Design and Administration of Accelerated Vehicle Retirement Programs in North America and Abroad

Abstract

Several countries, states, and local agencies have debated and many have adopted voluntary accelerated vehicle retirement (VAVR) programs. The basic premise behind a VAVR program is to reduce emissions by taking an older, more polluting vehicle off the road before its owner would otherwise scrap it. A descriptive overview of the components of past and current VAVR programs in the United States and Canada is provided, with some comparisons with programs abroad. VAVR programs in North America fall into two broad categories—programs that generate “mobile source emission-reduction credits” that can be used to comply with other air quality regulations, and programs in which emission reductions are “used” only to help meet air quality standards. Incentives in the U.S. programs range from $400 to $1,000. The programs include a variety of criteria, including ownership and operability standards, to help ensure that emission reductions are real.