Browse by topic: Lorries, Pricing and taxation


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

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

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

Two-faced EU governments are gutting Europe’s key climate law, say 6 NGOs

EU governments must step back from irreparably weakening Europe’s biggest climate law, six of Europe’s leading environmental NGOs have said, after talks between member states and the European Parliament ended in deadlock this week. The proposed Effort Sharing Regulation sets binding national emission reduction targets for the 2021-2030 period, but governments are insistent on loopholes that would actually result in hundreds of millions of tonnes in additional CO2 emissions.

Published on December 15, 2017 - 10:28

Will more kilometre charging for trucks hasten the end of time-based vignettes?

The days of time-based charges for heavy-goods vehicles may be numbered after it emerged that two more EU member countries are close to introducing distance-based charging schemes for heavy goods vehicles. The Netherlands and Bulgaria plan to introduce distance-based charging, and the timing could be important for the future of truck charging in Europe.

Published on December 4, 2017 - 16:57

The role of road charging in improving transport

On 31 May 2017, the European Commission published its proposal to review the ‘Eurovignette’ Directive. The Directive defines how Member States of the European Union can charge vehicles for their use of road infrastructure and was conceived to ensure the proper functioning of the EU transport market. Transport accounts for around a quarter of EU GHG emissions. Meanwhile air pollution from road transport contributes to over 400,000 premature deaths per year, 26,000 people die in traffic annually, and the EU economy loses €100 bn every year in congestion. This briefing outlines why road charging is a key instrument to tackle this.

Published on September 12, 2017 - 14:49

EU proposes distanced-based road tolling to drive truck fuel efficiency

Time-based road tolling for trucks is to be phased out in Europe by 2024, the European Commission has proposed. T&E welcomed the switch to a distanced-based system which, by charging per kilometer, encourages drivers to take the most efficient route and discourages empty trips while reducing congestion and pollution.

Published on June 8, 2017 - 18:09