ANALYZING THE IMPACT OF ENERGY EFFICIENCY MEASURES ON FIJI’S LAND TRANSPORT SECTOR USING GCAM-EML

Abstract

Fiji, a small island nation in the Pacific, faces a primary challenge within its energy sector and is its heavy dependence on imported fuels. Fiji's socioeconomic status is significantly impacted by the energy industry because of high and volatile fuel prices as well as significant import costs. The Growth of the number of vehicles and its users on Fiji’s road experienced a 70% increase for the past 15 years. The land transport sector is the predominant sector that consumes almost 60% of the total imported oil products (Diesel and unleaded petrol) and is the largest contributor towards our Greenhouse gas emissions (GHG). This Research was based on Fiji’s Nationally Determined Contributions (NDC) Mid-Term Action Plans 2017- 2030 and the existing Transport policies that was modelled through the Integrated Assessment Model “GCAM- EML”. The study focused on the efficiency (EE) of Fuel (Biofuel) and Technology (Euro standard) and also on the reduction of import vehicle tax (input cost). The main aspect of the study was to analyze the implications of how the reduced import vehicle taxes and ECAL value would impact Fiji’s NDC target’s pathway (whether it is on track or not). The study highlights the positive impacts the Biofuel (B5) and European standard vehicle policy has on Fiji’s energy consumption and GHG emissions when they are introduced into the transport sector. However, the study based on the policies investigated under the scenarios, indicates that Fiji’s pathway to achieving its NDC targets from the transport sector is not on track. The study therefore suggests that Fiji needs to introduce policies like a fuel tax and or a carbon tax mechanism and also push for the slow transition into electrifying of its land transport sector, which could help the country's efforts to reduce its energy consumption and CO2 emissions intensity even further, Fiji still has a number of challenges to overcome before reaching its NDC targets, including the expense of converting to renewable energy, creating infrastructure that is resilient to climate change, and carrying out adaptation measures. The study suggests that in order to accomplish its targets, Fiji needs to strengthen its regulatory frameworks, governance structures, and coordination systems; align policies across various industries. Keywords: Land transport sector, Integrated Assessment Model (GCAM-EML), Nationally Determined Contributions (NDC), Transport policy, Greenhouse Gas (GHG).