The transportation sector accounts for nearly a third of US greenhouse gas emissions—more than any other sector of the economy. Passenger vehicles, responsible for most of the sector’s emissions, are also major contributors to local air quality concerns. Plug-in electric vehicles have the potential to greatly reduce emissions and associated health damage from the passenger vehicle fleet. But what’s the full extent of plug-in vehicles’ effects on decarbonization strategies and their associated benefits? How much will plug-in vehicles ultimately reduce emissions and health damage once the effects of gasoline vehicle usage and power plant emissions are accounted for?

New research from Resources for the Future (RFF) projects the climate, air pollution, and health benefits of plug-in EVs under different policy and market forces. The study finds that the benefits of EVs are complex and vary widely depending on market forces and which decarbonization policies are adopted.