more taxes on meat, dairy and long-haul flights

Higher taxes for long-distance flights, paying more for meat and dairy and reducing livestock numbers: these are all additional measures that the government can take to achieve the climate goals. This is stated in a policy advice prepared by various ministries at the request of the cabinet.

According to the Paris climate agreement, the Netherlands must reduce greenhouse gas emissions by 55 percent by 2030 compared to 1990. This government has agreed to reduce this to 60 percent in order to absorb any setbacks.

To achieve this, emissions of gases such as carbon dioxide must be reduced by another 22 megatonnes. The policy advice indicates how that last part could be achieved. According to the researchers, this requires stricter rules and making polluting items more expensive.

An example where, according to the report, a profit can be achieved is the aircraft tax. Since the beginning of this year, this has already been increased from 8 to 26 euros per ticket, but according to the researchers, that is not enough. Passengers would have to pay more, especially for longer distances, because those flights are more polluting and do not fall under the ETS system.

For example, flights under 2,500 kilometers should cost about 26 euros more, flights up to 6,000 kilometers 75 euros and even longer flights 150 euros. Airline companies could then use the proceeds to mix more sustainable fuels.

The researchers also propose a ban on the sale of business cars that run on fossil fuel from 2025. The purchase tax for such passenger cars will also become a lot more expensive privately, making buying an electric car a lot more attractive.

The report also says that a change in our consumption patterns towards 2050 is “inevitable”. That is why it is an option to introduce a higher tax on dairy and meat, so that we make different food choices. The proceeds from that tax could then be used to make agriculture even more sustainable.

According to the report, the livestock population will also have to “significantly decrease” by 30 percent, because it is expected that technical solutions alone will not be able to reduce enough emissions. According to the researchers, there is little chance that this will succeed through natural attrition of livestock farmers and government intervention is therefore required.

According to the researchers, last year showed that a price incentive works well to reduce energy consumption. That is why, according to them, it is an idea to further increase the energy tax on natural gas and reduce that on electricity. This makes it more attractive to switch to other energy sources, such as a heat pump.

It is also an option to introduce more rules regarding the sustainability of buildings. For example, insulation could become mandatory if you want to sell your home. In addition, companies and institutions could be further obliged to take energy-saving measures.

The policy advice proposes various packages in which the burden of sustainability can be placed more on agriculture or on industry. In total, the measures are estimated to cost 7 billion euros. In addition, government revenues will increase by approximately 3.5 billion. These could be used to reduce the burden on citizens and businesses.

Which measures are ultimately implemented is a political choice. “There is now a whole menu of possible measures that we can deploy,” says Minister Jetten (Climate and Energy) in a response. “There will still be a lot of political discussion about this. Ultimately, I want to present a package that everyone can experience.” He will come up with a plan for this in the spring.