Browse by topic: Freight, Fuels


Enrico Letta, Pascal Lamy and Hans Eichel urge European leaders to use a green tax shift to fix the EU budget

The EU should fill its post-Brexit budget gap with new revenues from taxing transport, which is Europe’s biggest emitter of greenhouse gases, former Italian prime minister Enrico Letta, ex-WTO head Pascal Lamy, former finance minister of Germany Hans Eichel and 14 other economists have told EU leaders. In advocating a green tax shift, they called for a higher minimum tax on road diesel, VAT on airline tickets for the first time and taxing aviation kerosene which is currently exempt. Sustainable transport group Transport & Environment welcomed the letter, citing its own analysis that such a green tax shift would generate additional revenues of more than €50 billion a year which would allow for the income tax burden to be reduced.

Published on February 22, 2018 - 11:52

Will European trade undermine the EU’s move to clean biofuels?

The EU is negotiating trade deals with Mercosur (Argentina, Brazil, Paraguay and Uruguay), Indonesia, and soon Malaysia, These trade deals represent a risk for the EU’s sustainable transport plans. All mentioned countries are producers and exporters of crop-based biofuels, especially from palm and soybean oil that have higher overall emissions than fossil diesel. All ongoing negotiations include chapters on energy and raw materials.

Published on July 6, 2017 - 15:09

Parliament to decide next week on strengthening key EU climate law

The European Parliament will vote next week on whether to strengthen the proposal for Europe’s key climate law, the so-called Effort Sharing Regulation (ESR) – or ‘Climate Action Regulation’, the name agreed by the environment committee. MEPs will be asked to back a more ambitious starting point than the European Commission’s proposal and to close some loopholes to ensure member states actually reduce their emissions.

Published on June 8, 2017 - 17:47

Frequently asked questions on the ESR Safety/Early Action Reserve

The Effort Sharing Regulation (ESR) defines the carbon budget for EU member states for the non-traded sectors (surface transport, buildings, agriculture, small industry and waste) until 2030. If the ESR’s headline goal of -30% compared to 2005 is undermined through loopholes, the ESR will not lead to real-world emission reductions in those sectors. This FAQ is aimed at bringing clarity to one element being discussed during the negotiations: the ESR Safety/Early Action Reserve.

Published on May 29, 2017 - 17:56

Shift taxes to polluting transport to fix EU budget and tax workers less, leaders told

There are growing calls for a green tax shift to the transport sector, which would help fill a gap in the EU’s budget after the UK leaves. A T&E analysis has found new measures such as a carbon tax on motor fuels, aviation kerosene duty, and ending the VAT exemption for flights within and from Europe would raise more than €50 billion annually. And last week, as EU leaders discussed the looming gap, 17 eminent economists rowed in behind the idea, calling it a ‘once in a decade opportunity’ to create a fossil-fuel contribution to the EU budget.

Published on March 1, 2018 - 14:31

A green tax shift to transport can help fix the EU budget

Transport is Europe’s biggest climate problem, representing 27% of the bloc’s greenhouse gas emissions. If Europe is to meet its climate targets and avoid the severe impacts of climate change, additional action is needed to tackle emissions from the transport sector. Meanwhile, the EU is drafting the post-2020 budget with a proposal expected in May 2018. The annual €10-14 billion gap that will be left as a result of the UK’s departure from the EU has triggered debate on alternative sources of revenue for the EU budget. This position paper outlines how a green tax shift has a key role to play in tackling transport emissions and addressing a gap in the EU's budget post-2020.

Published on February 22, 2018 - 11:28

Future of biofuels in Europe hangs on MEPs’ vote

The continued use of high-emitting biofuels to power Europe’s cars and trucks is up for decision in the European Parliament next week. In deciding the Parliament’s position on reform of the Renewable Energy Directive, MEPs will be asked whether European drivers should be obliged to burn massive quantities of food crops in their fuel tanks until 2030.

Published on January 10, 2018 - 16:32

Transport now biggest source of US climate emissions

Transport has taken over from power generation as the biggest source of greenhouse gas emissions in the US – and the situation is likely to get worse as the Trump administration plans to weaken emissions standards. T&E says the policy will only damage US carmakers. Transport has been the single biggest emitter of greenhouse gases in Europe since 2016.

Published on January 10, 2018 - 15:35

National governments do little to share effort on climate goals

National governments and MEPs have reached a provisional deal on Europe’s key climate law which will cover about 60% of the Europe’s total greenhouse gas emissions. The Effort Sharing Regulation, now renamed the Climate Action Regulation, provides flexibilities and loopholes that could see Europe miss its 2030 target. The law sets binding national emission reduction targets for the 2021-2030 period for sectors not covered in the emissions trading system, mainly: road transport, buildings, agriculture and waste.

Published on January 10, 2018 - 11:03