Seanad debates

Tuesday, 1 April 2003

Motor Vehicle (Duties and Licences) Bill 2003: Second Stage (Resumed).

 

We have two choices: we can either make public transport cheaper by subsiding it even further, or we can rearrange the costs of private motoring so that we pay as we go rather than paying up front. As a long-term policy, we should seek to shift the costs of motoring away from fixed costs and towards individual journey costs. As I said earlier, I am always loath to propose any form of additional tax, because a Government may decide to leave the current one there and add the other, but I suggest that we lower the registration charges or do away with them altogether and lower the yearly charges, while at the same time encouraging insurance companies, however we can, to charge on the basis of how much and how often people travel. To compensate for these lower charges, we should increase the tax on petrol and consider introducing an element of road charging, as we have seen in the UK recently, to be implemented during rush hour in our busiest cities and towns.

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