Germany adopts 40% emissions reduction target for 2020; introduces tax benefits for greener cars

Tue 04 September 2007 View all news

The German Cabinet has formally approved a strategy aimed at cutting greenhouse gas emissions by 40% compared with 1990 levels by 2020 and improving energy efficiency by 3% a year. In a related development, Germany is planning to introduce tax incentives for cleaner cars.

The German strategy echoes the European commission’s goal that average CO2 emissions of new cars from 2012 should reach 130 grams per kilometre.

ENDS reports that other measures include a requirement that by 2020, the share of biofuels in the transport sector must equal 20%. Motorway tolls on heavy lorries are to be linked more closely to their emissions.

The German Government is also reported to be planning to give tax advantages to buyers of lower carbon cars in the next two years.  A report in the Financial Times Deutchland said the taxes would be calculated on the basis of a car's level of toxic emissions and the changes could be implemented either in 2008 but more likely in 2009.

Related Links

< Back to news list