EU Unites on Emissions Tax

German transportation minister Wolfgang Tiefensee wants to change the country’s vehicle tax from being based on the size of the vehicle to the amount of emissions produced. While such thinking would be shocking in the U.S., in Europe it is becoming the standard. According to Deutsche Welle "Nine EU countries currently have a registration fee […]

German transportation minister Wolfgang Tiefensee wants to change the country's vehicle tax from being based on the size of the vehicle to the amount of emissions produced. While such thinking would be shocking in the U.S., in Europe it is becoming the standard.

Tailpipe_1

According to *Deutsche Welle *"Nine EU countries currently have a registration fee or motor vehicle tax contingent on CO2 emissions." In several countries, vehicle operators pay a yearly registration fee based on the amount of carbon dioxide and other emissions that their vehicles produce.

While the political environment regarding limiting emissions is changing here in the U.S., a carbon tax for vehicles -- no matter how beneficial it may be -- won't come from this administration, and the
Democrats in Congress won't likely tackle the issue for some time. The issue is still too divisive for politicians to take on the flailing auto industry now, as they would scream bloody murder. But if a
Democrat wins the White House in 2008, a carbon tax would probably be on the agenda.

Source: Deutsche Welle