TAX ON BIO-ETHANOL

Early day motion 652, tabled 16 January 2007 by Stephen Williams (Liberal Democrat). Signed by 58 members.

That this House acknowledges the role that alternative fuels have to play in combating climate change; welcomes the fact that several manufacturers have developed cars which run on E85, a mixture of 85 per cent. ethanol and 15 per cent. petrol, and that such cars produce less than 100g/km of carbon dioxide, making them amongst the least polluting in the world; expresses concern that the current lack of availability of E85 at filling stations makes it an impractical option for most people; notes that the Government currently taxes E85 at a rate in excess of 30 pence per litre; further notes that certain retailers have expressed willingness to provide E85 at filling stations across the UK once the tax is reduced; and calls on the Government to re-address the tax on E85 as part of a revenue neutral reform of fuel duties, so as to encourage its adoption as an alternative fuel that can be certified to have been sourced from a sustainable means of production.

Signatures by party: Liberal Democrat 31, Labour 17, Conservative 5, Plaid Cymru 2, Independent 1, Scottish National Party 1, Social Democratic and Labour Party 1.