Global Comparison: Fuel Efficiency Labeling

Summary
Fuel efficiency labeling programs have been instituted in many parts of the world including the United States, United Kingdom, European Union, New Zealand, Australia, Singapore, China, South Korea, India, Chile, and Brazil. Fuel efficiency labels are displayed on windows of new vehicles for sale at dealerships in order to inform consumers.

A labeling program integrating all classes of vehicles will encourage the consumer to purchase a vehicle with higher fuel economy regardless of the size or type of vehicle. On the other hand, a class-based system is helpful if the consumer has already decided to purchase the vehicle of a particular class, such as an SUV. In such a case, the label will help the consumer in selecting a fuel efficient SUV.

Of the countries that currently have labeling programs, New Zealand, Singapore, Japan, the EU, Brazil, and the US include some form of comparative information. Labeling programs in China and Australia do not.

The following list highlights key features of certain labeling programs worldwide.
 * New Zealand includes a star rating system (half a star to six stars).
 * Labels in Europe use a lettering scheme from ‘A’ to ‘G’ instead of stars-- ‘A’ being the best, and ‘G’ being the worst. Brazil has adopted this scale as well.
 * In New Zealand, the UK, and the new US label, the comparison is based on an absolute fuel efficiency and/or CO2 emissions basis (i.e. the same scale of comparison is used for vehicles regardless of fuels, size, or weight).
 * In Singapore, the amount of tax incentives or surcharge is scaled by the amount of CO2 emission per car. The fuel consumption and the CO2 emissions are on an absolute scale.
 * In the U.S., the label shows the fuel economy of the vehicle compared to all other vehicles in the same size class.
 * Chile is the only country with emission standards displayed on the label.

Fuel Efficiency Labels by Country
{|
 * -valign="top"

United States
In United States, the EPA label displays the city and highway fuel economy in addition to combined fuel economy. A new label was issued in 2012, which includes GHG and conventional pollutant ratings. The label rates the vehicle on a scale of one to ten in terms of GHG and smog emissions. The label also displays an estimated annual fuel cost for the vehicle and the expected savings or increased costs for that particular vehicle compared to the average new vehicle. Plug-in hybrid and electric car labels also show the charge time and the expected range for each full charge. California had a separate label that displayed the GHG and smog ratings until the new US labels were established. More information is available at the US Department of Energy Fuel Economy page.
 * EPAnew.png
 * -valign="top"

European Union and United Kingdom
In 2000, the EU Parliament introduced legislation requiring that information on fuel economy and CO2 emissions be provided to consumers for all new passenger cars. Member states have developed different label designs under the Parliament’s general guidelines. Finland, the Netherlands, France, and the UK have adopted a scaled comparative label. These labels have a CO2 based color-coded band system that is similar to energy efficiency labels on appliances. Familiarity with such labels has led to their easy acceptance.

The European Union fuel economy label is based on an absolute scale and not by vehicle class. The vehicles are rated and color-coded from “A” (Best) to “G” (Worst) according to the CO2 emissions per kilometer. The UK label also includes road tax next to the average yearly fuel cost. The European Commission's Clean Vehicle Portal has provided a detailed explanation of the label.
 * EULabel.png
 * -valign="top"

Brazil
In 2009, the National Institute of Metrology, Standardization, and Industrial Quality (INMETRO) of Brazil introduced a labeling program for passenger vehicle fuel economy. Apart from information on vehicle make, model, type of transmission, and fuel economy (in km/L for ethanol and gasoline-fueled vehicles, and in km/m3 for natural gas vehicles), the label includes a comparative rating scheme. As shown in the label, the vehicles will be rated from ‘A’ (Best) to ‘E’ (Worst) according to their energy consumption. The ratings are determined separately for eight different vehicle categories. Four of the vehicle categories are defined by vehicle footprint (sub-compact, compact, medium, and large), whereas four other categories are defined by their functionality (off-road vehicles, light-commercial vehicles, cargo vehicles, and sports cars). Vehicle fuel economy labels are voluntary in Brazil.
 * BrazilLabel.png
 * -valign="top"

Singapore
The Fuel Economy Labeling Scheme for passenger vehicles is administered by the Singapore Environmental Council and supported by the NEA. The old Singapore label (started in May 2005) compares fuel consumption by engine size class for city driving conditions. The label mentions engine size and the minimum and maximum fuel consumption for that engine class.

