A study on EU transport policies, released by the Institute of Economic Affairs on June 4, has suggested that taxpayers are footing a significant bill for very little payback.
The study, Stuck in Brussels: Should transport policy be determined at EU level, says: "EU transport policies are imposing staggering costs on taxpayers and consumers for very little benefit. Increased taxes, more expensive vehicles, and higher fuel prices are just some of the additional burdens from EU policies that range from green levies to infrastructure subsidies."
"The biofuels requirement alone in petrol and diesel is costing approximately EUR20bn (USD22.7bn) a year and is proving to be an expensive and ineffective method of reducing greenhouse gas emissions with the costs outweighing the benefits by a factor of seven."
"Taxpayers must also foot the bill for heavily loss-making EU projects, including 'white elephant' high-speed rail schemes in southern Europe," it continued, adding that "the EU's development of new infrastructure has become a profoundly politicized process. Rather than maximizing economic returns, resources have been diverted to poor-value projects that promote 'European cohesion.'"
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