Study of Climate Action Solutions for Different Types of Transportation Related to Private Sector Production Processes

Project description

In this context, Climate Lead Group (CLG) supported the assessment of climate action solutions for Costa Rica’s tourism, light-duty, and heavy-duty transport sectors, providing the private sector with practical pathways to reduce emissions and strengthen resilience to climate impacts. Given that transport accounts for more than half of the country’s net greenhouse gas emissions, advancing low-emission mobility is critical to achieving national climate goals. The study evaluated a range of technological options, including electric minibuses and buses for tourism transport, battery-electric and hydrogen-based solutions for heavy-duty transport, and electric vehicles for light-duty fleets. The cost-benefit analysis (CBA) showed that electrification is economically viable for tourism and light-duty transport, while heavy-duty transport faces higher financial barriers and requires significant long-term investment. Using the OSeMOSYS-CR model, the analysis compared a baseline scenario with a climate action scenario that integrates electric and hydrogen technologies. Results indicated that by 2050, between 58% and 71% of energy demand in these subsectors could be met with electricity, reducing reliance on fossil fuels despite the need for additional investments in electricity infrastructure. The project also identified key barriers and enabling actions—such as charging infrastructure, supply chains, and cost reductions—and prioritized solutions based on technical, economic, and social feasibility. Through this work, CLG provided a robust analytical foundation to support strategic decision-making and accelerate the transition toward a cleaner, more resilient transport system aligned with Costa Rica’s decarbonization objectives.