Planning and Environmental Policy

This paper models annual new car average CO2 emissions intensity in EU Member States over the period 1995-2004. It attempts to explore the relationship, if any, between national vehicle and fuel taxes and the EU voluntary agreement in reducing CO2 emissions from the passenger car fleet. Our results indicate that (i) vehicle taxes are likely to be significant in reducing CO2 emissions intensity of passenger cars, and that (ii) the CO2 emissions intensity of EU new passenger cars has fallen over the time period studied. We hypothesise that this time trend may be attributable to the voluntary agreement. Correspondence to: Lisa Ryan, Planning and Environmental Policy, University College Dublin, Richview, Clonskeagh, Dublin 14, Ireland. Tel: +353-1-716 2676; Fax: +353-1-716 2776; E-mail: [email protected] Citation: Ryan, L., S. Ferreira and F. Convery (2006). “Effectiveness of fiscal and other measures to manage greenhouse gas emissions from the automobile sector: Evidence from Europe”, Planning and Environmental Policy Research Series (PEP) Working Paper 06/06, Department of Planning and Environmental Policy, University College Dublin. PEP 06/06 University College Dublin 2 Effectiveness of Fiscal Measures in the Auto Sector L. Ryan, S. Ferreira, and F. Convery