Energy Use in the Transportation Sector

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Key highlights

Over the 1990 to 2016 period,
  • Energy efficiency improved 43%, saving Canadians 763.2 PJ of energy and $20.8 billion in energy costs in 2016.
  • Energy use increased 39%, from 1,877.9 PJ to 2,617.9 PJ. More cars, more trucks and greater freight mileage all contributed to increased energy use in this sector.

  • Passenger transportation
    • Energy efficiency improved 32%, saving 359.4 PJ, or $8.4 billion in energy costs in 2016.
    • Energy use increased by 22%. It would have increased 53% without energy efficiency improvements.

    Freight transportation
    • Energy efficiency improved 60%, saving 403.8 PJ, or $12.4 billion in energy costs in 2016.
    • Energy use increased by 63%. It would have increased 123% without energy efficiency improvements.

  Overview - Energy use

The sector is diverse and covers several modes of transportation including road, air, rail and marine. In Canada, these modes of transportation are used for transporting both people and goods.

In 2016, Canadian individuals and businesses spent $69.9 billion on fuel for transportation, which was more than 77% that of the industrial sector. This was due to the much higher cost of transportation fuels as compared to the sources of energy used in the Industrial and other sectors.

Passenger transportation accounted for 54% of total energy consumption, while the freight transportation subsector accounted for 42%. Off-road vehicles1 consumed the remaining 4%.

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Distribution of energy use by subsector, 2016

Percentage
Passenger transportation 53.9
Freight transportation 41.6
Off-road transportation 4.5
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Distribution of energy use by mode, 2016

Percentage
Road passenger 43.2
Road freight 35.6
Air 10.8
Rail 3.2
Marine 2.7
Off-road 4.5

  Transportation energy use

The significant growth of freight transportation increased the demand for energy in the transportation sector from 1990 to 2016. Increased consumption, just in time shipping and on-line shopping/home delivery have been the major factors in the increase of freight traffic.

Between 1990 and 2016, total energy use by the transportation sector increased 39%, from 1,877.9 PJ to 2,617.9 PJ, and associated GHG emissions increased 36%, from 132.3 Mt to 180.3 Mt.

Among the subsectors, freight transportation experienced more rapid growth, representing 62% of the increase in energy consumption. Furthermore, the growing preference to use commercial trucks, which typically consume more energy than other modes of transportation, in itself accounts for 100% of the increase in energy consumption of freight transportation and 48% of all transportation.

The freight transportation subsector was the main contributor to the increase in demand for diesel fuel.

From 1990 to 2016, diesel consumption increased 57%, because of the increasing use of medium- and heavy-duty vehicles on Canadian roads. Moreover, motor gasoline consumption, including ethanol, increased 38%, with freight transportation vehicles and passenger vehicles accounting for almost half and more than a third of that figure, respectively.

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Transportation energy use by energy source, selected years (petajoules)

1990 2000 2005 2010 2016
Motor gasoline 1120.4 1282.5 1376.1 1461.2 1544.7
Diesel fuel oil 469.8 660.4 745.3 819.0 739.4
Aviation fuels* 187.4 240.1 258.1 229.0 282.6
Other** 100.3 83.0 106.7 149.5 51.3
* “Aviation fuels” include aviation turbo fuel and aviation gasoline.
** “Other” includes electricity, natural gas, heavy fuel oil, and propane.

Toward the end of the 1970s, the Canadian government proposed voluntary targets to the vehicle industry. Between 1978 and 1985, performance standards for passenger vehicles improved from 13.1 L/100 km to 8.6 L/100 km but saw little further change to 2008. Targets for light trucks were introduced in 1990, resulting in a performance improvement from 11.8 L/100 km to 10.0 L/100 km by 2010.

In October 2010, the Government of Canada approved the Passenger Automobile and Light Truck Greenhouse Gas Emission Regulation. The goal of the regulation was to reduce CO2 emissions by 12% to 19%, depending on the light vehicle category, by 2016.

In recent years, initiatives and regulations designed to encourage technological progress were introduced for all other transportation modes in order to increase energy efficiency and improve the performance of the transportation modes.

Energy efficiency improvements in the transportation sector resulted in savings of $20.8 billion in energy costs for Canadians in 2016.

Between 1990 and 2016, energy efficiency in the transportation sector improved by 43%, which resulted in energy savings of 763.2 PJ in 2016. These savings were due to energy efficiency improvements in passenger transportation (359.4 PJ) and in freight transportation (403.8 PJ).

