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Minimise barriers to develop car-sharing in emerging markets – new report

By News Editor / Updated: 27 Jan 2016

Institutional support and an enabling environment are crucial if emerging cities are to successfully establish car-sharing, a global sustainability research organisation has said.

The World Resources Institute (WRI) reviewed existing literature and interviewed mobility experts and car-sharing operators to develop an initial understanding of the feasibility of car-sharing in developing cities.

In the first comprehensive study of its kind, the WRI found that these cities face serious obstacles, such as the aspiration of the middle-class to own a car, acute congestion and a lack of available or adequately regulated parking.

Authorities are also increasingly imposing restrictions and economic disincentives on the purchase and use of vehicles, including shared vehicles, to address growing congestion, pollution and accidents.

Despite these obstacles, however, the WRI reports that the growth of car-sharing in India and China has far outpaced established markets such as the United States and Europe.

‘Car-sharing can provide a powerful mobility alternative for emerging markets, where the pace of urbanisation and motorisation is highest,’ WRI president Andrew Steer said.

‘This [research] suggests that there are car-sharing markets ripe for development if stakeholders can minimise barriers.’

For more information, and to download the WRI’s report, visit wri.org.

Image: WRI

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