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Stuart Archbold's comments are always good value. However, his warning

15th August 2002, Page 20
15th August 2002
Page 20
Page 20, 15th August 2002 — Stuart Archbold's comments are always good value. However, his warning
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Which of the following most accurately describes the problem?

that fuel duty harmonisation within the EU as advocated by the Commission is a major step towards a centrally-governed superstate is a bit over the top.

Presumably Stuart would have no problem if the UK government unilaterally taxed aviation fuel on the grounds of subsidiarity.

In a recent reply to a parliamentary question (30 July 2002) on this very issue Lord MacDonald of Tradeston said: "Unilateral action [to raise duty] would create market distortions, such as tankering of extra fuel from abroad to avoid tax..." This, of course, is exactly what is happening with diesel fuel for haulage operators.

This issue is not about a superstate but practical reality. The RHA seeks a clear unequivocal commitment from government that the new distance charge (which can be set at a UK subsidarity rate) will be balanced by a fuel duty rebate to leave us with the average price paid elsewhere in the EU, thus ending smuggling and cross border fuelling.

All seems reasonable to me. Roger King, Chief Executive, Road Haulage Association Weybndge, Surrey.

Tags

Organisations: European Union, UK government
Locations: Surrey

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