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Transportation energy use, with and without energy efficiency improvements, 1990–2016

Energy use without energy efficiency improvements Energy use with energy efficiency improvements
1990 1785.3 1785.3
1991 1737.9 1717.6
1992 1798.3 1761.5
1993 1861.3 1784.8
1994 1976.3 1879.2
1995 2057.3 1916.5
1996 2102.5 1958.5
1997 2214.6 2028.7
1998 2271.2 2085.8
1999 2341.8 2136.9
2000 2392.4 2157.4
2001 2397.6 2135.6
2002 2451.6 2161.1
2003 2533.9 2231.4
2004 2626.6 2310.5
2005 2678.8 2347.2
2006 2725.6 2328.8
2007 2800.4 2418.6
2008 2796.1 2407.5
2009 2753.6 2378.7
2010 2902.2 2484.1
2011 2935.2 2487.9
2012 2983.0 2513.3
2013 3062.1 2560.6
2014 3089.5 2515.9
2015 3153.7 2500.0
2016 3239.9 2476.7

  Passenger transportation energy use and GHG emissions

Transportation infographic
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Passenger transportation energy indicators

1990 2016
Total vehicles 14.2 million 22.8 million
Light trucks 19.5% 40.5%
Average per vehicle 17,824 Km/year 14,679 Km/year
Pkm covered 388.1 billion 547.2 billion
Vehicles per person aged 18 years and over 0.68 0.79

Light-duty vehicles (small cars, large cars, light trucks and motorcycles) were the main mode of transportation used by Canadians for passenger transportation2. Air transport, rail transport and transportation by bus or coach were also used, though to a lesser extent.

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Distribution of energy use by mode of passenger transportation, 2016

Percentage
Cars 38
Light trucks 39
Motorcycles 0.4
Air 20
Rail 0.1
Buses and urban transit 4.0

The number of light-duty vehicles per person aged 18 years and older has increased slightly.

The distance covered in Pkm3 for light vehicles (excluding urban transportation and coaches) increased on average by 1.2% per year between 1990 and 2015. The distance covered in Pkm for urban transportation and coaches increased on average by 1.3% per year between 1990 and 2016. The distance covered in Pkm for urban transportation and coaches increased on average by 1.5% per year between 1990 and 2016.

Consequently, the market share of public transit has increased over the past 26 years. Over this period, the energy consumption for passenger transportation increased by 22%, from 1,154.0 to 1,409.9 PJ, and the associated GHG emissions increased by 18%, from 80.9 to 95.2 Mt.

The mix of fuels used in the subsector has remained relatively constant. Motor gasoline has been the main energy source, representing 75% of the combination of fuels used in 2016.

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Passenger transportation energy use by fuel type, 1990 and 2016 (petajoules)

1990 2016
Motor gasoline 902.4 1061.9
Diesel fuel oil 47.2 58.9
Aviation fuels* 180.9 276.7
Other** 23.5 12.5
* “Aviation fuels” include aviation turbo fuel and aviation gasoline.
** “Other” includes electricity, natural gas, heavy fuel oil, and propane.

More Canadians are driving light trucks.

A growing number of Canadians bought light trucks (including minivans and sport utility vehicles [SUV]) rather than vehicles that have better ranking in fuel consumption. In 2016, light-truck sales comprised 56% of new vehicles sold for passenger transportation, compared to 24% in 1990. This shift from cars to light trucks has resulted in a significant increase in passenger-transportation energy consumption. Between 1990 and 2016, energy consumption associated with the use of light trucks increased at a faster pace than that associated with any other mode of passenger transportation (152% increase).

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Passenger transportation energy use by mode, 1990 and 2016 (petajoules)

1990 2016
Rail 3.8 2.0
Air 180.9 276.7
Buses and urban transit 46.0 50.9
Motorcycles 2.4 5.6
Light trucks 215.5 542.5
Cars 705.5 532.1

Air transport is becoming more popular.

Since 1990, Canadians are increasingly using air transport4, translating into a significant increase of Pkm (189%). However, energy consumption only increased by 53%, which shows a growing improvement in efficiency.

  Passenger transportation energy intensity and efficiency

Energy intensity

Between 1990 and 2016, energy intensity declined by 23%, from 2.3 MJ/Pkm to 1.8 MJ/Pkm. Improved vehicle fuel performance is the main reason for this reduction. The average fuel performance is measured by the quantity of litres consumed to cover a distance of 100 km (L/100 km).

All modes of transportation, with the exception of motorcycles, saw a reduction in energy intensity. Rail showed the greatest improvement, followed by passenger air and light trucks.

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Passenger transportation energy intensity by mode, 1990 and 2016 (MJ/Pkm)

1990 2016
Rail 2.82 1.44
Air 2.12 1.31
Buses and urban transit 1.29 0.98
Motorcycles 1.48 1.75
Light trucks 2.87 2.22
Cars 2.27 1.78

Energy efficiency

Isolating the effect of energy efficiency

Without energy efficiency gains, energy use would have increased 53% instead of 22%.

