Dr. Taek-Whan Han, Professor, Seo-Kyeong University, Korea.

Speech Title: Effect of EV and FCEV Diffusion within the Automobile Industries to Korean Economy with an Emission Trading System: A CGE Approach

Abstract: This paper constructs a CGE model of the Korean economy to analyze the impact of replacement of conventional internal combustion vehicles by EV (electric vehicles) and FCEV (fuel cell electric vehicles) within the automobile industry.

Diffusion of EV and FCEV would induce important change in energy use and production. Regarding FCEV, hydrogen related energies such as natural gas will get a growth impetus. Regarding EV, electricity will face higher demand. Gasoline and light oil will face lower demand. This is an energy demand structure impact.

It is also expected that urban air quality is to be improved, but it is uncertain whether there is any adverse effect on the environment due to any inter-linkage effect. EV and FCEV would contribute to the reduction of GHG emissions in use of vehicles. However, higher demand of electricity in transportation sector will result in higher GHG and air pollutants in power sector. This is the environmental impact.