§ Mr. HoyleTo ask the Secretary of State for the Environment, Transport and the Regions what assessment he has made of the advantages and disadvantages of a reduction in vehicle excise duty for vehicles powered by alternative fuels. [105023]
§ Mr. HillThe Government have taken a number of measures to promote the use of vehicles powered by alternative fuels. Gas powered lorries and buses already qualify for a vehicle excise duty concession of up to £1,000 and electrical vehicles are taxed at a concessionary rate of £40. The new graduated vehicle excise duty system for cars is being built in a flexible way which will allow scope to create additional incentives for vehicles using cleaner fuels and technology.