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Japan Plans Preferential Tax in 2008 to Promote Wider Vehicle Biofuel Use

Daily Yomiuri. Japan’s Economy, Trade and Industry Ministry plans to introduce a new preferential tax system in fiscal 2008 aimed at promoting a wider use of biofuel in vehicles.

Under the plan, biofuel mixed with gasoline will be exempt from the gasoline tax—currently ¥53.8 per liter (US$0.46)—in proportion to the amount of biofuel included. If blended with diesel oil, biofuel will be free from the diesel oil delivery tax, currently ¥32.1 yen (US$0.27) per liter. Currently there is no tax break for biofuel blends.

The new tax plan will be incorporated in a joint request to the government’s Tax Commission by the ministry together with the Agriculture, Forestry and Fisheries, and Environment ministries.

Comments

mahonj

I wonder where they will import it from - Japan does not have a food surplus and food there is probably the most expensive in the world.

mahonj:

A very good question.

Cellulosic biofuels from local wastes? From imported dried compressed feed stocks?

Somebody said that the average American/Canadian home produces enough wastes (garbage) to produce biofuel for one small ICE vehicle and up to 4 PHEVs. Is Japan counting on that approach?

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