This paper examines the effects of replacing current fuel taxes by a system of taxes that account better for all the different external costs of the different transport modes. One of the important implications of this reform is that current fuel taxes are decreased to a level of 80 euro/ton of...

Policies addressing air pollution from transport have in the past mainly focused on SO<SUB align="right">2</SUB>, NO<SUB align="right">x</SUB> and VOC through vehicle emission and fuel quality regulation. More recently however, CO<SUB align="right">2</SUB> emissions and particulates have come on the agenda because of global warming and the perception of the major role...</sub></sub></sub>