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France set to impose carbon tax | France set to impose carbon tax |
(about 2 hours later) | |
French President Nicolas Sarkozy has announced plans for a new carbon tax aimed at combating global warming. | French President Nicolas Sarkozy has announced plans for a new carbon tax aimed at combating global warming. |
The tax will be introduced next year and will cover the use of oil, gas and coal, he said. | The tax will be introduced next year and will cover the use of oil, gas and coal, he said. |
The new tax will be 17 euros (£15) per tonne of emitted carbon dioxide (CO2). It will be phased in gradually. | The new tax will be 17 euros (£15) per tonne of emitted carbon dioxide (CO2). It will be phased in gradually. |
It will apply to households as well as enterprises, but not to the heavy industries and power firms included in the EU's emissions trading scheme. | It will apply to households as well as enterprises, but not to the heavy industries and power firms included in the EU's emissions trading scheme. |
Most electricity in France - excluded from the new carbon tax - is nuclear generated. | Most electricity in France - excluded from the new carbon tax - is nuclear generated. |
Mr Sarkozy said revenues from the new tax would be ploughed back into taxpayers' pockets through cuts in other taxes and "green cheques". | Mr Sarkozy said revenues from the new tax would be ploughed back into taxpayers' pockets through cuts in other taxes and "green cheques". |
The carbon tax plans have already encountered stiff opposition across the political spectrum. | The carbon tax plans have already encountered stiff opposition across the political spectrum. |
France's Le Monde newspaper says the tax will cover 70% of the country's carbon emissions and bring in about 4.3bn euros (£3.8bn) of revenue annually. | France's Le Monde newspaper says the tax will cover 70% of the country's carbon emissions and bring in about 4.3bn euros (£3.8bn) of revenue annually. |
Mr Sarkozy insists the new tax is all about persuading the French to change their habits and cut energy consumption, the BBC's Emma Jane Kirby reports from Paris. | Mr Sarkozy insists the new tax is all about persuading the French to change their habits and cut energy consumption, the BBC's Emma Jane Kirby reports from Paris. |
Critics say it is just a ploy to boost ailing state finances. | Critics say it is just a ploy to boost ailing state finances. |
Two-thirds of French voters say they are opposed to the new levy, fearing they will struggle to pay higher bills. | Two-thirds of French voters say they are opposed to the new levy, fearing they will struggle to pay higher bills. |
Prime Minister Francois Fillon had previously set the new tax rate at 14 euros per tonne of CO2. | Prime Minister Francois Fillon had previously set the new tax rate at 14 euros per tonne of CO2. |