Eco-tax set to switch off energy-saving bulbs - a European cock-up

5.49.11pm UTC (GMT +0000) Mon 8th Jan 2007

The new eco-tax could backfire

A new eco-tax being introduced this year is set to backfire by discouraging people from buying energy saving light bulbs.

Energy saving bulbs will be subject to a new EU directive, which imposes the costs of safe disposal - estimated at 34p per bulb - on the producer. However traditional, less efficient, bulbs will not be subject to the new charge. Commenting, Liberal Democrat Shadow Environment Secretary, Chris Huhne MP said "Producers should pay to dispose of their products, but this charge has to be applied evenly to new and old products or this will be the first eco-tax to backfire spectacularly."

Continuing Chris said "It is ridiculous that the tax system is discouraging a shift to energy saving bulbs, which could cut our carbon emissions by 90,000 tonnes a year and our energy bills by £75m. This is an example of well-intentioned European legislation leading to unintended consequences. This is a cock-up not a conspiracy, but it needs to be sorted out quickly."

"Ideally the Government and our EU partners should make old-style bulbs subject to the same charge or a special tax should be introduced to equalise the burden. There is even a case for gradually removing from sale those traditional bulbs where readily available low energy substitutes are now available."

Mr Huhne has tabled a parliamentary question to David Miliband asking him to review the disparity in treatment, and has also written to EU Environment Commissioner Stavros Dimas on the issue.