Economics at your fingertips  

Taxation of fuel and vehicles when emissions are constrained

Geir H. M. Bjertnæs ()
Additional contact information
Geir H. M. Bjertnæs: Statistics Norway,

Discussion Papers from Statistics Norway, Research Department

Abstract: A tax on fuel combined with tax exemptions or subsidies for fuel-efficient vehicles is implemented in many countries to fulfill the Paris agreement and to curb mileage-related externalities from road traffic. The present study shows that a tax on fuel should be combined with heavier taxation of lowand zero emission vehicles to curb mileage-related externalities and to fulfill emission targets within the transport sector. The emission target is fulfilled by adjusting the CO2-tax component on fuel. The road user charge on fuel is designed to curb mileage-related externalities. The heavier tax on lowand zero emission vehicles prevent motorists from avoiding the road user charge on fuel by purchasing low- and zero emission vehicles.

Keywords: Transportation; optimal taxation; environmental taxation; global warming (search for similar items in EconPapers)
JEL-codes: H2 H21 H23 Q58 R48 (search for similar items in EconPapers)
Pages: 25 pages
Date: 2021-03
New Economics Papers: this item is included in nep-ene, nep-env, nep-pbe, nep-pub, nep-reg and nep-tre
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (2) Track citations by RSS feed

Downloads: (external link) (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Ordering information: This working paper can be ordered from ... ions-are-constrained

Access Statistics for this paper

More papers in Discussion Papers from Statistics Norway, Research Department P.O.Box 8131 Dep, N-0033 Oslo, Norway. Contact information at EDIRC.
Bibliographic data for series maintained by L Maasø ().

Page updated 2023-05-31
Handle: RePEc:ssb:dispap:949