20 per cent of fuel efficiency savings diminished by increased driving, experts warn

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Energy experts from the University of Sussex have found that an estimated 20 per cent of energy-saving benefits are reduced because drivers use their vehicles more.

The study, published in Energy Economics, defined the revelation as a long term ‘rebound effect’ which is used to describe the increased consumption of cheaper energy services.

The study is also one of the first investigations into British motoring habits and monitored the behaviour over the last 40 years.

Dr Lee Stapleton, research fellow in the University’s Centre on Innovation and Energy Demand, said: “Improvements in fuel efficiency should lead to reductions in fuel consumption. But since improved fuel efficiency makes driving cheaper, some of the potential fuel savings are ‘taken back’ through increased driving.

Part of the difficulty of the study, lay in disagreements regarding the most accurate way to measure the ‘rebound effect’. In order to yield the most accurate result, the Sussex researchers tested more than a hundred different models, each taking into account different variables.

The lowest estimate of the rebound effect came out at nine per cent and the highest, 36 per cent. The average was 20 per cent.

“We call this the rebound effect and it is well-documented in other sectors. For instance, we know that insulation of housing encourages people to enjoy warmer homes, rather than taking all the benefits in the form of lower bills.

“Until now, we didn’t know the size of this effect for British motoring. We found evidence of a significant, long-term rebound and expect our results to be of interest for public policy.” 

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