Dáil Éireann Debate, Wednesday - 18 October 2006
99 Mr. Gilmore asked the Minister for Finance the plans he has to incentivise the purchase of cars with small rather than large engines following the EPA Environment in Focus Report, 2006 citing this as a contributory factor in the rapid growth in the emissions generation associated with the transport sector. [30891/06]
View answerThe EPA report referred to by the Deputy points out that although the emissions from individual vehicles will continue to fall as a result of technological advances and cleaner fuel, emissions from the transport sector look set to increase due to increased vehicle numbers and engine size.
It has to be borne in mind that Ireland has had historically low car ownership levels (compared with other EU countries) so it is not surprising that strong economic growth such as that experienced in recent years has brought about an increase in car ownership. In addition, Ireland's population growth also has an impact.
Notwithstanding this, I would accept the findings of the EPA that further revision of the taxation system to encourage the purchase of more fuel-efficient and lower emission cars should be examined. In last year's Budget, I introduced new tax concessions for flexible fuel vehicles and extended in time those existing for hybrid cars. I can assure the Deputy that we will be reviewing policy options that may have the capacity to reduce emissions from cars.
