Added by Gary Dunn on December 10, 2010
Japan is proposing an environment tax to help the country curb its greenhouse gas emissions, says Nikkei Business Daily.
The tax commission of Japan is proposing that the tax be introduced from October 2011. It will serve to impose taxes on crude oil and petroleum products, liquefied gas and coal.
Such move would, according to Nikkei, increase the annual tax revenue by about 40 billion yen in the first year; 240 billion yen (US2.9 billion) over four years. The Ministry for the Environment said the tax burden for individual households could increase by as much as 1,207 yen per year.
The proposed tax would see the tax on oil and petroleum rise by 790 yen per kilolitre; on liquefied natural gas by 810 yen per tonne; and on coal by 700 yen per tonne.
The tax guidelines for the next fiscal year are expected to be completed later this month, and will serve as a basis for drafting next year’s fiscal budget.
Japan is currently the world’s fifth-largest emitter of greenhouse gases, but has committed to reduce emissions by 25 per cent from 1990 by 2020 on the condition that other major emitters adopt similar goals.