Much Room for Improvement

Naive Gas Taxes Are Not Fully Green

Green Economics as applied to transportation, is a lot more than just having an appropriate gasoline tax -- drivers need more, better options and a truthful marketplace without artificial subsidies. Here is a news release from the Green Party of Ontario, Canada.

"Gas taxes punish drivers and raise government revenue but do little for green transportation," said Green Party of Ontario leader Frank de Jong on September 21, 2005.

To encourage cleaner transportation choices the Green Party would remove provincial gas taxes and shift the taxes to a levy on the crude oil used in the province.

Taxes on resources are most effective when applied early in the manufacturing process. When green taxes are applied at this stage they encourage innovation, efficiency and alternatives. Such a levy will positively impact the sourcing of raw materials and energy, the manufacturing and distribution chain, and not just the amount of energy used by the final product.

"It's far better to tax crude oil at source than gas at the pump," added Raymond Dartsch, GPO Transportation Issue Advocate.

Ontario imports and consumes over half a million barrels of crude oil per day (almost 200 million barrels per year). The peaking of global oil production will mean demand will increasingly outstrip supply causing massive societal disruptions.

"The decline of global oil production will devastate Ontarios economy unless dependence is greatly reduced," continued de Jong. "The Liberal government naively behaves as if the supply is infinite."

Green economics is needed to help Ontario reduce greenhouse gas emissions by at least 70% from present levels to avert the predicted devastation of climate change.

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The Green Party of Ontario can be found here.

Also see: Green Party Says Sprawl Can be Curbed by Fair Economics, Not Government Meddling http://www.progress.org/2005/greenp35.htm Greens United Against Eminent Domain Abuse http://www.progress.org/2005/greenp34.htm All About Green Economics http://www.progress.org/green

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