top cx logo
cx logo
Explorearrow down
search icon

New carbon tax could raise €4bn

New bid to halt greenhouse gas emissions could see diesel price rise 10 centimes in 2016

A CARBON tax planned to be introduced in 2016 is expected to raise €4billion, but the government says it will not be an additional tax but a diversion of money already raised.

The move to tax pollution by “greening” other taxes, is being announced today at the government’s second environmental conference in Paris.

People using carbon-producing fuels such as petrol, diesel, gas, heating oil and coal would have pay the tax, which will be linked to a “carbon price” set by the government. In 2014 this will, according to Le Monde be set at €7 per tonne of carbon.

However, following President Hollande’s statement on TV last weekend that “whenever there is a new environmental tax introduced another should be reduced” the government intends to substitute the new tax for an older tax already in place.

For diesel, there is a TICPE tax that makes up 48 centimes of the €1.37 price of a litre and part of this would be replaced by the new carbon tax.

The carbon price will be increased substantially once it is in place – and could raise €4bn by 2016 – with the aim of getting users to cut down their use of fuels that emit the greenhouse gas carbon dioxide.

By 2016 the price of diesel could increase by 10 centimes in 2016 because it creates 15% more CO2 than petrol, which would see a price rise of just two centimes.
Photo: wrangler - Fotolia.com

Resident or second-home owner in France?
Benefit from our daily digest of headlines and how-to's to help you make the most of life in France
By joining the newsletter, you agree to our Terms & Conditions and Privacy Policy
See more popular articles
The Connexion Help Guides
featured helpguide
Healthcare in France*
Featured Help Guide
- Understand the French healthcare system, how you access it and how you are reimbursed - Useful if you are new to the French healthcare system or want a more in-depth understanding - Reader question and answer section Aimed at non-French nationals living here, the guide gives an overview of what you are (and are not) covered for. There is also information for second-home owners and regular visitors.
Get news, views and information from France