Press release

Rising fuel prices highlight urgent need to wean UK off oil addiction

23 May 2008

Government must use extra oil tax revenue to cut dependence on fossil fuels

The increasing cost of fuel, rising carbon dioxide emissions and fears about where our energy comes from highlight the urgent need to reduce our dependence on fossil fuels, Friends of the Earth said today.

The environment campaign group called on the Government to invest windfall oil tax revenue in improving public transport and other alternatives to the car, support the development of renewable power and help households cut energy bills by improving energy efficiency.

Friends of the Earth's Head of Campaign's Mike Childs, said:

'Rising fuel prices, increasing concern about climate change and fears about fuel security highlight the urgent need to wean ourselves off our addiction to oil. The Government must use increasing tax revenues from rising oil prices to invest in public transport, promote renewable energy and improve energy efficiency in our homes. We need a green industrial revolution to develop a low carbon, safe and affordable future.'

Friends of the Earth also said that the EU must respond to rising oil prices - and transport's growing contribution to climate change €" by setting tough regulations on the fuel efficiency of new cars. MEPs will discuss proposals for greener cars at a meeting in Brussels next week.

Mike Childs added:

'Making new cars more fuel efficient will make a huge contribution to cutting transport's carbon dioxide emissions and will also save drivers money through lower fuel bills. MEPs must ensure the car industry plays its full part in tackling climate change by setting tough emissions standards'.

Friends of the Earth is calling for urgent action to cut our dependence on fossil fuels. Measures proposed include;

The UK Government must:

Put greater investment into alternatives to the car, such as public transport. This should be funded by increased revenue that the Government is receiving from higher fuel prices.
Impose a windfall tax on oil company profits to fund a huge home energy efficiency programme. The homes of the fuel poor should be specially targeted.
Held households to produce their own renewable power by amending the Energy Bill to require energy companies to give long-term contracts guaranteeing a premium price for all renewable energy generated by homes, businesses and communities. The scheme, known as a feed-in tariff, would make renewable technologies significantly more cost effective to install. Feed-in tariffs have been especially successful in Germany, which now has 200 times more solar power and more than 10 times more wind power installed than the UK.
Put in place a strong strategy to get 15% of our energy from renewable sources by 2020. The UK Government needs to show ambition and courage in tackling the barriers to renewable expansion in the UK.

The EU must:

Introduce regulations to double the fuel efficiency of new cars by 2020. They average emissions from new cars should be no higher than 120g/km by 2012, and 80g/km by 2020.

Resist UK Government lobbying to weaken the Renewables Directive. The UK is trying to weaken proposed EU laws on sourcing 20% of EU power from renewable sources by 2020, for example by proposing that other technologies be counted towards the target. The EU must stand firm and introduce a strong Renewables Directive by the end of the year.

Notes

MEPs will discuss fuel efficiency standards for new cars next week (Wednesday). The EU is due to set a target later this year. Research for the Government shows that making new cars more fuel-efficient could be the single biggest contribution to cutting climate change emissions from transport. It would also cut motoring costs for drivers.
Agreements so far to reduce new car emissions have not worked, and voluntary EU targets to make cars more fuel efficient €" i.e., run on less fuel, have so far failed. Friends of the Earth wants to see a 2012 target of 120g of carbon dioxide emitted per kilometre travelled, a 2020 target of 80g/km €" making cars roughly twice as fuel-efficient as they are now.

For further information please contact the Friends of the Earth media team on 020 7566 1649.

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