On January 1, 2013, Land Transport Authority established a new fuel economy label. The new label shows the CO2 and fuel consumption of the car based on an absolute scale. In addition, the label has the new Carbon Emissions-Based Vehicle Scheme, which is explained further in the tax incentives section.
 * SingaporeNewLabel.png
 * -valign="top"

China
China’s fuel consumption labels have been mandatory on all cars since 1 January 2010. It includes city, highway, and combined fuel consumption. The label displays the vehicle name, model number, engine type, displacement (cc), curb weight, fuel type, GVW, horsepower, and transmission type. The label does not show CO2 emissions. Automobile Fuel Consumption of China has created an online tool for looking up fuel efficiency labels for specific cars for sale in China (in Chinese only).
 * ChinaLabel.png
 * -valign="top"

South Korea
The label was established in 2006 from the Energy Use Rationalization Act. Fuel economy is displayed on the label for all passenger vehicles, buses with 15 seats or less, and trucks with GVW of 3.5 tons of less. Vehicles are given a grade from 1 to 5, with 1 being the most economical.
 * SKLabel2.png
 * -valign="top"

India
The first fuel economy label in India was developed for new cars that were sold in fiscal year 2011-2012. This label, created by the BEE (Bureau of Energy Efficiency) is voluntary. The label shows the combined fuel economy of the vehicle, along with the ranking of fuel efficiency on a five star system. The fuel economy is shown on an absolute scale and on relative scale (which is the shaded gray part of the absolute scale).

India has another fuel economy label that the Society of India Automobile Manufacturers (SIAM) has created. This label is also not mandatory, and it is not available for every car. It can only be obtained from a car dealership. The SIAM label is slightly different from the BEE label. The scale is divided by the weight of the car. Then, within the weight class, the fuel economy is marked. The highlighted box in the scale is the range of fuel economy in the same weight class.
 * IndiaLabel1.png
 * -valign="top"

Chile
Chile became the first Latin American country to mandate LDV fuel economy labels in 2011. The label provides information on CO2 emissions, fuel economy (highway, city, and combined), model, and manufacturer. Chile is the only country whose emission standards are displayed on the label. More information can be found at Chile's Portal de Indicadores de Consumo Energetico y Emisiones Vehiculares (in Spanish).
 * ChileLabel.png
 * -valign="top"

New Zealand
New Zealand's fuel efficiency label displays a star rating. There is one rating scale for all vehicles – the more stars, the less fuel it uses (i.e. six stars for the most economic to a half a star for the least efficient). New Zealand has an online fuel economy label generator.
 * NewZealandLabel.png
 * -valign="top"

Australia
Australia’s fuel consumption label has been mandatory on all showroom vehicles since April 2009. The current label is not comparative, as in many EU countries, but does clearly display urban, extra-urban (rural), and combined test fuel consumption, as well as combined test CO2 emissions.
 * AustraliaLabel.png
 * }

Incentive Labels
In some countries, labels are also used to encourage the use of high-efficiency vehicles, whether it be from tax incentives or by prominently displaying the amount of money saved from avoided fuel cost.

{|
 * -valign="top"

United States
Labels for electric and plug-in hybrid-electric vehicles in the US display charge time, range per charge, and amount of money saved from avoided fuel cost.

In the US, plug-in hybrid-electric vehicles (PHEVs) and electric vehicles (EVs) that are purchased after 2010 may be eligible for a federal income tax credit up to $7,500, based on the capacity of the battery used to fuel the vehicle.
 * USincentiveLabel.png
 * -valign="top"

Singapore
Since January 1, 2013, the label features information from the new Carbon Emissions-Based Vehicle Scheme. The label shows the rebate amount for all new and imported used cars with low carbon emission of less than or equal to 160 g/km. On July 1, 2013, a surcharge will be applied for cars with high carbon emissions (>211 g/km).
 * SingaporeIncentiveLabel.png
 * -valign="top"

China
China’s tax incentive label (certificate) was published in June 2010. It is a promotion for certain cars with engine displacement of 1.6L and below. The consumer gets a one-time fixed subsidy of 3000 yuan/vehicle. The label displays the model and make of car, fuel consumption, and the price of subsidy.
 * ChinaIncentive.png
 * -valign="top"

Japan
Tax incentive will be applied for customers with attaining green, blue, or both labels. The Japanese government has extended the tax break through April 2015. 75% reduction of tax is applied for gasoline vehicles complying with 2015 fuel efficiency standards.
 * JapanIncentiveLabel.png
 * }

Links
Additional Resources

Content on this page is based on the ICCT presentation, Fuel Economy Labels: Focus on non-EU countries by Peter Mock and the ICCT publication, Overview of India's Vehicle Emissions Control Program (forthcoming).

References