Thursday, April 14, 2011

EU executive outlines green plans for fuel tax

The European Union's executive outlined plans on Wednesday to tax high-energy fuels, a move which users fear could push up the price of diesel but which EU officials hope will fight global warming.

The blueprint, which could become EU law by 2013, attempts to make taxes on motor fuels, in particular, more environmentally friendly by raising the minimum levy on polluting diesel to bring it into line with petrol. But the framework, which carmakers and motorists worry could inflate the price of diesel because its high-energy content puts it in line for steeper taxes, has put Brussels on a collision course with Europe's biggest car producer, Germany.

Source: Reuters

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