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A review of recently available data on both on-road fuel economy and new car test fuel economy shows that while US on-road fuel economy has been flat for almost 15 years, major European countries and Japan have shown modest improvements in response to "voluntary" agreements on fuel economy, steadily rising fuel prices (since 2002), and to some extent shifts to smaller cars and 2nd family cars. At the same time the sales weighted average of new vehicles sold in the European Union, expressed in terms of their implied CO2 emissions, have fallen short of 2008 goals. That a significant part of the improvements in Japan are related to the growing share of mini-cars (displacement under 600 CC) suggest that technology is not the only factor that can or will yield significant and rapid energy savings and CO2 restraint in new cars. Fuel economy technology, while important, isn't the only factor that explains differenced sin tested or on-road fuel economy when comparing vehicle efficiency and transport emissions in different countries. Fuels, technology, and driver behavior also play significant roles in how much fuel is used. As long as the upward spiral of car weight and power offsets much of the impact of more efficient technology on fuel efficiency, fuel economy will not improve much in the future. And as long as the numbers of cars and the distances cars are driven keep creeping up, technology alone will have a difficult time offsetting all of these trends to lower fuel use and CO2 emissions from this important sector.

His dream has come true. There's now more than one vehicle for every licensed driver in the United States, and other developed countries are not far behind. But has the car's success created the conditions for its own demise? Conventional wisdom of market researchers, consultants, and other experts is that the automobile and its petroleum-powered internal combustion engine will be with us for a long time and that any energy and environmental problems can be readily solved. The automotive industry would very much like to believe that cheery prognosis - and perhaps it's correct. But suppose it's not. What if global warming and climate change accelerate? What if people and governments begin to demand and expect even higher environmental quality? And how will the United States and other developed nations respond to growing oil imports?

Greenhouse gas emissions in developing countries are increasing most rapidly in the transportation sector. Even people with low incomes are meeting their need for mobility, and projected income growth over the next two decades suggests that many more will acquire personal modes of transportation. How this will affect the earth's climate is a great concern. In Delhi, India, transportation sector greenhouse gas emissions are expected to soar. There are policy and technology choices that could significantly lower the emissions growth rate while increasing mobility, improving air quality, reducing traffic congestion, and lowering transport and energy costs. To realize these benefits, vision, leadership, and political will must be brought to bear. Delhi has high vehicle ownership rates for the city's income level, increasing congestion, poor air quality, poor safety conditions, and insufficient coordination among the responsible government institutions. Travelers in Delhi desire transportation services, reflected by the increasing numbers of inexpensive but highly polluting scooters and motorcycles. This report creates two scenarios of greenhouse gas emissions from Delhi's transportation sector in 2020. It finds: •Greenhouse gas emissions quadruple in the high-GHG, or business-as-usual, scenario; but only double in the low scenario. •Transportation policies are readily available that will not only slow emissions growth, but also significantly improve local environmental, economic, and social conditions. •Improved technology would maximize the efficiency of automobiles, buses, and other modes of transportation and could play a key role in reducing emission increases. •Keeping many travel mode options available – including minicars and new efficient scooters and motorcycles – will help individuals at various income levels meet their mobility needs. •The time to act is now. The issues facing Delhi represent opportunities for improvement, but the longer authorities wait to address transportation inefficiencies, the more difficult and expensive it will be to produce a positive outcome.