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Portuguese budget omits promised carbon tax

Portugal's 2005 draft budget was presented to parliament on Friday. It includes a new tax exemption for biofuels and maintains the so-called forestry ecotax on road fuels (EED 24/11/03). It also includes a 40% rise in the environment ministry's budget. However, it contains no mention of a road vehicle carbon tax mooted by the environment ministry last year (EED 03/10/03) and included in a national climate change plan approved in July. Environmental group Quercus condemned the omission. See Portuguese finance ministry and budget proposals.

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