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OECD: governments should make better use of energy taxation to address climate change; “meaningful” increases limited to road sector

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Taxes are effective at cutting harmful emissions from energy use, but governments could make better use of them. Tax rates were below the low-end estimate of climate costs (EUR 30/tCO 2 ) for 97% of emissions. Comparing taxes between 2012 and 2015 yields a disconcerting result. Governments should do more and better.

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Australia PM Gillard announces carbon pricing plan; transport fuels exempt, but lowered fuel tax credits to bring carbon price to some businesses

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Australia Prime Minister Julia Gillard unveiled Australia’s carbon pricing plan—a core element in a new clean energy plan—in a short address to the nation. The Government intends to introduce legislation to underpin the carbon pricing mechanism into Parliament in the second half of 2011. Click to enlarge.

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Study finds behavior-influencing policies remain critical for mass market success of low-carbon vehicles

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Policies to entice consumers away from fossil-fuel powered vehicles and normalize low carbon, alternative-fuel alternatives, such as electric vehicles, are vital if the world is to significantly reduce transport sector carbon pure-emissions, according to a new study. Note the different scaling used in the graphs.

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UK Government Pre-Budget Report Offers Tax Exemptions for EVs, £30M in Additional Support for Low-Carbon Vehicles; Annual Fuel Tax Increases and End of Duty Differential for Biofuels

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In the Pre-Budget Report (PBR) released on 9 December, UK Chancellor Alistair Darling announced that all electric cars will be exempt from Company Car Tax (CCT) for 5 years and electric vans will be exempt from Van Benefit Charge (VBC) for the same period. The PBR also has news of an additional £30 million (US$48.5 Earlier post.).

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Belfer Center Study Concludes Reducing Car and Truck GHG Emissions Will Require Substantially Higher Fuel Prices; Income Tax Credits for Advanced Alt Fuel Vehicles Are Essentially Ineffective at Reducing Sector Emissions

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Direct transportation (fuel) taxes generate the greatest reductions in CO 2 emission from transportation, achieving CO 2 emissions at 86% of 2005 levels by about 2025. While CO 2 prices are equivalent to fuel taxes, CO 2 prices at their projected levels are far too small to create a significant incentive to drive less.

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CEPS task force report identifies tightening emissions standards as key policy to hit EU 60% reduction in transport GHG; full life-cycle emissions optimal metric

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The report argues that the biggest component of total transport reductions could come from more energy-efficient vehicles, combined with the gradual introduction of low-carbon fuels and new engine technologies. The report identified five main technology paths towards low-carbon transport.

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Senators Sanders, Boxer propose legislation to institute GHG price on large stationary sources and remove support for fossil fuel industries

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The proposal was drafted as two measures, the Climate Protection Act —which sets the carbon price and finance programs for sustainable technologies—and the Sustainable Energy Act —which ends federal support for fossil fuel companies and research and extends tax incentives for renewables. Debt reduction.