Abstract

This study is part of a larger research project on "Promoting Low-Carbon Transport in India", a major initiative of the United Nations Environment Programme (UNEP), hereafter referred to as the Low Carbon Transport (LCT) project in this document. The overall context in which the LCT project has been undertaken is the critical role of the transport sector in reducing greenhouse gas (GHG) emissions. India is currently the fourth largest GHG emitter in the world, although its per capita emissions are less than half the world's average. Furthermore, India's transport sector accounts for 13 percent of the country's energy related CO2 emissions. It is evident that opportunities exist to make India's transport growth more sustainable by aligning development and climate change agendas.

At present, India is pursuing a comprehensive set of policies to move the country to a low-carbon growth path. In 2009, India announced that it would reduce the emissions intensity of its gross domestic product (GDP) by 20 percent to 25 percent over the 2005 levels by the year 2020. Specific measures to attain these goals are also being developed through the national missions identified in the National Action Plan on Climate Change (NAPCC) of 2008. The NAPCC recognises that GHG emissions from transport can be reduced by adopting a sustainability approach through a combination of measures such as increased use of public transport, higher penetration of bio-fuels, and enhanced energy efficiency of transport vehicles.