French Road Transport Organizations Demand Carbon Tax Concessions

by Ulrika Lomas, Tax-News.com, Brussels

03 December 2009

Key road transport organizations in France (FNTR, Unostra, and TLF) have once again denounced the introduction of the carbon tax in France, following its recent adoption by the senate in the 2010 Finance Bill.

Demanding a 75% reimbursement of the carbon contribution (contribution carbone), in line with the agricultural industry, the road transport federations have lamented the government’s decision to reimburse just 36% of the tax to operators of vehicles over 7.5 tonnes.

Indeed, the organizations have also urged the government to create a support fund to finance the sustainable development of road transport in France.

The groups have expressed their outrage that, although the introduction of the carbon contribution will generate a staggering EUR300m for the state from road transport alone, the idea of establishing a support fund has very much fallen by the wayside.

FNTR, Unostra, and TLF have also fiercely criticised the government’s ineffective “green crusade”, adamant that the proposed measures will merely prove damaging to the economy.

The road transport organizations have exposed the what they feel are the injustices of the carbon tax, lamenting the fact that, while sea and air transport remains unaffected by the new levy, and given that France’s rail industry is subsidized, the road transport industry is overtaxed, facing a number of levies including: kilometric tax, carbon tax, and energy saving certificates.

The French senate also voted recently to reduce the carbon contribution for the transportation of goods by river and for domestic shipping, to protect links with the French islands.

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