Environmental Policy
Report on Auto-Related Environmental Taxes
- Utilization of Auto-Related Taxes in Environmental Policy -
July 1999
Panel of Experts on Auto-Related Environmental Taxes
Introduction
With the increases in the number of automobiles and driving distances, vehicles are imposing ever-greater pressure on the environment in the forms of air pollution and global warming.
Various environmental protection measures related to vehicles have been employed till today. Among them are regulations on exhaust gases and fuel efficiency, a total volume reduction plan based on the Law concerning Special Measures for Total Emission Reduction of Nitrogen Oxides from Automobiles in Specified Areas (the Automobile NOx Law), and various projects carried out to solve traffic congestion. In addition to these measures, it is hoped that economic instruments be promoted extensively so that environmental problems arising from vehicle use may effectively be solved by market mechanisms. Here economic instruments are encouraged because auto-related environmental problems are caused by socioeconomic activities, including business operations and people's daily activities.
Since March 1999, this Panel has held six meetings to study what kind of auto-related taxation scheme is desirable from the point of view of environmental protection, particularly in coping with air pollution and global warming problems. The focus of our study was mainly the re-examination of the current tax system. During this time, the panel held hearings on the topic from four organizations specializing in this field, which were very informative.
This report is the outcome of our study. We hope that people take this opportunity for intensive discussion and re-examination of today's auto-related taxation from the point of view of environmental protection, and that the central government will actually implement these ideas in concrete measures.
Contents
- 1. Current State of Auto-Related Environmental Issues
- 2. Needs for Taxation
- 3. Taxation as an Environmental Measure related to Vehicles
- 4. Taxation from the Standpoint of Environmental Conservation
- 5. Short-Term Agenda for the Re- examination of Air Pollution Controls
- 6. Re-examination of Attempts to Cope with Global Warming in the Short-Term
- 7. Combination of Measures to Address Air Pollution and Global Warming
- 8. Medium- and Long-Term Agenda
The Panel of Experts on Auto-Related Environmental Taxes
(members listed in alphabetical order)
KASHIMA Shigeru | Professor, Faculty of Science and Engineering, Chuo University |
NAKASATO Minoru | Professor, Faculty of Law, University of Tokyo |
SAWA Takamitsu (Panel Chairperson) |
Director, Research Institute of Economy, Kyoto University |
SUGIYAMA Masahiro | Professor, Faculty of Commercial Science, Waseda University |
YASUHARA Tadashi | Special Advisor, Sakura Research Institute |