A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb,...

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A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI

Transcript of A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb,...

Page 1: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

A Maintenance Program for a bus fleet

Lessons from a Potential CDM Project in India

Kaushik Deb, TERI

Page 2: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

26 August 2004 Transport CDM Workshop

Structure of the presentation

The policy contextCDM and transport: Synergies Key barriersThe Project Need for an effective maintenance Inspection Systems: CDM project Emission savings Cost estimates

Lessons

Page 3: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

Urban transport in IndiaLarge urban population Over 1/3 in 2001

High vehicle density in urban areas 33% concentrated in cities with 10% population 82% are personal vehicles

Inadequate public transport Effective public transport in only 10 cities Rail in only 3 cities

No urban transport policyDiffused institutional arrangementsImplications for economic sustainability Cities are vertices of continued growth

Page 4: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

26 August 2004 Transport CDM Workshop

Trends in vehicle population

Rapid growth in vehicles...

1000

1500

2000

2500

3000

3500

1987 1990 1993 1996 1999

'000 vehicles

Personal

IPT

Bus

… large share of old vehicles

35%

45%

55%

65%

75%

1987 1990 1993 1996 1999

% of vehicles < 5 yrs

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26 August 2004 Transport CDM Workshop

Vehicle Ownership

Per capita income (US $)

Cities Vehicles Per 1000 Persons

London (1990)

Paris (1990)

Tokyo (1990)

$22,000

$34,000

$37,000

356

383

266

Delhi (1998) $850200

Shanghai (2000) $4,00069

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26 August 2004 Transport CDM Workshop

DISHA 2047Year 2019

5% GDP growth

Sundar & Deb (2000)

7% GDP growth

MoST (1999)

Urban travel demand projections

0

500

1000

1500

2000

2500

3000

1990 2000 2010 2020 2030

bpkm

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26 August 2004 Transport CDM Workshop

Vehicular Growth

2 Wheelers

4 Wheelers

Buses3 Wheeler

0

50,000

100,000

150,000

200,000

250,000

300,000

1980 1985 1990 1996 2001 2006 2011 2016 2021 2026

Thousands

2 Wheelers 4 Wheelers Buses 3 Wheeler

Page 8: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

26 August 2004 Transport CDM Workshop

Policy response in IndiaLargely technology based response Vehicle emissions Fuel quality Mandating alternative fuels

Inadequate attention to demand management NMT discriminated against in resource Land use development haphazard, not in sync

with transport planning Public transport not encouraged, personal

vehicles have become more accessible

Page 9: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

26 August 2004 Transport CDM Workshop

Emission normsNew vehicles

1991: First mass emission norms (CO & HC)1995: Catalytic converters for cars in 4 metros1996: Further tightening of norms (CO, HC & NOx) 2000: Bharat Stage I (~EUROI)2001: Bharat Stage II in Delhi (~EURO II)Sustained progress!!!

In use vehicles1989: Idle emission regulation2004: Some tighteningPiece meal efforts

No Statutory Maintenance & Fuel Efficiency Requirements !!!

Page 10: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

26 August 2004 Transport CDM Workshop

Government’s Auto Fuel Policy

April 201011 major cities

April 200511major cities

April 20037 cities other than metros

Entire countryEntire countryAll other new vehicles

Entire country(preferably from April 2008)

Entire country2 & 3 wheelers

Bharat Stage IV

Bharat Stage III

April 2010

Bharat Stage II April 2005

Category

Page 11: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

26 August 2004 Transport CDM Workshop

Need for an effective system for in use vehicles

Norms very lax No consistent improvement

Limited coverage Only idle tests for CO (petrol) Free acceleration tests for smoke (diesel)

Limited regulatory ability Equipment not calibrated No auditing/ training

Weak maintenance system

Page 12: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

26 August 2004 Transport CDM Workshop

Synergizing Objectives

Global Significant potential for GHG mitigation in

transport in India

National Positive impacts on local air quality, health &

safety High priority for urban centres Revenue from carbon credits

Page 13: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

26 August 2004 Transport CDM Workshop

GHG emissions from transport

Industry24%

Others13%

Transport24%

Power 39%

0

500

1000

1500

2000

2500

1971 1990 1995 2010 2020

Million tones

North America EuropePacific East AsiaSouth Asia Latin AmericaAfrica Middle EastChina

OECD & IEA 20011999

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26 August 2004 Transport CDM Workshop

