A key initiative in North America is to introduce incentives to drive smaller cars, which today are virtually non-existant. In addition, a shift to efficient modes of transport like rail, light rail and bus is important, especially in the expanding large metropolitan areas. Together with the rising price of fossil fuels, these changes reduce the huge growth in car sales projected by the Reference Scenario. In the Energy [R]evolution Scenario, the car fleet still grows by 20% from the year 2000 to 2050. However the energy demand of the transport sector is reduced by 47%. Highly efficient propulsion technology, including hybrid, plug-in hybrid and battery-electric powertrains, will bring large efficiency gains. A quarter of the transport energy demand by 2050 is covered by electricity, 30% by bio fuels.