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Road charging spectre returns

Date: 12 October 2009   |   Author: Tristan Young

Cost is all again

Road charging has been returned to the political agenda thanks to a new report from independent Government body the Committee on Climate Change.

The committee, which was set up by the Climate Change Act to advise the Government and parliament on the progress of green initiatives, has suggested road pricing be "seriously considered" to change consumer behaviour and reduce carbon emissions.

"Price levers are potentially useful in reducing emissions," said the report called Meeting Carbon Budgets.

The committee suggests "fuel duty might be used to offset reductions in the oil price, or fuel duty might be increased to yield a short-term emissions reduction if the carbon Budget is off track".

The report continues: "There is a good economic rationale to introduce road pricing and thereby reduce congestion.

"Evidence in the report suggests that road pricing would result in a significant emissions reduction if there were no offsetting reductions in other aspects of transport pricing. The committee recommends therefore that the Government should seriously consider road pricing."

The committee also praises the Government for its planned support of up to £5000 for electric cars, but adds that this support should be phased out between 2014 and 2020 otherwise the cost of the scheme could be "considerably higher than the Government's £250 million commitment".

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