§ Mr. LoughtonTo ask the Secretary of State for the Environment, Transport and the Regions what tax incentives are available to manufacturers of motor vehicles powered by road fuel gases. [68163]
§ Ms Glenda JacksonThere are no specific tax incentives available for manufacturers of motor vehicles powered by road fuel gases. Government action to support the wider uptake of these fuels focuses principally on assisting with the purchase and operation of gas powered vehicles. Duty on road fuel gases has been frozen for the last two Budgets, and the Government are committed to at least maintaining the 1997 duty differential between road fuel gases and ordinary diesel. My Department is also funding the Powershift programme which provides grants to help cover the additional cost of purchasing gas powered vehicles. These measures should provide some certainty to the road fuel gas market, and help to encourage manufacturers to invest in the production in gas powered vehicles.