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Eurovignette may offer silver lining

24 July 2008

Proposed reforms to the EU's Eurovignette Directive are expected to increase pressure for the UK to introduce a version of the road-charging system. EU transport commissioner Antonio Tajani is pushing for swift agreement over allowing member states to impose additional charges to compensate for lorry pollution, noise and congestion. He says: "Among the results will be greener transport, fewer emissions, up to 8% less fuel consumption by lorries and fewer hold-ups for all road users."

 

Meanwhile, the RHA is pushing for the UK government to adopt the existing Eurovignette system, which would see all lorries using UK roads charged for road maintenance costs. Although the new environmental element - if approved by EU ministers - would be optional, it would inevitably be an attractive policy option for any government under pressure to reduce greenhouse gas emissions.

However, Britain's haulage organisations would oppose this and argue for any UK system to stick to maintenance costs, with a corresponding fall in vehicle excise duty, to shift some tax burden to foreign drivers visiting Britain. RHA director of policy Jack Semple says: "This would raise money from foreign operators who currently pay nothing to use UK roads."

Curiously, if the old-style Eurovignette system is introduced, or excise-only based taxation remains, the proposed externalising of transport environmental costs through the Eurovignette could give UK hauliers an advantage over Continental  competitors.

FTA external affairs director Geoff Dossetter explains: "If taxes go up in Europe, and not to the same extent in the UK, that's going to [help] level the playing field that currently disastrously favours [Continental] drivers." This is because most European countries operate the system through user fees or tolls, and many will introduce the new environmental charges, so Continental hauliers would see their tax levels rise, while UK hauliers would not face such a hike, except abroad.


Keith Nuthall
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