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“We want to encourage people to choose at least gasoline cars, at least in the near future.
We plan to unify excise duties on diesel and gasoline in 2023. This sends a message that diesel is unwanted.
At the same time, we envisage regulatory measures for Lithuanian cities, which will be able to prevent the most polluting diesel cars from entering city centers or elsewhere, ”said S. Gentvilas at a meeting of the working group on the revision of the tax benefits on Wednesday. .
Currently, the excise duty on diesel is 372 euros per thousand. liters, gasoline – 466 euros / thousand. liters. It is estimated that in 2023 a rate of 466 euros will be applied to both fuels. This means that diesel would be more expensive by about 8 percent.
S. Gentvilas said that Lithuania is a leader in transportation with diesel vehicles.
“Currently, more than 50 percent. Lithuania’s car fleet is diesel, we are leaders in that. Yes, we have reduced it in 5 years, but looking at the pollution of diesel and gasoline, a couple of things have to be said. Diesel pollution for living spaces and cities is up to 10 times higher with nitrogen oxides and particulates: 40 percent.
If we want to talk about cities without smog, without fines, without nitrogen oxides, we must redirect the Lithuanian car fleet towards gasoline. This should be the main objective of the tax reform. We will not immediately seat all Lithuanian residents in public or electric cars, “said the minister.
S. Gentvilas taught that money for transformation comes from both economic recovery and building resilience, the European Union’s climate change agenda, and other measures.
Tomorrow we will talk about the extra money, presenting to the public with the Minister of Transport and Communications the changes to the tax on pollution of cars, which will also be in autumn. Basically, we see Lithuania as a country of developed bicycle paths and public transport, ”he said.
There are sanctions
At the meeting, S. Gentvilas emphasized that Lithuania is committed to achieving certain emission levels.
“If we don’t succeed, we will face economic sanctions,” he said.
The Minister pointed out that pollution is a very important source of chronic diseases.
“Lithuania, which is one of the smallest living nations in the EU, needs to fundamentally change air pollution. The paradox is that we are one of the least populated countries in the EU, but air pollution is disproportionate.
For example, particle pollution in Vilnius is higher than in Paris. Paris has been sinking, but it has undergone important changes that must be horizontal in the heating system, in transport and in the use of various industrial solvents that pollute our air, especially in cities ”, he said.
We are losing 120 million. by year
S. Gentvilas said that Lithuania’s budget loses more than 120 million LTL annually due to the benefits of fossil fuels. euros.
He identified the following elements of the tax system that need to be reviewed: setting deadlines to renounce the benefits of fossil fuels, introducing a carbon tax on the use of fossil fuels, adjusting tax rates to reduce air pollution, promoting efficient use of water resources and Rapidly reduce municipal waste disposal.
“Regarding the heating sector, we still use various fossil resources in Lithuania. The most polluting ones are coal, fuel oil, solid biomass (peat). The aim is to improve health status, renounce fossil fuels in the heating sector, switch to all heating without fossil fuels in Lithuania in 2030 ”, said the minister.
S. Gentvilas spoke about compensation for replacing red coal and diesel boilers.
“We appreciate that there is energy poverty and that tax changes can affect the most vulnerable, so we apply particularly high subsidies, up to 80%,” he said.
However, the next step, according to the speaker, is to raise the rates.
“We plan to double the rates for coal (coal, coke, lignite, peat briquettes) from 2021 to 2023, and in 2025 we plan to quadruple them,” Gentville said.
The minister said the furnace fuel should cost as much as diesel.
“We should abandon red diesel, uncheck it. In 2023, we would like to say that red diesel is taxed at the full rate, just like diesel,” he said.
Expensive and gas
Gentville also said he views natural gas as a transitional heating fuel.
“But, in principle, we are proposing to double the current 0.54 euros per megawatt-hour to 1 euro / MWh in 2023 for commercial purposes,” he said.
The minister also said that gas could become more expensive for domestic consumers.
“Natural gas has risen in price on world stock exchanges 5 times a year, so far the State Energy Regulatory Council has indexed it by 50%, but it is clear that in winter it will have to become more expensive and the rates will have to continue, ” he said.
At the meeting, S. Gentvilas spoke about plans to introduce the so-called CO2 component in Lithuania.
“If we had a CO2 component of € 10 per tonne of CO2, gasoline would go up € 2, while pollution would be more expensive,” he said.
It is estimated that as the climate moves towards a neutral Lithuania, more than 3 billion LTL will be invested in green production, services and jobs. euros. These funds should come from the Lithuanian New Generation, Modernization, Just Restructuring Plan and the Structural Funds of the European Union, as well as the long-term climate change program.
The final meeting of the Task Force on the Tax Incentives Review on the decisions to be presented to the Government is scheduled for October.
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