Tackling Environmental Pollution with Green Taxes

1605 WordsFeb 4, 20186 Pages
Introduction Green taxes were introduced objectively to tackle environment pollutions. According to (Fullerton, Leicester, & Smith, 2008), taxes on things such as Landfill, industrial energy use (the climate change levy), aggregate levy, motor fuel differentiation, vehicle exercise duty differentiation and central London congestion charge had either been introduced or reformed in the past 20 years to tackle environmental pollution. These taxes are called Green Taxes or Environmental Taxes. Global warming has brought a big concern on environmental issues in many countries, including U.K. Different studies have suggested the need for swift and urgent actions to alleviate the possible costs of climate change. Introducing taxes so called environmental taxes, changes trade permits and other economic measures might play an important role to achieve cost effective control of greenhouse gas emissions (Stern, 2007) Figures from Office for National Statistics (ONS) shows that U.K government collected £41.4billions from environmental taxes in the year 2010 (Office for National Statistics, 2011), rising up to 4.8% in comparison to 2009. This implies that environmental tax revenues have increased exponentially year on year basis, causing doubts to consumers’ mind on two aspects. (a) Do environmental taxes benefit the government or consumers?. (b) Are there alternatives to environmental taxes?. In answering the two questions, this report will review the literature of environmental
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