EC will investigate fuel concessions
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Eby Melanie Hammond
European hauliers who were granted tax concessions to end their protests over soaring fuel costs, may find the schemes withdrawn if the European Commission decides that they constitute illegal state aid.
In a letter sent out by European Transport Commissioner Loyola da Palacio last Thursday. the governments of Belgium, France. Italy and The Netherlands have been ordered to provide full details and proof that they are not breaking European regulations on state aid. They have one month in which to respond.
The move means that any deal for hauliers by the British government would come under the same scrutiny.
Fuel protests have moved to the other side of the world with Australian truckers mounting protests at fuel depots in Melbourne, Victoria and near Brisbane, Queensland.
The protesters have been urged not to take any action which would disrupt the Sydney Olym pics. but the Transport Workers Union is still warning that the blockades could spread.
Last week German Chancellor Gerhard Schroeder announced tax breaks and subsidies worth Elbn for commuters, people on welfare and students—but he gave no ground to truckers, farmers or taxi drivers.
Spanish farmers are vowing to continue their protests for at least another month after they rejected an offer to reduce income tax for hauliers, farmers and fishermen.
• European Union finance ministers, due to meet in Brussels on Friday, are rumoured to be considering the release of oil from emergency reserves.
This would be designed to reduce crude oil prices—last week 30 million barrels were released from reserve stocks in the US. Despite subsequent dramatic falls in crude oil prices, they were beginning to creep up again as Commercial Motor went to press.