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MEPs back end to cheaper diesel

March 19, 2012

Attempts to base all European fuel taxes on energy content and greenhouse gas emissions moved a step closer, when MEPs voted to make this obligatory from 2025 at the end of last month.

The European Parliament’s economic and monetary affairs committee approved this part of the EU energy taxation directive. As the effect will be to make diesel more expensive than petrol, the committee came under strong pressure from European People’s Party MEPs who wanted the link between energy/emissions and tax levels abolished, but an alliance of liberals, social-democrats and greens ensured the link was maintained.

The legislation will be voted on by the full Parliament next month, but MEPs have only an advisory role – the decision will be made by ministers, and needs to be unanimous.

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