Singapore shifts diesel taxes to volumetric as lead in to carbon tax

In Singapore, in an effort to tax carbon emissions, the government has implemented a S$0.10 per liter duty on all diesel, both automotive and industrial, in an effort to promote a switch toward cleaner fuels. The tax on diesel vehicles is currently a lump annual sum but will switch to a volumetric tax in an effort to reduce usage. Biodiesel is exempt from the tax. Next month the government will also begin holding public consultations on a carbon tax that will be levied at S$10 or S$20 per ton of GHG emissions.