Toward a global low carbon fuel standard for road transport

Abstract

A new policy instrument, known as a low carbon fuel standard (LCFS), is a promising approach to decarbonize transportation fuels. An LCFS has several important features: it applies a life cycle carbon intensity standard, incorporates market mechanisms by allowing credit trading, and targets all transport fuels. A harmonized international framework is needed that builds on newly enacted LCFS policies adopted in California and the European Union.