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19th November 2008
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Uk Budget a Flop

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Chris Innis

The UK Budget announced by Alistair Darling has been greeted as a flop by groups interested in the environment. As one commentator put it, "it is more Brown than green".

The Budget had some good things including a levy on plastic bags (although it might be better to just ban them); the promise of a green budget next year; more funding for road pricing schemes and green homes initiatives; and, a higher road tax on higher emissions cars. There were one or two other points but they really don't rate a mention.

It seems the issue of a failing economy is pushing back the sustainable agenda.

It seems the issue of a failing economy is pushing back the sustainable agenda.

This Government had a great opportunity to set in motion a series of tax based incentives to create a vibrant renewable energy economy in the UK which would create the one million jobs the Chancellor talked about. Instead we have seen weak tinkering in the Budget.


The Government could have announced:

tax deductions for the installation of micro energy schemes with a supporting feed in tariffs,
tax incentives to encourage investment in sustainable technology so that cash starved ideas can move to the next stage and not overseas,
tax breaks for industries that take up renewable energy as their main energy source, and, not necesarily to complete a list,
accelerated depreciation allowances that would encourage the installation of renewable energy equipment.

Instead we have been given very little and been inspired even less.

This Government seems to be half hearted in its commitments to the environment and emissions reduction.
Fiscal and tax policy can be used to give markets and investors guidance. New industries like renewable energy need that guidance to attract investment and make these industries viable.

This hasn't happened. For the environment and for the climate change agenda this budget is a flop. It is not even too little too and the response in next year's promised green budget might even be too late.

Biofuels

I see from todays breakdown of Darling's Budget that the Govt. has abolished the lower duty rate on biofuels. This seems extremely stupid as many companies are trying to build confidence in the use of biofuels. Does this also affect biomehane production from landfill.  It appears that the petrol companies may be using their financial clout to steer Government, which is too weak to resist.

 

Any comments on this subject. .

 

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  Perhaps
Andrew

But we must give them the benefit of doubt... they may be merely incompetent

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Budget
Chris Innis

Business needs investment to progress the Environment Agenda

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