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Originally Posted by sazu
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As far as I understand, the proposed emissions-based tax could become an add-on component to the costs of a new vehicle in addition to payable excise duties.
This is probably a one-time only payment. One could interpolate that it has the potential to replace the current engine size-based road tax regime but there is no official word on this topic yet.
The aforementioned tax, also known as carbon tax, punishes high CO2 tailpipe emissions but encourages adoption of cleaner and greener vehicles such as hybrids.
UK, for example, exempts vehicles with less than 100g/km of CO2 emissions from road tax and London's congestion charges.