Various factors influenced change in energy use:

  • Activity effect – The activity effect (i.e. the number of Pkm travelled) increased energy use by 53%, or 593.8 PJ, with a corresponding 40.1-Mt increase in related GHG emissions. This increase in the number of Pkm (activity effect) is mainly attributable to a 226% increase in light truck activity and a 189% increase in air transportation activity.
  • Structure effect – Changes to the mix of transportation modes (or the relative share of Pkm attributed to air, rail and road transportation) are used to measure changes in structure. Thus, an overall change in structure would result in a decrease (or increase) in energy consumption if the relative share of a more (or less) effective mode increases in importance relative to the others. The relative share of Pkm travelled increased greatly for passenger air transportation and light trucks. The overall effect of the structure was positive, given the growing popularity of minivans and SUVs, which are more energy-intensive than other transportation modes. As a result, the analyses show a 37.3-PJ increase in energy use and a 2.5-Mt increase in related GHG emissions attributable to the structure effect.
  • Service level effect – There is no service level effect.
  • Weather effect – There is no weather effect.
  • Energy efficiency effect – The 32% improvement in energy efficiency saved 359.4 PJ of energy and 24.3 Mt of GHG emissions. The light vehicle segment (cars, light trucks and motorcycles) for passenger transportation accounted for 66% of those savings.
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Impact of activity, structure and energy efficiency on the change in passenger transportation energy use, 1990–2016

Petajoules
Total change in energy use 248.4
Activity effect 593.8
Structure effect 37.3
Energy efficiency effect -359.4
Other* -15.9
* “Other” refers to non-commercial airline aviation, which is included in the total change in energy use value, but is excluded from the factorization analysis.

In 2016, Canadian drivers saved $8.4 billion in energy costs due to a 32% energy efficiency improvement.

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Passenger transportation energy use, with and without energy efficiency improvements, 1990–2016

Energy use without energy efficiency improvements Energy use with energy efficiency improvements
1990 1154.0 1154.0
1991 1126.1 1109.5
1992 1170.1 1128.0
1993 1189.4 1131.7
1994 1223.7 1155.6
1995 1264.1 1176.8
1996 1278.7 1194.4
1997 1332.8 1221.5
1998 1357.7 1248.3
1999 1384.2 1271.6
2000 1405.5 1275.4
2001 1409.5 1249.7
2002 1445.0 1291.8
20031446.5 1295.6
2004 1486.2 1322.2
2005 1522.1 1343.5
2006 1526.0 1318.0
2007 1590.1 1365.1
2008 1585.7 1333.3
2009 1586.7 1319.3
2010 1630.6 1343.0
2011 1646.6 1338.0
2012 1656.0 1359.6
2013 1684.8 1391.6
2014 1666.9 1351.4
2015 1715.4 1382.1
2016 1769.3 1409.9

  Freight transportation energy use and GHG emissions

Transportation infographic
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Freight transportation energy indicators

1990 2016
Total freight trucks 1.9 million 5.2 million
Heavy trucks 297,000 463,000
Average for heavy trucks 51,886 Km/year 77,791 Km/year
Tkm travelled 131.1 billion 373.1 billion
Litres of fuel used per truck 6,800 4,800

In Canada, the freight transportation subsector includes four modes of transportation: road, air, marine and rail. Transportation by truck is divided into three types: light truck, medium truck and heavy truck. Energy consumption for freight transportation is linked to tonne kilometres (Tkm)5.

From 1990 to 2016, freight transportation energy use increased by 63%. Consequently, there was a 61% increase of associated GHG emissions, from 47.7 Mt in 1990 to 76.8 Mt in 2016.

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Freight transportation energy use by mode, 1990 and 2016 (petajoules)

1990 2016
Marine 106.5 69.6
Rail 85.7 81.5
Air 6.5 6.0
Heavy trucks 253.6 429.4
Medium trucks 120.6 290.9
Light trucks 97.6 213.0

The mix of fuels used in the freight transportation subsector remained relatively constant between 1990 and 2016. Diesel was the main energy source, representing 62% of all the fuels consumed for freight transportation.

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Freight transportation energy use by fuel type, 1990 and 2016 (petajoules)

1990 2016
Motor gasoline 165 365
Diesel fuel oil 423 680
Heavy fuel oil 60 32
Other* 23 13
* “Other” includes aviation turbo fuel, aviation gasoline, natural gas and propane.

Just in time delivery is stimulating the demand for transportation using heavy trucks.6

Using transport vehicles as virtual warehouses requires a transportation system that is “in time” and very efficient. Between 1990 and 2016, the number of heavy trucks increased 56%, and the average distance travelled increased 50%, reaching 77,791 km per year. However, heavy trucks are not only travelling greater distances but also transporting more freight, involving the use of an increasing number of trailers. This new trend has contributed to the increase in the number of Tkm and energy use in the freight transportation subsector.

Rail remained the main mode of freight transportation in Canada.

