Population growth and other factors, such as the geographical nature and the spacing of population clusters in the Kingdom, contributed to the increased demand for transportation in general, and land transportation in particular, as 2017 statistics indicate that the size of the vehicle fleet exceeds (13,000,000) thirteen million vehicles.
Light vehicles represent more than (80%) of the total size of vehicle fleet in the Kingdom, of which about (2.9) two million nine hundred thousand vehicles have a life span of more than (20) twenty year. This mainly contributed to increase the rate of the transportation sector consumption about (20%) twenty-one percent of the total energy consumption in the Kingdom, according to 2017 data
The fleet of vehicles is expected to keep its growth during the coming years, to reach by the year 2030 about (24) twenty-four million vehicles, and to increase its daily average consumption of gasoline and diesel to the double approximately if no measures are taken to reduce consumption.
The secondary programs that have been implemented to improve the fuel economy of imported light vehicles included the following:
- Issuing the vehicle energy efficiency card (VEEC) in December 2013 and applying its first phase in August 2014, and its second phase in June 2018.
- Issuing a standard specification regarding the requirements for anti-rotation and adhesion on wet surfaces, for tires in April 2014, and applying its first phase in November 2015 and its second phase in November 2019.
- Issuing "The Saudi Arabia Corporate Average Fuel Economy (CAFE) standards for Light Vehicles" in 2014 and applying its first phase to all imported light vehicles as of January 2016, and its second phase in January 2021.
The Saudi Arabia Corporate Average Fuel Economy (CAFE) standards for Light Vehicles aims at improving the rate of vehicle fuel economy in the Kingdom by about (3.5%) three and a half percent annually. It also aims at increasing it from (12.5) twelve and a half kilometers per liter of fuel in 2015, to more than (19) (Nineteen kilometers per liter of fuel, by 2025.
Upon preparing the standard in July 2012, the nature of supply and demand for vehicles in the Kingdom, and ongoing communication with global auto manufacturers have been considered by submitting reports on the economy of their vehicle fuel, and taking their observations and proposals, into consideration about the ongoing improvement in the standard level. This has been done while maintaining neutrality, fair competition, and variety of vehicle options available to consumers.
The preparation of the standard led to the approval and commitment of (78) seventy-eight companies representing a source of more than (99) ninety-nine percent of vehicle sales in the Kingdom by applying the Saudi Arabia Corporate Average Fuel Economy (CAFE) standards for Light Vehicles.
To ensure the application of the standard, an action eco-system has been prepared including four government agencies to bear the responsibility for monitoring the application of the standard, the compliance of global auto manufacturers with the requirements of the standard, and follow-up the improved rate of vehicle fuel economy in the Kingdom. These entities include the Ministry of Commerce and Investment, the Saudi Standards, Metrology and Quality Organization, the Saudi Customs, and the Saudi Energy Efficiency Center.