Road Tax Would Encumber Exports, Says Economy Minister ({{commentsTotal}})


Minister of Economic Affairs Juhan Parts said the government is hesitant to instate a road tax because the amount of revenue collected would be relatively small and the policy could harm exports.

The European Commission has been a proponent of tolls and debate over the issue has started in Estonia, including in the form of a conference on the topic at the Tallinn University of Technology last week, reported Äripäev.

"In establishing a road toll in Estonia, the policy, in accordance with European Commission regulation, would be extended to all transporters uniformly. As a result, according to our study from three years ago, the state's road administration costs would decrease 90 percent, but these costs would be put on the shoulders of Estonian transport companies - they would foot the bill and that would raise the price of Estonian exports," Parts said.

"Nor would the potential revenues be significant - about 20 million euros per year. In order to earn substantial revenue, we would need to raise the toll especially high," Parts said.

The Baltic director of the transport company DSV, Jaan Lepp, said he completely opposed a road tax.

"It would not bring much more fairness to our roads. The amount of money that could be collected from the foreign transporter would be incomparably smaller than that which the Estonian transporters would begin paying," he said.

+{{cc.replyToName}} {{cc.body}}
No comments yet.
Logged in as {{user.alias}}. Log out
Login failed

Register user/reset password

Name needs to be fewer than 32 characters long
Comment needs to be fewer than 600 characters long

Independence Day: Estonia’s way into the future isn’t a race

There is a lack of connection between the Estonian state, and the people who live here. While it expects a lot of the state, Estonian society doesn’t seem ready to contribute, writes Viktor Trasberg.

Lotman: Security academy would be crucial Estonian identity point in Narva

In an opinion piece published by Eesti Päevaleht, Tallinn University professor Mihhail Lotman found it important to overcome the mental barrier separating Ida-Viru County from the rest of Estonia.