At the end of the day it all comes down to taxes.
Here is a clip from Today's Reuters news feed on what the German
government is doing for the environment...
BERLIN (Reuters) - The German government is planning a tax of 10 euro
cents ($0.12) per liter on biodiesel fuel and a 15 cent tax per liter on
biodiesel used for blending with conventional fuels, according to a copy
of a draft law obtained by Reuters.
The proposed tax would be over and above a value added tax on biodiesel
-- already more expensive to produce than conventional fuel -- and could
make the green alternative fuel uneconomical, its supporters say.
Surging oil prices pushed German biodiesel consumption to an estimated
1.8 million to two million tonnes in 2005 from 1.1 million tonnes in
2004.
This caused the government a heavy loss in tax revenues from
conventional diesel.
The German cabinet would take a decision on the proposals at a meeting
on Wednesday. Provided parliament approves it would take effect on
August 1, 2006.
"The taxes are too high," a spokesman for German oilseeds and biodiesel
industry association UFOP, said.
Here is the link:
http://today.reuters.com/news/newsarticle.aspx?type=scienceNews&storyid=
2006-03-14T160940Z_01_L14773447_RTRUKOC_0_US-GERMANY-BIODIESEL.xml
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