‘Carbon ration account for all proposed by Environment Agency’

THE TIMES – 09/11/09

Lord Smith of Finsbury, the Chairman of the Environment Agency, has suggested that rationing is the fairest and most effective way of meeting Britain’s legally binding targets for cutting greenhouse gas emissions. Each person would have a ‘carbon account’ and a unique number that they would submit when making purchases of carbon intensive items such as petrol, electricity or airline tickets, and would then receive statements showing the carbon weight of each purchase and how much of their ration remained. Those that used up their ration within a year would have to buy extra credits from those who had not used their full allowance. It was argued that this system would be fairer than carbon taxation because of the risk that carbon taxes would make certain activities, such as flying, too expensive for people on low incomes. Read the article…

‘Green car sales rise after incentives introduced’

THE IRISH TIMES – 06/11/09

This article highlights findings released by Sustainable Energy Ireland (SEI) indicating that tax incentives aimed at encouraging motorists to buy greener more energy-efficient cars are working; the percentage of energy-efficient cars purchased has risen rapidly since the introduction of new vehicle registration and road tax bands in July 2008. The number of cars in the most efficient energy bands – A, B and C – constituted 73% of new cars purchased after the introduction of the new rates, compared with just 43% for the first six months of 2008. This has not, however, entailed a shift towards smaller engine sizes; instead, diesel cars have doubled their share of sales between the first and second halves of 2008. The report also conveys a 6.7% reduction in road freight energy use in 2008, reflecting the downturn in construction activity and the economy in general. Read the article…

‘More help needed for fuel poor’

THE BBC – 04/11/09

This article raises Energy Action Scotland’s arguments that understanding the barriers to eradicating fuel poverty is vital if government’s pledge to end it by 2016 is to be met. This call comes as Scottish Housing and Communities Minister, Alex Neil, has said households with the lowest energy efficiency ratings (ratings E to G) would receive help through the provision of insulation and heating system upgrades. The Scottish Fuel Poverty Forum has requested a fast track system for eligible households to receive government assistance, and suggested schemes to alleviate the burden of fuel costs should also be offered to those receiving more than just the family element of Child Tax Credits. Read the article…

This article in the Scotsman highlights that a number of disadvantaged customers – such as the elderly, those with learning difficulties or who are partially sighted, those living in remote rural areas or on low incomes – struggle as they face a number of barriers in trying to switch to cheaper energy suppliers. Such barriers include a lack of independent and accessible information, difficulties in comparing suppliers and tariffs, pressure from existing suppliers to reconsider, and high charges from the existing supplier in order to terminate their contract.

‘Shoppers to be taxed for carrier bags’

THE TELEGRAPH – 04/11/09

This article highlights the Welsh Assembly Government’s announcement of plans to introduce a 15p charge on plastic bags from early 2011, with all revenues to be used on environmental projects. Shops will be responsible for collecting the cash and spending it on green campaigns. It is hoped this will encourage more shoppers to take reusable bags to supermarkets. Welsh Environment Minister, Jane Davidson, said ‘carrier bags represent a waste of resources and they are an iconic symbol of the throwaway society we now seem to live in’. The British Retail Consortium has argued that customers should be encouraged to change, and not ‘clobbered’ with new ‘taxes’. Read the article…

‘Rocky flight for green taxes’

THE DAILY MAIL – 30/10/09

The Daily Mail has described the proposed increases in air passenger duty as ‘a nice little earner for the government’ and an ‘easy hit for successive Chancellors because it can be disguised as a green tax’. Like the Express, this article indicates scepticism regarding the motives behind the APD rises and argues ‘what is really appalling is that airlines and consumers are being asked to pick up the bill for the bankrupt banks’. It suggests that such increases are likely to lead to tax avoidance as passengers will instead choose to take short-haul flights to Paris (where there is no APD) and take Air France to their chosen destination. Read the article… 

This links to an article in the Observer, which focuses on the arguments behind proposals to expand the UK’s current airport capacity. This article highlights that a high court review in February could force ministers to consult again on some of the most contentious issues associated with any expansion at Heathrow, such as the impact of noise pollution on local residents or the resulting rise in carbon emissions. Arguments for the expansion of Heathrow are based on the forecasts of a huge growth in air travel demand set out in the 2003 White Paper. These forecasts were, however, made on the assumption that fares would keep falling which is unlikely to be the case in the face of rising air passenger duty rates. Furthermore, with the UK in recession and the weak pound discouraging air travel, the support for expanding the UK’s airports has quietened (though this is predicted to be temporary until the economy recovers). Given the Conservative government has promised to ban the construction of new runways, BAA has decided not to submit its planning application for a third runway at Heathrow until after the general election. Local campaigners are hoping to block similar moves to build new runways at Stansted and Gatwick.

