"The bottom line is that the United States must invest now in the development and implementation of new energy technologies. We need a new menu of energy options, which means: stable funding for energy R&D; strong incentives to pull new technologies into the market place; and effective mechanisms to ensure that technologies have a chance to compete."

"The focus of the workshop was on the demonstration stage of the technology innovation cycle. Current policies do not adequately address the private sector’s inability to overcome the demonstration "valley of death" for new energy technologies. Investors and financiers fear that the technology and operational risks at this stage of the cycle remain too high to justify the level of investment to build a commercial-sized facility."

"There is broad political consensus that the current energy system in the United States is unable to meet the nation's future energy needs, from the security, environment, and economic perspectives. New energy technologies are required to increase the availability of domestic energy supplies, to reduce the negative environmental impacts of our energy system, to improve the reliability of current energy infrastructure (e.g., smart grid, energy storage), and to increase energy efficiency throughout the economy."

The report is a summary of the discussions from a workshop on "Transportation Revenue Options" convened by the Belfer Center in May 2010. The workshop brought together 27 transportation experts for a two-day workshop to discuss three broad revenue-generating options: higher fuel taxes — perhaps supplemented by a carbon tax; fees collected based on vehicle miles traveled (VMT); and congestion fees on major roadways.

This policy brief is based on Belfer Center paper #2010-02 and an article published in Energy Policy, Vol. 38, No. 3.

Oil security and the threat of climate disruption have focused attention on the transportation sector, which consumes 70% of the oil used in the United States.
This study explores several policy scenarios for reducing oil imports and greenhouse gas emissions from transportation.

Even as the US debates an economy-wide CO2 cap-and-trade policy the transportation sector remains a significant oil security and climate change concern. Transportation alone consumes the majority of the US's imported oil and produces a third of total US Greenhouse-Gas (GHG) emissions. This study examines different sector-specific policy scenarios for reducing GHG emissions and oil consumption in the US transportation sector under economy-wide CO2 prices.

Reducing greenhouse gas emissions from transportation will be a much bigger challenge than conventional wisdom assumes — requiring substantially higher fuel prices combined with more stringent regulation. This paper finds that reducing carbon dioxide emissions from the transportation sector 14% below 2005 levels by 2020 may require gas prices greater than $7/gallon by 2020. It also finds that while relying on subsidies for electric or hybrid vehicles is politically seductive, it is ineffective and extremely expensive.

Liquid biofuels can provide a substitute for fossil fuels in the transportation sector. Many countries have mandated the use of biofuels, by creating targets for their use. If not implemented with care, however, actions that increase biofuel production can put upward pressure on food prices, increase greenhouse gas (GHG) emissions, and exacerbate degradation of land, forest, and water sources. A strong global biofuels industry will not emerge unless these environmental and social concerns are addressed.

"This chapter proposes to answer five fundamental questions: What exactly is the oil security problem, and how serious is it going forward? Why has it emerged at this point in time, and why has it been so difficult for the U.S. government to take the actions needed to mitigate it? Finally, what alternative policies are likely to be effective as the United States attempts to improve its oil security in the future?"

Pressured by skyrocketing demand, Chinese oil companies have branched out across the globe seeking new oil supplies to feed the country’s economic growth. By 2006, China had made oil investments in almost every part of the world, including Africa.