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Monday, 29 October 2018

When government policy works: The white cab program slashed Egypt’s carbon dioxide emissions by 310k tonnes in 2013-2017

** #2 When government policy works: The white cab program slashed Egypt’s carbon dioxide emissions by 310k tonnes in 2013-2017: A government scheme to scrap and recycle old taxis in Egypt led to a 310k ton decrease in Egypt’s carbon dioxide emissions between 2013 and 2017, the World Bank said on Thursday. The WB is expecting emission reductions to reach 350k tons by the end of this calendar year. The program took some 45k aging taxis off the streets by providing drivers subsidized financing for modern, fuel-efficient, locally assembled vehicles.

Background: In a bid to combat air pollution, Egypt passed a new traffic law in 2008 that banned renewing licenses of taxis and microbuses that were over 20 years old. To facilitate the transition for cab drivers, the government then allowed taxi owners affected by the law to turn in their vehicles for scrap and buy new vehicles installments. The government at the time lined up World Bank assistance through its Carbon Partnership Facility (CPF). The WB committed up to USD 8.3 mn in funding for the initiative through to 2021.

Rollout to other governorates? The program, originally focused squarely on Cairo, could roll out in the future to other governorates, the World Bank suggests, and is being studied by other African governments.

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