European car makers call for greater harmonisation of CO2 taxation
Tue 01 April 2008
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The European car makers association, ACEA, says that fourteen West-European countries now levy some form of CO2 tax on passenger cars. While the Association says that it welcomes this trend, it says that there is too much inconsistency in the way that the taxes are levied.
An ACEA survey shows that a number of countries - including France, Spain, Finland and Ireland have introduced CO2-related car taxation over the last 15 months. In addition, the report says, countries such as the Netherlands, Denmark and Portugal implemented significant changes to their existing schemes.
ACEA says that the environmental results may be negatively influenced by the lack of harmonisation across the tax schemes being adopted across Europe.
Ivan Hodac, ACEA's Secretary General said: “CO2 related taxation of cars and of alternative fuels are an important tool in shaping consumer demand towards fuel-efficient cars. Only a harmonised tax scheme, however, will give the necessary clear market signal which will be decisive in achieving the desired cuts in CO2 emissions.”
ACEA says that the car industry would prefer a linear system, in which tax levels are directly proportionate to a car’s CO2 emissions with every gramme of CO2 taxed the same. Car tax schemes, it says, should neither include nor exclude specific technologies and be budget neutral in end-effect.
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