ESRI submission questions new carbon taxes

CAR OWNERSHIP "does not generate any emissions in Ireland, while car usage obviously does" the ESRI has told the Government in…

CAR OWNERSHIP "does not generate any emissions in Ireland, while car usage obviously does" the ESRI has told the Government in a submission. The ESRI submission suggested that "taxes and charges" should be based on usage, as opposed to ownership.

Under the changes proposed by the departments of Environment and Finance, the amount of VRT and Road Tax paid on new vehicles will be calculated on the vehicle's carbon emissions over one kilometre.

But this calculation is the same whether the vehicle is big or small, so those who drive thousands of kilometres and emit tonnes of carbon, will pay the same levels of VRT and Road Tax as those who own and drive a similar car infrequently, or even not at all. In pointing this out, the ESRI is echoing the position of the AA which has previously expressed concern about the effect of next month's taxation changes, particularly the inequity in relation to the "polluter pays" principle.

In the submission the authors maintain the costs faced by different modes of transport should reflect carbon emissions. While not mentioning the forthcoming changes to VRT and Road Tax by name, they call for research into fiscal changes. The submission, which also covers spatial planning and the movement of goods and people also comments of the danger of poorly researched fiscal moves in regard to freight transport.

READ MORE

A spokesman for the Minister for the Environment John Gormley said the fact was that larger cars were a factor in Ireland's transport emissions and the changes were about consumers making choices in line with environmental concerns.

Tim O'Brien

Tim O'Brien

Tim O'Brien is an Irish Times journalist