Fuel consumption & GHG emissions in Urban India

0 5000 10000 15000 20000

HSD(thousandtonnes)

MS (thousandtonnes)

CNG (millioncubic metre)

2000 2025 (BAU)

0

20

40

60

80

100

120

CO2 eq emissions

2000 2025 (BAU)

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Air quality is a concernAir Quality Monitoring Stations Exceeding NAAQS

more than 5% of the time

0

5

10

15

20

25

SO2 NOX SPM

1995 1996 1997 1998 1999 2000

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26 August 2004 Transport CDM Workshop

Transport contributes 3-22% of PM emissions

UrbAir Mumbai (WB 1995)

Resuspension dust21%

Domestic refuse burning30%

Domestic wood18%

Transport31%

Delhi (CPCB 1994)

Domestic4%

Industry74%

Transport22%

Page 17: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

26 August 2004 Transport CDM Workshop

Financial performance of public transport operators in India

Costs per km

Revenue per km

400

600

800

1000

1200

1400

1600

1800

1990 1992 1994 1996 1998

Rupees

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BarriersBaselines data availability uncertain sectoral forecasts

Leakages Fuel efficiency Vs VOCs

Monitoring and verification costs dispersed and large number of mobile sources

Additionality Mandated use of alternative fuels Comprehensive I&C regime proposed

Page 19: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

26 August 2004 Transport CDM Workshop

Project descriptionExisting maintenance regime inadequate and primitive

Even minor improvements would have large benefits

GHG savings from Better maintenance Result: Improved energy efficiency. Hence

GHG savings, Local emissions benefits

Impact: Range estimate of GHG reduction 5% improvement in fuel efficiency in US (Das et al 2001) 5.5% improvement in Jakarta (Cornie) 12.6% improvement in fuel efficiency (USEPA IM240

Program) 10-20% improvement in fuel efficiency in India (Das et al)

Page 20: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

26 August 2004 Transport CDM Workshop

Project structure

Project proponent: Thane Municipal Transport Undertaking Statutory public bus company Owned by Thane Municipal Corporation

Mandate: Provide transport services to ThaneActivities Bus operation Depots and terminals Bus maintenance

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Bus fleet covered in the program

0

50000

100000

150000

200000

2005 2010 2015

Standard Bus (1991-1996) Standard Bus (1996-1999)Standard Bus (1999-2000) Standard Bus (2000-2002) Standard Bus (2002-2007) Standard Bus (>2007)

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Maintenance checklistVisual safety tests

Steering Chassis Fuel tank & piping Engine mountings Battery terminals etc Seatbelts Lighting Oil leakages Leaf springs…

Automated safety tests

Headlamp beam Brakes Sideslip

Emissions Volumetric

concentration for gasoline

Opacity for diesel

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Design issuesProject boundary

Government owned bus company. Reduces institutional complexity data requirements, thus project development costs

Operational lifetime Life of equipment = 15 years

Crediting period: 10 years Reduced uncertainty

Monitoring & verification Fuel consumption already monitored daily Hence, no expense on monitoring

Page 24: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

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Emission savings: MethodologyGHG emissions

Vehicle kms

Baseline projections based on Existing travel trends Expected changes in emission factors, fuel efficiencies

Increasingly stringent norms Improved technology

Sustained improvements in efficiency:5%Reference years: 2005 & 2015

( _ ) EmissionsVehicle kms km

( )Vehicles Utilisation

Page 25: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

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GHG savings

Baseline

Reduction scenario

0

5

10

15

20

25

30

2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015

'1000 tons

Page 26: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

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Project costs

Net present value of project — US$ 0.13 million

Project cost US$ 0.54 million

Cost of CO2

~ US$ 8.5

Substantial local benefits

Page 27: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

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Transport CDM projects: LessonsBaselines

Carry out pilot tests to estimate fuel efficiency gains

Leakages Captive fleet with fixed mobility Independent of VOCs, exogenously determined demand

Monitoring and verification costs Data already monitored independently Preexisting statutory auditing: CAG

Additionality Comprehensive I&C regime proposed in India But no maintenance guidelines, requirements

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Structure of a CDM projectThe Executive Board

Baselines Additionality Leakages

Monitoring & verification

CER marketPrice of CERs

Total CERs Cost of project

Cost issues Equity/Debt Vs

revenue streams CER revenues only as

revenue streams!!!

Page 29: A Maintenance Program for a bus fleet Lessons from a Potential CDM Project in India Kaushik Deb, TERI.

Structure the project well!!!