Policy status:In Force
Date Effective:2009
Policy Type:Policy Support>Strategic planning
Policy Target:Bioenergy>Biofuels for transport
Policy Sector:Transport

A number of regulations and economic incentives have already been introduced to fulfil the vision of a vehicle fleet independent of fossil fuels by 2030. However, this mision is not unequivocally defined (e.g. can hybrid vehicles be interpreted as independent of fossil fuels). The Swedish taxation system supports the purchase of environment-friendly vehicles through a tax exemption throughout the first five years. This incentive has been strengthened with the introduction of an extra subsidy for “super environment-friendly” cars emitting less than 50 grams of carbon dioxide (CO2) per kilometre, which targets plug-in hybrids and electric vehicles. To promote alternative fuels, high-ratio blends of renewables into gasoline and diesel (E85, ED95 and biodiesel – 100% Fatty Acid Methyl Ester [FAME]) are subject to a full tax exemption. In addition, pumping stations which sell more than 1 000 cubic metres per year are required to offer a renewable fuel (e.g. E85). With regards to low-ratio blends into gasoline and diesel, there is no obligation today. However, in May 2014 the  introduced blending obligations which aim at an increased level of low blending. The law also introduced a specific sub-quota for advanced biofuels. Low-ratio blends of renewables have so far been incentivised through the general tax exemption on biofuels and the CO2 tax imposed on those sectors not covered by European Union's Emissions Trading Scheme. Another government priority has been research, development and deployment of clean vehicles (including a demonstration programme for e-mobility) and advanced biofuels, with the focus on the production of biofuels based on feed-stocks originating from forestry. In 2012, Sweden reached the binding European Union (EU) target that by 2020, the share of renewable energy in the transport sector should be 10%. The national long-term priority for 2030 is more ambitious than this target; a special committee was  established to investigate the options for facilitating development in line with the vision for 2030. The committee, which involved relevant stakeholders, presented its conclusions in December 2013. It suggested a broad range of measures, because one or a few policy intsruments will not be enough for reaching this goal. Thus, also e.g. new approaches to spatial planning will be required.

Related policies:An integrated climate and energy policy framework: "A sustainable energy and climate policy for the environment, competitiveness and long-term stability"

Last modified: Tue, 27 Sep 2016 18:00:39 CEST