DA responds to green tax proposal
Democratic Alliance spokesperson, Hendrik Schmidt has welcomed government’s willingness to engage in climate change issues, but argues that their green tax proposal needs to be reworked.
The proposed legislation will tax cars based on their kilowatt output, as well as put a blanket tax on all SUVs sold in South Africa.
Schmidt had reservations about this methodology: “Kilowatt output is not necessarily the best measure of damage to the environment because there are a number of cars on our roads with a high kilowatt output, but have highly efficient engines and use little fuel,” he said.
He also criticised the SUV blanket tax, saying that there are massive variations in fuel consumption amongst SUVs.
Schmidt also called for a subsidy system where cleaner cars are subsidised through levies placed on less efficient cars.
Additionally, he called for a more effective public transport system: “Until a comprehensive and efficient public transport system is in place, most people have no alternative to cars.
“The government cannot use the threat of climate change for its own fund-raising purposes when it makes no alternatives available to vehicle users.”
As I said earlier, let’s hope that by the time this legislation comes into play, it provides a valuable reduction in South African greenhouse gases within a sustainable and effective framework. Let’s also hope it’s a little more flexible than some other policies out there – Britain isn’t granting a tax band benefit to MINI’s new
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