The Environmental Protection Administration (EPA) is considering a carbon-credit scheme to encourage people to replace aging scooters with electric ones, EPA Deputy Minister Tsai Hung-teh (蔡鴻德) said on Friday.
The scheme would next year replace the current vehicle subsidy program with a system that rewards people with one carbon credit and NT$2,000 for each electric motorbike they purchase to replace a conventional scooter that is 14 years or older, he said.
People would be able to trade their credits on one or more dedicated platforms, Tsai said, adding that the baseline value of a credit would be determined later.
Photo: Lo Chi, Taipei Times
The scheme is part of a government goal to be carbon neutral by 2050, an effort that involves creating a regulatory framework for all sources of mobile pollution and rethinking transportation as a service, he said.
The government’s overall goal is to incentivize the use of public transportation, electric vehicles and other low-emission transportation options, Tsai added.
The EPA’s announcement drew a mixed response from environmentalists and businesses, with many experts saying the scheme does not offer enough incentive to buy a new vehicle.
Tsai Chung-yue (蔡中岳), deputy executive officer of Citizen of the Earth, Taiwan, said the government deserves praise for creating an innovative program, adding that the scheme could help Taiwanese track their carbon emissions.
However, evidence suggests that carbon markets do not effectively curb emissions, he said, adding that the government would achieve better results by making public transportation cheaper and more efficient.
The EPA’s carbon offset price is expected initially to be set at NT$100, which means that one carbon credit would yield a return of just NT$29 in a year and less than NT$1,000 in 10 years, assuming carbon offset prices quintuple and the electric vehicle industry is entirely powered by renewables, said Chao Chia-wei (趙家緯), an adjunct assistant professor of climate change and sustainability at the National Taiwan University.
“Subsidies are superior to credits altogether as an incentive for buying [electric vehicles],” Chao said, adding that the costs and red tape of getting carbon credit certificates are intimidating to the average consumer.
The motorbike industry expects to lose 720,000 sales if the EPA proceeds with its changes to vehicle subsidies, Kwang Yang Motor chief executive officer Ko Chun-ping (柯俊斌) said.
An electric motorbike’s carbon footprint is about the same as a gasoline-powered scooter due to the emissions that are associated with the total lifecycle of the batteries, a SYM Motors spokesperson said, adding that the EPA should not favor one type of vehicle over another.
Additional reporting by Yang Ya-min
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