For many goods, such as coal and cereal, trucks are not an efficient mode of transportation. Rail and marine transport continue to be the modes of choice. They therefore have an important place in the freight transportation sector. Rail transport holds the first position in terms of Tkm of freight transported with 395.9 billion Tkm in 2016, 59% more than in 1990. In second position, heavy trucks transported 294.7 billion Tkm in 2016, which is 166% more than in 1990.

  Freight transportation energy intensity and efficiency

Energy intensity

Since 1990, all the modes of freight transportation have become more efficient with respect to energy consumption, based on the number of Tkm. Accordingly, the sector’s energy intensity has decreased by 4% over the period, from 1.2 MJ/Tkm to 1.1 MJ/Tkm travelled.

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Freight transportation energy intensity by mode, 1990 and 2016

1990 2016
Marine 0.56 0.34
Rail 0.35 0.21
Air 3.72 2.32
Heavy trucks 2.29 1.46
Medium trucks 8.85 6.07
Light trucks 9.29 6.99

Energy efficiency

Isolating the effect of energy efficiency

Without energy efficiency gains, energy use would have increased 123% instead of 63%.

Various factors influenced change in energy use:

  • Activity effect – The effect of activity (the number of Tkm travelled) translated into an increase in energy consumption of 73%, or 487.5 PJ, and in the associated GHG emissions of 34.3 Mt. This increase in the number of Tkm transported is mainly due to a 176% increase in the activity of trucks.
  • Structure effect – Changes to the mix of transportation modes (or the relative share of Tkm attributed to air, marine, rail and road transportation) are used to measure changes in structure. Thus, an overall change in structure would result in a decrease (or increase) in energy consumption if the relative share of a more (or less) effective mode increases in importance relative to the others. The change in modes is due to the increase in the relative share of goods transported by trucks compared to other modes. The overall effect of the structure was positive given the growth of Canada-US trade and the “just-in-time” delivery required by customers, thereby contributing to an increase in the use of road transportation modes, which are more energy-intensive than the others per Tkm. For example, the analyses show a 336.0-PJ increase in energy consumption and a 22.0-Mt increase in related GHG emissions attributable to the structure effect.
  • Service level effect – There is no service level effect.
  • Weather effect – There is no weather effect.
  • Energy efficiency effect – The 60% improvement in energy efficiency saved 403.8 PJ of energy and 28.4 Mt of GHG emissions. The road vehicle segment (light trucks, medium trucks and heavy trucks) for freight transportation accounted for 78% of those savings.
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Impact of activity, structure and energy efficiency on the change in freight transportation energy use, 1990–2016

Petajoules
Total change in energy use 419.7
Activity effect 487.5
Structure effect 336.0
Energy efficiency effect -403.8

In 2016, improvements in energy efficiency for freight transportation generated energy savings of $12.4 billion.

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Freight transportation energy use, with and without energy efficiency improvements, 1990–2016

Energy use without energy efficiency improvements Energy use with energy efficiency improvements
1990 670.5 670.5
1991 645.2 641.6
1992 658.5 663.8
1993 700.8 682.1
1994 781.2 752.1
1995 826.3 772.7
1996 854.0 794.3
1997 911.8 837.2
1998 943.6 867.6
1999 984.9 892.6
2000 1,013.8 908.9
2001 1,016.4 914.4
2002 1,034.1 896.8
2003 1,111.0 959.3
2004 1,170.2 1,018.2
2005 1,189.8 1,036.7
2006 1,230.8 1,042.0
2007 1,251.5 1,094.7
2008 1,248.9 1,112.8
2009 1,194.2 1,086.7
2010 1,297.1 1,166.7
2011 1,311.0 1,172.4
2012 1,346.5 1,173.3
2013 1,399.7 1,191.4
2014 1,442.6 1,184.4
2015 1,459.6 1,139.2
2016 1,494.0 1,090.2

  1. This category includes all the machines whose main use is not on public roads, such as snowmobiles and lawn mowers.
  2. With regard to passenger transportation, energy consumption is related to passenger-kilometres (Pkm). When the Pkm number rises, an increase in energy consumption is normally observed, unless there have been improvements in energy efficiency to compensate for the activity increase.
  3. A Pkm is calculated by multiplying the number of passengers carried by the distance covered. Consequently, when two passengers are travelling in the same vehicle and are transported across a distance of 10 kilometres, it is the equivalent of 20 Pkm.
  4. Transport Canada, Growing Canada’s Economy: A New National Air Transportation Policy, Ottawa, 2015.
  5. A Tkm describes the transportation of one tonne of freight over a distance of one kilometre.
  6. Adoption of the just in time stocking scheme by many businesses has had a significant impact on the freight transportation subsector. Such a system generally requires less inventory storage space because the orders are delivered at the moment they are required for production.