Media coverage of the GFC Final Report launch

26/10/09

The Sunday Times highlights the findings of the Green Fiscal Commission’s final report, to be launched today at Portcullis House by Professor Paul Ekins and Robert Napier. The article describes the benefits of doubling the proportion of green taxes from the current 7% and the importance of offsetting these rises with cuts to income tax and National Insurance contributions. It describes the report’s findings as a raft of ‘eco-taxes’ aimed at curtailing activities, of both individuals and businesses, that use natural resources or create pollution. Read the article…

The Press Association reiterates that the report does not intend to offer a specific package of recommendations for action, but models a variety of options for an eco-tax system of the future. Read the article…

The Guardian highlights Greenpeace’s response to the report, which supports green taxes as ‘one of the critical planks in tackling climate change…although a key thing is to ensure that we safeguard social justice’. The article highlights that the report has cross-party support, including the shadow climate change secretary, Greg Barker’s, comment that the Conservatives would consider the report recommendations seriously… 

The Daily Mail and Express focus more on the risk of placing additional burdens on motorists and the adverse implications for the car manufacturing industry. SKY News,  however, highlights that these measures are needed to drive the transformation to a low carbon society and that other European countries are already leading the way in this regard.

N.B. Some newspaper reports have inaccurately reported that Lord Adair Turner (Chair of the Committee on Climate Change) is launching the report findings. Lord Turner will take part in a panel debate to take place tonight, in order to respond to the report’s findings, alongside other representatives, but Lord Turner has not contributed to the content of the report, either in his position as Chair of the Committee on Climate Change or as Chair of the Financial Services Authority.

‘Rich Germans demand higher taxes’

THE BBC – 23/10/09

This article highlights a petition launched by a group of wealthy Germans calling for the government to make wealthy people pay higher taxes. The group believe they have more money than they need and that the extra revenue could fund much needed investment in ecology, education and social justice. Dieter Lehmkuhl initiated the petition and argued that those who had ‘made a fortune through inheritance, hard work, successful entrepreneurship, or investment’ should pay more to help alleviate the current financial crisis, suggesting that if they all paid tax for two years, Germany could raise €100bn. Signatory Peter Vollmer said his reason for signing the petition was that he had inherited ‘a lot of money I don’t need’ and that the tax would be a ‘viable and socially acceptable way out of a flagrant budget crisis’. Read the article…

‘Households in fuel poverty to hit 4.6m’

THE GUARDIAN – 21/10/09

Figures recently published by the Department for Energy and Climate Change (DECC) indicate an increasing trend of households living in fuel poverty. 3.25 million households in the UK lived in fuel poverty in 2007, an increase of half a million compared with 2006. It is predicted that the number of households living in fuel poverty in England alone is likely to reach 4.6 million by the end of the year. Some positive steps have been taken by the government, including changes to the warm front scheme and the introduction of Community Energy Saving Programmes (CESP), but charities and campaigners are emphasising that government has not yet deployed sufficient resource to tackle fuel poverty with the urgency required. DECC’s figures came as Citizens Advice announced the number of people falling behind with fuel bills has increased by nearly 50% in the past six months, and by over 80% during the last three years. Read the article… 

And a similar article in the Daily Mail…

‘‘Time for action’ on fuel poverty’

THE BBC – 20/10/2009

Charities and consumer groups are launching a charter aimed at ridding Wales of fuel poverty by 2018. According to campaigners, the average price of gas has increased by 67% since January 2006, while the cost of electricity has risen by 37%. These high energy prices are compounded in Wales by poor housing stock, significant levels of poverty and low income, and a considerable proportion of homes not being connected to the gas network. Welsh Environment Minister Jane Davidson has emphasised that tackling fuel poverty is high on her list of objectives and highlighted that they would be publishing an updated fuel poverty strategy for consultation in coming weeks. Read the article…

‘Energy upgrades ‘for vulnerable’’

THE BBC – 19/10/09

The Scottish Government has announced that £675,000 will be targeted at five housing projects in Fife, Aberdeenshire, the Highlands and Orkney, in order to help reduce fuel costs and harmful emissions. These schemes successfully bid for funding through the government’s Energy Efficiency Design Awards, with projects including a converted rope-making mill and a former hospital. Read the article…