3. ENERGY, CLIMATE CHANGE AND TRANSPORT

Transport emissions and policies

Transport is the most important sector to be decarbonised in Sweden. In 2017, it accounted for less than one-quarter of the total final consumption (TFC) of energy, but over half of energy-related CO2 emissions (Figure 3.2). Furthermore, a large share of the remaining energy-related emissions is from combustion in large heat and power plants and industries, which are included in the EU-ETS and regulated on the EU level. Among energy-related emissions outside of the EU-ETS, transport accounts for the vast majority. Transport emissions are therefore an important focus area for the Swedish government and are discussed in more detail in this review.

Energy consumption in transport

In recent years, biofuels have rapidly increased and become a significant energy source in the sector (Figure 3.8). In 2017, biofuels accounted for 18% of the TFC in transport1 (17% liquid biofuels and 1% biogas), after a fivefold increase in ten years. This is by far the highest share among IEA member countries, over twice as high as in Norway, in second place. Sweden has already reached its 2020 target of 10% renewable energy in the transport sector by a large margin. As a result of the rapid growth in biofuels, oil consumption in the Swedish transport sector declined by 12% in 2006-16, despite a 3% increase in the overall transport energy demand.

Figure 3.8 TFC in transport, 1973-2017

Biofuels have increased rapidly and are replacing oil in the transport sector. In 2017, biofuels accounted for 18% of the energy demand in the sector.

*Biofuels includes liquid biofuels and biogas.

**Negligible.

Note: Mtoe = million tonnes of oil equivalent.

Source: IEA (2019b forthcoming), World Energy Balances 2019 preliminary edition, www.iea.org/statistics/.

The growth in biofuels was initially bioethanol, supported by the “Pump Act” that obligates large filling stations to offer at least one pump with a biofuel option (Box 3.1). In recent years, biodiesel has become the main biofuel in road transport through a rapid growth in hydrogenated vegetable oil (HVO). Unlike bioethanol, which requires specific car engines, HVO can replace normal diesel without any modifications to the car or the infrastructure.

1 Not including double counting methods used in the European Union Renewable Energy Directive.

41

ENERGY SYSTEM TRANSFORMATION

IEA. All rights reserved.