiency per vehicle segment and year % No 4.6.2 VKT Annual VKT per vehicle segment million vkm (No)* 4.6.3 Data sources in section 15

4 GHG measurement: Data sources of calculation parameters Calculation parameter RRCreal RRCbaseline Description Real medium Rolling resistance coefficient per vehicle segment and year Baseline medium Rolling resistance coefficient per vehicle segment and year Unit kg/t Data sources Market offer of truck tires (see section 4.6.1) kg/t Estimates in section 4.6.1 g Gravity acceleration: 9.81 m/s² m/s² - (physical constant) C RRC RRC correction factor - [Bode / Bode, 2013], [IFEU, 2015] η ttw m Medium powertrain efficiency per vehicle segment and year Vehicle mass (=empty weight + vehicle load) per vehicle segment and year % [IFEU, 2015] metric tons HBEFA 3.1 [INFRAS, 2010], TRACCS [Emisia, 2013] VKT Annual VKT per vehicle segment million vkm TRACCS [Emisia, 2013], EU Transport in figures [EU, 2013] FC total,spec Biofuel share GHG fuel,spec Specific fuel consumption per VKT per vehicle segment and year Share of biofuels on diesel fuel in Europe. (required for calculating weighted GHG conversion factors) GHG conversion factor for diesel fuel in Europe per year MJ/vkm TRACCS [Emisia, 2013], HBEFA [INFRAS, 2010] % EU transport in figures - statistical pocketbook [EU, 2013] g CO 2 e/mj EN 16258 [COM, 2013] Real market data Baseline estimates Scientific research Official statistics and coordinated country data Standards 16

4 GHG measurement: Calculation example Calculation parameter Value 2020 Unit RRCreal 5.75 kg/t RRCbaseline 6.30 kg/t C RRC 1.0 - m 25.1 metric tons g 9.81 m/s² η ttw 41% % VKT 124 363 million vkm FC total,spec 11.04 MJ/vkm GHG fuel,spec 87.2 g CO 2 e/mj Equation Calculation Result Unit 1 FC RR,spec real 5.75 x 1.0 x 25.1 x 9.81 / 0.41 / 1000 3.45 MJ/vkm FC RR,spec baseline 6.30 x 1.0 x 25.1 x 9.81 / 0.41 / 1000 3.78 MJ/vkm 2 GHG RR real 124 363 x 3.453 x 87.2 / 10 6 37.4 million tons GHG RR baseline 124 363 x 3.784 x 87.2 / 10 6 41.0 million tons 3 GHGtotal real 124 363 x 11.04 x 87.2 / 10 6 119.7 million tons 4 GHGshare real 0.037 / 0.120 31.3 % 5 GHGsaving absolute 0.041-0.037 3.6 million tons 6 GHGtotal,baseline 0.120 + 0.004 123.3 million tons 7 GHGsaving share 0.004 / 0.124 2.9 % 17

5 Indicators for non-ghg impacts Road safety and external rolling noise Vehicle operation costs COSTsaving = Where: GHGsaving absolute GHG fuel.spec. x 35.74 x 106 x fuel price x 80% (8) COSTsaving,share Cost saving per year (in million Euro) GHGsaving absolute Absolute GHG saving (in million tons) GHG fuel,spec. GHG conversion factor for the used fuel (in g CO 2 e/mj) 35.74 Conversion factor for fuel consumption (35.74 MJ/litre diesel) fuel price Fuel price (in Euro/litre Diesel) 80% Reduction factor for additional investment costs 18

Thank you for your attention! Questions and remarks? Frank Dünnebeil ifeu - Institut für Energie- und Umweltforschung Heidelberg GmbH Wilckensstraße 3 69120 Heidelberg Fon: +49 (0) 6221 / 47 67-61 Fax: +49 (0) 6221 / 47 67-19 E-Mail: frank.duennebeil@ifeu.de 19

2 Role of rolling resistance for fuel consumption and GHG emissions Contributions to fuel consumption of heavy-duty trucks semi-trailer truck 40t, long-haul 34% 36% 17% 8% 5% semi-trailer truck 40t, regional delivery 30% 26% 33% 8% 4% rigid truck (12t), urban delivery 22% 26% 33% 7% 12% 0% 20% 40% 60% 80% 100% Source: based on IFEU/TUG 2015 Rolling resistance air resistance brake loss drivetrain losses engine auxiliaries 10% reduction in rolling resistance reduces fuel consumption and GHG emissions by 2-3.5%. 20

4 Assessment of uncertainties Following uncertainties of GHG impacts are assessed in the MRV blueprint: Accuracy of calculation parameters Real development of rolling resistance coefficients Powertrain efficiency and RRC correction factors Basic data for transport activities and specific fuel consumption Differentiation level of calculation methodology and therewith possible accuracy of results High differentiation levels with high accuracy, but with high data requirements and calculation efforts Appropriateness of baseline assumptions Baseline development of rolling resistance coefficients 21

9 Applicability of the MRV blueprint for related NAMAs Applicability of this exemplary MRV blueprint to NAMAs in other regions depends first on the comparability of the measures. Focus = improving rolling resistance? Measurement of GHG impacts: Main differences concern Level of detail in the calculations: Adopting this MRV blueprint to NAMAs for regions with reduced data availability might require simplified calculations, e.g. using one average RRC for the whole vehicle fleet. Assessment boundaries: Adopting this MRV blueprint to other regions might require a change of assessment boundaries, e.g. only including truck transport on highways and only semi-trailer trucks, depending on the regular availability of transport statistics. Baseline assumptions: In Europe, there are still no relevant interactions of tire regulations with other GHG mitigation measures. However, interaction with further measures can be relevant in other regions. E.g. fuel efficiency standards for heavy-duty trucks (as in China) can lead to RRC improvements also without a tire-specific measure. Indicators for non-ghg impacts can be adopted from the exemplary European MRV blueprint, if NAMAs in other regions include similar requirements on wet grip and rolling noise and information on the real development of these parameters is regularly available. 22

Main differences to the originally suggested structure Non-GHG impacts are not only co-benefits. Non-GHG impacts are relevant part of the continuous MRV process. MRV blueprint does not document data availability for optimal, but for actual MRV boundaries and methodology. Part of methodology section, not impact chains. Selected MRV assessment boundaries and potential future enhancements are explained in the impact chains section. Could also be first step in the methodology section. Methodological approach first step in the methodology section, not part of the impact chains section. Applicability, definition of key terms, consistency are discussed after methodological approach for impact measurement. Assumptions are part of data sources section. Consistency could be part of MRV boundaries or discussed together with assessment of uncertainties. Applicability for further NAMAs is a separate section. Reporting and verification sections included in the MRV blueprint 23