The Government needs to maintain the fuel duty differential between gas and diesel to reduce vehicle emissions, says The Natural Gas Vehicle Network (NGVN).
Frontier Economics, on behalf of NGVN, carried out an economic/analytical study on the current fuel duty differential, concluding that it is enabling the growth of the gas vehicle industry which will, in turn, help to reduce carbon emissions and improve air quality from heavy goods transport.
Mike Foster, chief executive of NGVN said: “HGVs in the UK represent just 2% of vehicles on the road but contribute 17% of transport carbon emissions.
“This needs to change. Keeping gas prices lower than diesel is exactly the sort of encouragement fleet managers need to make that essential switch, from dirty diesel to cleaner gas.
“With carbon savings of 20% for natural gas and over 80% for biomethane, compared to diesel, the road ahead is clear for the Government to achieve its own target of substantial carbon savings by 2025.
“This report, by leading economists Frontier Economics, helps make the case in clear, hard-headed numbers.
“I’m sure the Treasury will want to take note of this new analysis ahead of Budget 2018 this autumn.”
NGVN will now take the final report to government and discuss its findings and recommendations with policymakers.