Ministers agree controversial tax for hauliers on European roads

TRANSPORT ministers in Europe have agreed to a green tax, whereby countries can charge heavy goods lorries using many of Europe’s main roads a special tax for causing noise and air pollution and further charges to discourage peak time driving.

Hauliers have been battling against the tax that will add about a third to existing taxes and against the peak-hours tax that could triple the money they pay.

Countries will not be forced to introduce the tax, which will add about three to four cent to the existing 15 to 25 cent per km charge levied by some countries to cover construction and maintenance of roads. Ireland does not charge its hauliers the tax.

The International Road Transport Union argue that just two countries will benefit from the taxes when everything is taken into account – France and Germany with their big sections of tolled motorways through which much of the continent’s goods lorries must cross to reach their destinations.

Ireland, they claim, will suffer a loss, but much less than countries at the western periphery of the EU, the International Road Transport Union argues. They say that road transport in Europe is already up to 40% more expensive than in the US.

“Making road transport more expensive will weaken Europe’s competitiveness and penalise its economy,” the organisation says. The length of motorway that will be covered by the new taxes is expected to double from about 15,000km to 30,000km.

Minister Noel Dempsey, who attended yesterday’s EU Transport ministers meeting in Luxembourg, successfully argued to exempt lighter trucks and delay the charges for current generation EURO V and VI lorries for between three and seven years. He welcomed the compromise, but said it still contained elements that are difficult for the country, but it was a net improvement on previous proposals.

The concessions have been criticised by the environmental group, Transport and Environment (T&E), saying the agreement is still a long way from allowing countries to charge the full costs of the damage that road freight transport causes, including congestion and climate change.

“Road pricing reduces the negative impacts of pollution, congestion and accidents, but also allows a shift of taxation away from labour and enterprise,” said Nina Renshaw, deputy director of T&E.

EU Transport Commissioner Siim Kallas said the new rules sent the right signal to transport firms. “The aim is to incentivise a shift in behaviour so companies invest in more efficient logistics, less polluting vehicles and more sustainable transport at large.”

But the agreement must also be agreed by the European Parliament and many MEPs are anxious to ensure that all polluters pay and will want to reduce the number of exemptions.