Netherlands to levy 'green' road tax by the kilometre

Cars sit in traffic on a highway
Cars sit in traffic on a highway. The Dutch government said Friday it wants to introduce a "green" road tax by the kilometre from 2012 aimed at cutting carbon dioxide emissions by 10 percent and halving congestion.

The Dutch government said Friday it wants to introduce a "green" road tax by the kilometre from 2012 aimed at cutting carbon dioxide emissions by 10 percent and halving congestion.

"Each vehicle will be equipped with a that tracks how many kilometres are driven and when and where. This data will be then be sent to a collection agency that will send out the bill," the transport ministry said in a statement.

Ownership and sales taxes, about a quarter of the cost of a new , will be scrapped and replaced by the "price per kilometre" system aimed at cutting the Netherlands' by 10 percent.

" will be halved and it helps the environment," the ministry said.

Dutch motorists driving a standard family saloon will be charged 3 euro cents per kilometre (seven US cents per mile) in 2012. That would increase to 6.7 cents (16 US cents per mile) in 2018, according to the proposed law.

Every vehicle type will have a base rate, which depends on its size, weight and emissions.

Taxis, vehicles for the disabled, buses, motorcycles and classic cars will all be exempt.

"An alternative payment will be introduced for foreign vehicles," the ministry statement added.

The Dutch cabinet approved the road tax bill on Friday. It will need the backing of parliament before it becomes law.

(c) 2009 AFP


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Citation: Netherlands to levy 'green' road tax by the kilometre (2009, November 13) retrieved 31 October 2020 from https://phys.org/news/2009-11-netherlands-levy-green-road-tax.html
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