EU states 'incentivise sustainable driving'

Date: 23/4/2010

An increasing number of European countries are encouraging motorists to move towards more environmentally friendly vehicles.

According to the European Automobile Manufacturers' Association Tax Guide 2010, 17 EU states currently impose taxes on unsustainable cars, while 15 actively promote the uptake of electrically-powered vehicles.

Car firms across the continent are also in support of the government-imposed levies as a way to shape consumer demand towards energy efficient cars and create a market for green technologies, the organisation said.

"A harmonised CO2-based tax regime for cars should be a priority, applying a linear, technology-neutral system that is budget neutral in end effect. It would maximise emission reductions, support manufacturers and maintain the integrity of the single market," it added.

A recent study conducted by Clean Green Cars found that three manufacturers - Fiat, Toyota and Mini - have already reached the EU emissions target of 130 g/km carbon emissions ahead of the 2012 deadline.